Stock Track | Lyft Plummets 5.25% Intraday Amid Analyst Price Target Cuts and Competitive Pressures

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Lyft, Inc. (LYFT) shares plummeted 5.25% during intraday trading on Thursday, reflecting significant negative sentiment towards the ride-sharing company.

The sharp decline follows a series of analyst price target reductions and reports highlighting growing competitive challenges. Mizuho Securities cut its price target on Lyft to $16 from $27, while Susquehanna lowered its target to $15 from $24. RBC Capital Markets also reduced its target to $22 from $27, noting Lyft's fourth-quarter results were "very challenging" as competition ramped up and dented ride volume.

Analysis indicates Lyft's U.S. ride-sharing growth rate halved to just 7% in 2025 because the company raised prices more than its main competitor, Uber. This has led to Uber taking significant market share from Lyft, forcing Lyft to focus on higher-value rides and resulting in lower-than-expected ride volume overall. Several analysts have also expressed skepticism about Lyft's ability to hit its 2027 targets and questioned its long-term competitive positioning in the autonomous vehicle space.

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