Key Takeaways Unity reported Q1 revenues of $508.2M, up 17% YoY, beating guidance despite a slight EPS miss.U saw 35% Strategic Revenue growth, driven by Unity Ad Network and Vector momentum.U booked $279M impairment charges tied to ironSource sunset and Supersonic divestiture plans. Unity Software (U - Free Report) reported first-quarter 2026 non-GAAP earnings per share (EPS) of 23 cents compared with 24 cents in the year-ago quarter. The figure missed the Zacks Consensus Estimate by 4.17%.
On a GAAP basis, the company posted a net loss per share of 80 cents compared with a loss of 19 cents in the year-ago quarter, weighed down by $279 million of impairment charges related to the sunset of the ironSource Ads Network and the planned divestiture of the Supersonic publishing business.
Net revenues of $508.24 million rose 17% year over year and comfortably exceeded the company's guided range of $480-$490 million. The figure beat the consensus mark by 1.53%.
Total Strategic Revenue, which excludes the ironSource Ads Network and Supersonic, grew 35% year over year to $432 million. The revenue growth was driven by the Unity Ad Network, propelled by Unity Vector, with additional contribution from higher subscription revenues in Create.
Q1 Details of Unity SoftwareUnity Software reported Create Solutions revenues of $157 million, up 4% year over year. The increase was driven by higher subscription revenues, partially offset by declines in cloud and hosting services revenues tied to the company's portfolio reset in 2025. Strategic Create Revenue (which excludes non-strategic items) was $153.7 million, up 15% year over year.
Grow Solutions revenues were $352 million, up 24% year over year. The growth was driven by Unity Vector within the Unity Ad Network, partially offset by declines in the IronSource Ad Network. Strategic Grow Revenue was $278.7 million, up 49% year over year, almost twice the rate of total Grow growth — reflecting Vector's continuing momentum. Per the March 26, 2026, preliminary release, Unity Vector increased 15% sequentially in the first quarter, marking its fourth consecutive quarter of mid-teens sequential growth.
Non-Strategic Revenue, consisting primarily of the ironSource Ads Network and Supersonic, was $75.8 million, down 34% year over year.
Operating Details of UnityIn the first quarter, non-GAAP gross profit increased 16.7% year over year to $419.1 million. Unity's adjusted gross margin of 82% was flat year over year.
Research & development expenses on an adjusted basis grew 8.7% year over year to $152.1 million. Adjusted R&D, as a percentage of revenues, contracted 200 basis points to 30%.
Sales and marketing expenses on an adjusted basis declined 2.3% year over year to $90.9 million. Adjusted S&M, as a percentage of revenues, contracted 300 basis points to 18%.
General & administrative expenses on an adjusted basis decreased 10.3% year over year to $37.9 million. Adjusted G&A, as a percentage of revenues, contracted 300 basis points to 7%.
Unity Software reported adjusted EBITDA of $138 million, up 64.7% year over year and well above the prior guidance of $105-$110 million. The company's adjusted EBITDA margin of 27% improved 800 basis points compared with the prior year, driven by higher revenues and continued cost control.
On a GAAP basis, the net loss for the quarter was $347 million, including the $279 million of impairment charges related to the ironSource Ads Network sunset and the planned Supersonic divestiture, compared with a net loss of $78 million in the year-ago quarter.
Unity Software's Balance Sheet & Cash FlowAs of March 31, 2026, Unity had cash, cash equivalents and restricted cash of $2.15 billion compared with $2.06 billion as of Dec. 31, 2025. The increase was primarily driven by operations.
Operating cash flow was $71 million in the reported quarter, up from $13 million reported in the year-ago quarter. Free cash flow during the quarter was $66 million compared with $7 million in the prior-year quarter. The current portion of convertible notes was $556.8 million as of March 31, 2026.
Significant Q1 DevelopmentsAlongside its first-quarter results, Unity Software announced the sunset of the ironSource Ads Network, effective April 30, 2026, and disclosed that it had engaged a financial advisor to assist with the divestiture of its Supersonic game publishing business. Management stated that, once completed, these actions are expected to drive faster revenue growth and higher adjusted EBITDA margins. The company also reiterated its expectation to become GAAP profitable by the fourth quarter of 2026.
Unity Software's Guidance for Q2 2026For the second quarter of 2026, Unity Software anticipates total revenues between $505 million and $515 million. Strategic Revenue is expected in the range of $455-$465 million, implying a rise of 29-32% year over year. Within that, Strategic Grow Revenue is expected between $302 million and $306 million, suggesting an increase of 50-52% year over year, and Strategic Create Revenue is guided in the range of $154-$158 million, indicating a rise of 11-14% year over year (excluding the impact of a $12 million one-time revenue item in the second quarter of 2025).
Adjusted EBITDA is expected in the range of $130-$135 million, indicating year-over-year growth of 44-49%.
Unity’s Zacks Rank & Stocks to ConsiderUnity currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader Zacks Computer and Technology sector include Analog Devices (ADI - Free Report) , Applied Materials (AMAT - Free Report) and Audioeye (AEYE - Free Report) , each currently carrying a Zacks Rank of 2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Shares of Analog Devices have gained 53.3% in the year-to-date period. Analog Devices is set to report the second quarter of fiscal 2026 results on May 20.
Applied Materials shares have gained 66.8% in the year-to-date period. Applied Materials is scheduled to report its second-quarter 2026 results on May 14.
Audioeye shares have lost 23.3% in the year-to-date period. Audioeye is set to report its first-quarter 2026 results on May 13.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Let's take a look at what these Wall Street heavyweights have to say about Unity Software Inc. (U - Free Report) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.
Unity Software currently has an average brokerage recommendation (ABR) of 1.79, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 24 brokerage firms. An ABR of 1.79 approximates between Strong Buy and Buy.
Of the 24 recommendations that derive the current ABR, 14 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 58.3% and 4.2% of all recommendations.
Brokerage Recommendation Trends for U
Check price target & stock forecast for Unity Software here>>>
While the ABR calls for buying Unity Software, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.
This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
Zacks Rank Should Not Be Confused With ABRIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.
Should You Invest in U?Looking at the earnings estimate revisions for Unity Software, the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $0.99.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Unity Software. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Unity Software.
Key Takeaways RBLX says January global age checks for chat access slowed DAU growth after prior surges.RBLX cut 2026 guidance to 20-25% revenue growth and 8-12% bookings as chat use fell.RBLX had 51% of DAUs age-checked; aims more than 90%, and will add global chat and preset messages. Roblox Corporation (RBLX - Free Report) is navigating a key investor concern as its safety-first platform changes create near-term friction in user growth, communication activity and bookings expectations. Management said DAU growth slowed from the roughly 70% rates seen in the prior two quarters, with user acquisition and engagement affected by the January rollout of global age checks for chat access.
The concern centers on how closely communication is tied to Roblox’s engagement model. Following the age-check rollout, users who had not completed verification lost access to chat, reducing the share of users communicating on the platform. Roblox also limited adult communication with users under 16, further weighing on communication density. Management noted that the impact extended beyond unverified users, as age-checked users also had fewer people available to interact with.
That friction is now reflected in the company’s revised outlook. Roblox stated that reduced communication activity, along with discovery algorithms that had leaned more toward monetization, likely hurt app store ratings and organic sign-ups. The company lowered its full-year guidance to revenue growth of 20-25% and bookings growth of 8-12%. It also expects DAUs to decline sequentially from the first quarter to the second quarter before returning to sequential growth in the third quarter.
Roblox is responding with product changes aimed at rebuilding communication density while keeping a safer platform framework intact. Management said 51% of global DAUs had completed age checks by quarter-end, with a long-term ambition to move that figure above 90%. Planned initiatives include global chat, in-game party chat integration and preset messages to support gameplay coordination. These updates are intended to restore social interaction without reversing the company’s safety objectives.
How Are Roblox’s Competitors Faring?Unity Software Inc. (U - Free Report) is benefiting from a different industry dynamic. Unity Software said 90% of game developers are already using AI in workflows, while newly published Made with Unity games increased 12% sequentially and new Unity sign-ups rose 20% quarter over quarter. Unity Software’s investor focus is therefore more tied to creator-tool adoption and monetization infrastructure, while Roblox is working through a safety-led reset in social engagement.
Take-Two Interactive Software, Inc. (TTWO - Free Report) remains more franchise-led, with growth supported by owned titles and recurrent consumer spending. Take-Two reported third-quarter net bookings of $1.76 billion and raised its fiscal-year net bookings outlook to $6.65-$6.7 billion, supported by NBA 2K, Grand Theft Auto and mobile titles. Compared with Roblox, Take-Two has less direct exposure to platform-level communication friction because its growth is driven more by premium franchises and live-service spending.
For Roblox, the key issue is whether safety enhancements can coexist with stronger organic user acquisition. A return to sequential DAU growth in the third quarter, along with improved communication density, would be important evidence that the safety reset is becoming a long-term platform advantage rather than a sustained drag on bookings.
RBLX’s Stock Price Performance, Valuation & EstimatesRoblox shares have declined 28.8% over the past three months compared with the industry’s fall of 2.5%.
RBLX Three-Month Price Performance
Image Source: Zacks Investment Research
From a valuation standpoint, RBLX trades at a forward 12-month price-to-sales (P/S) multiple of 3.72, well above the industry average of 2.13.
RBLX’s P/S Ratio (Forward 12-Month) vs. Industry
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for RBLX’s 2026 earnings implies a year-over-year increase of 5.8%. Estimates for 2026 loss per share have narrowed in the past 30 days.
Image Source: Zacks Investment Research
EPS Trend of RBLX StockRoblox has a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Unity Software Inc. (U - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this company have returned +1.6%, compared to the Zacks S&P 500 composite's +4.6% change. During this period, the Zacks Internet - Software industry, which Unity Software falls in, has lost 4.8%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Unity Software is expected to post earnings of $0.22 per share for the current quarter, representing a year-over-year change of +184.6%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.
The consensus earnings estimate of $0.99 for the current fiscal year indicates a year-over-year change of +15.1%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $1.22 indicates a change of +23.4% from what Unity Software is expected to report a year ago. Over the past month, the estimate has changed +1.1%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Unity Software.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
For Unity Software, the consensus sales estimate for the current quarter of $510.93 million indicates a year-over-year change of +15.9%. For the current and next fiscal years, $2.12 billion and $2.39 billion estimates indicate +14.6% and +12.8% changes, respectively.
Last Reported Results and Surprise HistoryUnity Software reported revenues of $508.24 million in the last reported quarter, representing a year-over-year change of +16.8%. EPS of $0.23 for the same period compares with -$0.19 a year ago.
Compared to the Zacks Consensus Estimate of $500.57 million, the reported revenues represent a surprise of +1.53%. The EPS surprise was -4.17%.
Over the last four quarters, Unity Software surpassed consensus EPS estimates two times. The company topped consensus revenue estimates each time over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Unity Software is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Unity Software. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
VICTORIA, Seychelles, May 25, 2026 (GLOBE NEWSWIRE) -- Bitget, the world’s largest Universal Exchange (UEX), has announced the addition of United Stables (U) for spot trading in the Stablecoin zone. Trading for the U/USDT pair opens on May 25, 2026, 08:00 (UTC), with withdrawals available from May 26, 2026, 09:00 (UTC).
United Stables is a decentralized stablecoin protocol on the BNB Chain designed to issue $U, a censorship-resistant, verifiable, and yield-bearing digital asset that bridges the gap between decentralized transparency and institutional stability. The platform addresses the structural fragmentation of the stablecoin market, specifically the trade-offs between centralized custodial risks and decentralized liquidity constraints, by utilizing a hybrid collateralization framework backed by a diversified basket of liquid cryptocurrencies and tokenized real-world assets (RWAs). This dual-reserve architecture mitigates systemic market volatility, while real-time, on-chain Proof of Reserves (PoR) oracles continuously verify collateralization levels to guarantee a transparent, secure 1:1 fiat peg.
The protocol transforms idle digital cash into productive capital without requiring manual staking or incurring additional gas expenditures by integrating automated, native yield distribution directly within the token mechanics. The ecosystem maximizes asset efficiency through programmable auto-compounding, generating sustainable returns sourced from short-term treasury bills and liquid staking derivatives. Consequently, the utility of $U extends beyond a standard medium of exchange into high-efficiency DeFi collateral, low-cost cross-border remittances, and stable base-trading pairs. Ultimately, United Stables establishes a highly resilient monetary infrastructure that enhances capital efficiency, lowers barriers to yield generation, and strengthens liquidity across the broader Web3 ecosystem.
Bitget’s Universal Exchange (UEX) combines exchange grade infrastructure with OnChain access, giving users a single account to discover and trade millions of tokens across leading networks. While this open gateway enables broad market access without traditional listing bottlenecks, Bitget’s listing highlights a different tier of assets—projects with real backing, clear utility, strong community and partner support. Together, UEX offers both breadth and quality: universal discovery at scale, and curated opportunities for users who prefer to explore crypto's vastness. The addition of United Stables (U) further enhances these opportunities, reinforcing Bitget’s role in bridging the gap between the transparency of decentralized finance and the stability of institutional-grade, yield-bearing digital assets.
For more details on United Stables (U), visit here.
About Bitget
Bitget is the world's largest Universal Exchange (UEX), serving over 125 million users and offering access to over 2M crypto tokens, 100+ tokenized stocks, ETFs, commodities, FX, and precious metals such as gold. The ecosystem is committed to helping users trade smarter with its AI agent, which co-pilots trade execution. Bitget is driving crypto adoption through strategic partnerships with LALIGA and MotoGP™. Aligned with its global impact strategy, Bitget has joined hands with UNICEF to support blockchain education for 1.1 million people by 2027. Bitget currently leads in the tokenized TradFi market, providing the industry's lowest fees and highest liquidity across 150 regions worldwide.
For more information, visit: Website | Twitter | Telegram | LinkedIn | Discord
Risk Warning: Digital asset prices are subject to fluctuation and may experience significant volatility. Investors are advised to only allocate funds they can afford to lose. The value of any investment may be impacted, and there is a possibility that financial objectives may not be met, nor the principal investment recovered. Independent financial advice should always be sought, and personal financial experience and standing carefully considered. Past performance is not a reliable indicator of future results. Bitget accepts no liability for any potential losses incurred. Nothing contained herein should be construed as financial advice. For further information, please refer to our Terms of Use.
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/2fa87f38-ceff-4757-afdd-f28067df17db
Key Takeaways Unity enters 2H26 with balanced growth as ad execution, margins, and liquidity improve.U's Vector platform drives 49% Grow revenue growth, boosting targeting and advertiser spending.Margin expansion, $66M free cash flow, and $2.14B cash support ongoing investments. Unity Software (U - Free Report) is entering the second-half of 2026 with a more balanced investment profile as improving advertising execution, expanding margins, and healthy liquidity support its long-term outlook. The company continues benefiting from stronger monetization within its Grow business, particularly through its Vector advertising platform, while ongoing restructuring efforts are helping stabilize profitability.
The stock has gained investor attention after Unity delivered stronger operating performance during recent quarters. However, valuation concerns and transition-related risks continue limiting the potential for a fully bullish investment thesis. Against this backdrop, Unity increasingly looks like a balanced growth story rather than an aggressive momentum play.
U Stock Outlook Anchored in Balanced Growth ProfileUnity’s long-term outlook remains neutral, with expectations that the stock will perform broadly in line with the market instead of significantly outperforming. The company’s improving fundamentals support stability, but restructuring noise and valuation concerns continue preventing a more directional bullish stance.
The investment case reflects strong Growth and Momentum characteristics offset by a weaker Value profile. Growth-oriented investors continue focusing on Unity’s improving ad monetization trends, while momentum indicators have strengthened alongside better profitability and free cash flow generation.
However, the stock does not appear deeply discounted relative to its operational and execution risks. That creates a setup where Unity looks suitable for investors seeking selective upside exposure instead of a high-conviction growth opportunity.
Unity Software Growth Powered by Vector Ad MomentumUnity’s Grow segment remains the company’s most important growth engine heading into 2026. The primary catalyst has been Vector, Unity’s machine-learning advertising platform, which continues improving targeting, prediction accuracy, and advertiser engagement.
Strategic Grow revenue increased 49% year over year during the first quarter of 2026, driven largely by continued strength within the Unity Ad Network. Management attributed the acceleration to product upgrades and improving campaign optimization tied to Vector.
A major operational improvement involved the rollout of Day-28 return-on-ad-spend optimization. Advertisers are seeing better long-term campaign visibility compared with earlier Day-7 optimization methods, resulting in stronger advertiser confidence and higher spending levels.
Management also guided for Strategic Grow revenue growth of 50-52% year over year during the second quarter of 2026, reinforcing expectations that momentum will remain healthy.
Longer term, Unity expects runtime behavioral data integration to strengthen advertising performance further by incorporating richer user signals into live production models.
The emphasis on advanced advertising intelligence mirrors broader monetization initiatives at Roblox, where engagement-driven advertising opportunities are becoming increasingly important.
U Financial Trends Show Margin Expansion and Cash StrengthUnity’s first-quarter 2026 results reflected meaningful profitability improvement. Adjusted EBITDA increased to $138 million, while adjusted EBITDA margin expanded to 27%, improving significantly from the prior-year period.
The company also demonstrated improving cost discipline across key expense categories. Research and development spending declined as a percentage of revenue, while sales and marketing expenses improved alongside lower general and administrative costs.
Liquidity remains another important strength. Unity generated $66 million in free cash flow during the quarter and ended the period with approximately $2.14 billion in cash and equivalents.
The strong balance sheet provides flexibility to continue funding artificial intelligence initiatives, platform improvements, and future debt obligations.
Liquidity strength remains particularly important compared with Digital Turbine, which has experienced greater pressure from advertising volatility and platform uncertainty.
Unity Software Risks From Transition and Ad VolatilityUnity still faces several risks that could create near-term volatility. The company continues navigating revenue noise tied to the ironSource Ad Network shutdown and the planned Supersonic divestiture.
Approximately 80% of Grow revenue now comes from the Unity Ad Network, increasing exposure to advertiser spending shifts and mobile gaming demand trends.
Execution risk also remains elevated as Unity integrates runtime behavioral data into live production models.
Investors are also comparing Unity’s monetization strategy with peers such as AppLovin (APP - Free Report) , Roblox (RBLX - Free Report) and Digital Turbine (APPS - Free Report) as competition intensifies across gaming and mobile advertising markets.
U Valuation Reflects Fair Pricing Relative to Growth OutlookUnity currently trades near 22.18x forward earnings, below its historical median valuation of 412.02x. The valuation appears reasonable relative to sector benchmarks and aligns with Unity’s balanced outlook.
Comparisons with Roblox and Digital Turbine also highlight how investor sentiment across digital advertising and gaming companies remains highly sensitive to monetization consistency and execution.
ConclusionOverall, Unity appears positioned as a hold-type stock with selective upside tied to continued Vector momentum, expanding margins, and improving cash generation. Unity currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Key Takeaways Unity Software is integrating AI across Create and Grow to unify development and monetization workflows.U's Vector platform and runtime data aim to improve ad targeting, measurement and long-term ROI.Unity Software faces execution risks as it rolls out AI models and exits nonstrategic ad units. Unity Software (U - Free Report) is strengthening its position at the intersection of artificial intelligence and advertising technology as it expands the connection between its creation tools and monetization engines. The company’s broader strategy reflects a platform approach that combines interactive 3D development, live services and ad optimization into one ecosystem. Rather than functioning solely as a gaming engine provider, Unity is increasingly positioning itself as an end-to-end platform supporting developers across creation, deployment and monetization.
Unity Software AI Integration Expands Across Create and GrowThe company’s Create and Grow segments are becoming more interconnected through artificial intelligence initiatives. On the Create side, Unity AI entered public beta in early May 2026 as an integrated agent tuned for Unity workflows. The tool is intended to automate repetitive coding tasks, improve asset generation efficiency and accelerate production timelines for studios building games and immersive experiences. By embedding AI directly into development workflows, Unity aims to improve productivity while strengthening developer engagement with its broader ecosystem.
AI is also becoming increasingly important across Unity’s monetization business. Runtime behavioral data is expected to play a larger role in campaign optimization and engagement measurement over time. On the Grow side, Unity expects runtime behavioral data to begin influencing live models later in the second quarter of 2026.
Management believes richer behavioral signals can improve advertiser targeting and increase the long-term efficiency of monetization tools across mobile and immersive environments.
U Ad Tech Innovation Driven by Vector and Data SignalsUnity’s advertising technology push is increasingly centered around Vector, the company’s machine-learning platform focused on targeting, prediction and measurement improvements. Vector has supported stronger campaign optimization capabilities while helping advertisers evaluate user quality over longer periods. The transition from Day-7 to Day-28 return-on-ad-spend optimization reflects a broader industry shift toward measuring lifetime user value instead of near-term activity. Unity believes the addition of runtime behavioral signals into production systems can further stabilize growth and improve advertising consistency as adoption expands.
Unity Software Industry Trends Support Long-Term DemandSeveral industry trends continue supporting long-term demand for Unity’s platform. Growth across gaming, extended reality and immersive digital experiences is increasing the need for scalable real-time 3D infrastructure. Unity is also benefiting from partnership expansion within the virtual reality ecosystem through deeper collaboration with Meta Platforms. The partnership supports developers building VR applications while broadening Unity’s exposure to next-generation immersive content opportunities.
Competition across interactive software and advertising technology remains intense. AppLovin (APP - Free Report) continues expanding its AI-driven advertising business, creating pressure on Unity’s Grow segment as advertisers increasingly prioritize measurable returns. Roblox Corporation (RBLX - Free Report) benefits from strong creator engagement and monetization trends, reinforcing investor interest in interactive digital platforms. Although Roblox Corporation operates a more consumer-facing ecosystem, Unity’s broader platform strategy provides exposure across developers, enterprises and gaming studios. Take-Two Interactive Software (TTWO - Free Report) reflects broader demand for premium gaming experiences requiring advanced development pipelines and monetization support. Importantly, Take-Two Interactive Software highlights how content growth across console, PC and mobile platforms can indirectly support Unity’s long-term ecosystem expansion.
U Execution Will Determine AI Monetization SuccessUnity’s near-term transition includes a multi-step rollout of runtime data into production models, rather than a single launch event. That pacing can reduce the odds of abrupt upside and increases the cost of missteps in data integration, model tuning and measurement as advertisers scale spend.
Unity is also managing noise from exiting nonstrategic lines, including the ironSource Ad Network sunset effective April 30, 2026, alongside a planned Supersonic divestiture. That runoff can create quarter-to-quarter variability even when the strategic engines are improving.
The longer-term upside rests on sustained developer engagement with Unity AI, web workflows and commerce capabilities, while Grow continues to advance measurement and targeting through Vector and richer signals. Strong liquidity supports that investment stance, including management’s intent to address a $558 million convertible maturity due in November 2026 while keeping product work intact.
Unity currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Shares of Unity Software Inc. (U - Free Report) have gained 0.9% over the past four weeks to close the last trading session at $26.77, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $36.84 indicates a potential upside of 37.6%.
The mean estimate comprises 20 short-term price targets with a standard deviation of $6.27. While the lowest estimate of $28.00 indicates a 4.6% increase from the current price level, the most optimistic analyst expects the stock to surge 101.7% to reach $54.00. It's very important to note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.
While the consensus price target is highly sought after by investors, the ability and unbiasedness of analysts in setting price targets have long been questionable. And investors making investment decisions solely based on this tool would arguably do themselves a disservice.
However, an impressive consensus price target is not the only factor that indicates a potential upside in U. This view is strengthened by the agreement among analysts that the company will report better earnings than what they estimated earlier. Though a positive trend in earnings estimate revisions doesn't give any idea as to how much the stock could surge, it has proven effective in predicting an upside.
Price, Consensus and EPS Surprise
Here's What You Should Know About Analysts' Price TargetsAccording to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that price targets set by several analysts, irrespective of the extent of agreement, rarely indicate where the price of a stock could actually be heading.
While Wall Street analysts have deep knowledge of a company's fundamentals and the sensitivity of its business to economic and industry issues, many of them tend to set overly optimistic price targets. Are you wondering why?
They usually do that to drum up interest in shares of companies that their firms either have existing business relationships with or are looking to be associated with. In other words, business incentives of firms covering a stock often result in inflated price targets set by analysts.
However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces.
That said, while investors should not entirely ignore price targets, making an investment decision solely based on them could lead to disappointing ROI. So, price targets should always be treated with a high degree of skepticism.
Why U Could Witness a Solid UpsideThere has been increasing optimism among analysts lately about the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher. And that could be a legitimate reason to expect an upside in the stock. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current year, three estimates have moved higher over the last 30 days while two have gone lower. As a result, the Zacks Consensus Estimate has increased 144.4%.
Moreover, U currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Therefore, while the consensus price target may not be a reliable indicator of how much U could gain, the direction of price movement it implies does appear to be a good guide.
AI-focused Unity Software Inc (NYSE:U) is trading 1.9% higher at $27.26 this afternoon, headed for its third-straight daily win. U is down 39% since the start of the year, and another pullback could be on the horizon as a U nears a historically bearish trendline on the charts.
According to Schaeffer's Senior Quantitative Analyst Rocky White, shares are within 0.75 of the 100-day moving average's 100-day average true range (ATR), after remaining below it 80% of the time in the past two weeks and in 80% of the last 42 trading sessions.
This signal has occurred four times in the last 10 years, after which U was lower one month later 67% of the time, averaging a 10.1% loss. From its current perch, a pullback of this weight would put the tech stock back below $25.
Currently, 15 of the 23 brokerages in coverage sport a "buy" or "strong buy" recommendation. This leaves ample room for more bears to move in, should this bullish attention begin to unwind.
Options look like an attractive route when weighing on the stock's next moves, per its Schaeffer's Volatility Index (SVI) of 70% that sits higher than just 16% of all other readings from the past year. In other words, near-term option traders are pricing in relatively low volatility expectations.
Unity Software stock's Schaeffer's Volatility Scorecard (SVS) comes in at 86 out of 100. In other words, the security has consistently realized higher volatility than its options have priced in over the past 12 months.
Investors might want to bet on Unity Software Inc. (U - Free Report) , as earnings estimates for this company have been showing solid improvement lately. The stock has already gained solid short-term price momentum, and this trend might continue with its still improving earnings outlook.
The rising trend in estimate revisions, which is a result of growing analyst optimism on the earnings prospects of this company, should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Our stock rating tool -- the Zacks Rank -- has this insight at its core.
The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.
For Unity Software Inc., strong agreement among the covering analysts in revising earnings estimates upward has resulted in meaningful improvement in consensus estimates for the next quarter and full year.
The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate:
12 Month EPS
Current-Quarter Estimate RevisionsFor the current quarter, the company is expected to earn $0.24 per share, which is a change of +192.3% from the year-ago reported number.
The Zacks Consensus Estimate for Unity Software has increased 640% over the last 30 days, as three estimates have gone higher while two have gone lower.
Current-Year Estimate RevisionsFor the full year, the earnings estimate of $1.03 per share represents a change of +19.8% from the year-ago number.
In terms of estimate revisions, the trend for the current year also appears quite encouraging for Unity Software. Over the past month, three estimates have moved higher compared to two negative revisions, helping the consensus estimate increase 144.4%.
Favorable Zacks RankThe promising estimate revisions have helped Unity Software earn a Zacks Rank #2 (Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.
Bottom LineInvestors have been betting on Unity Software because of its solid estimate revisions, as evident from the stock's 6.3% gain over the past four weeks. As its earnings growth prospects might push the stock higher, you may consider adding it to your portfolio right away.
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.
The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.
Zacks Premium includes access to the Zacks Style Scores as well.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
#1 (Strong Buy) stocks have produced an unmatched +23.7% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Unity Software Inc. (U - Free Report) Unity Software Inc. provides a platform to develop, deploy and grow games and interactive 3D experiences across mobile, PC, console and extended reality. Its software supports creators through the full content lifecycle, including prototyping, real-time rendering, live operations, user acquisition and monetization. San Francisco, CA-based Unity markets solutions globally through direct and indirect channels with field sales in North America, China, France, the United Kingdom, Israel, Japan and South Korea.
U is a #2 (Buy) on the Zacks Rank, with a VGM Score of B.
Momentum investors should take note of this Computer and Technology stock. U has a Momentum Style Score of A, and shares are up 13.3% over the past four weeks.
Three analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.07 to $1.03 per share. U also boasts an average earnings surprise of +7.4%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, U should be on investors' short list.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Unity Software Inc. (U - Free Report) .
Unity Software currently has an average brokerage recommendation (ABR) of 1.79, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 24 brokerage firms. An ABR of 1.79 approximates between Strong Buy and Buy.
Of the 24 recommendations that derive the current ABR, 14 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 58.3% and 4.2% of all recommendations.
Brokerage Recommendation Trends for U
Check price target & stock forecast for Unity Software here>>>
The ABR suggests buying Unity Software, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.
Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
In contrast, the Zacks Rank is driven by earnings estimate revisions. And near-term stock price movements are strongly correlated with trends in earnings estimate revisions, according to empirical research.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.
Is U Worth Investing In?Looking at the earnings estimate revisions for Unity Software, the Zacks Consensus Estimate for the current year has increased 144.4% over the past month to $1.03.
Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Unity Software. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Therefore, the Buy-equivalent ABR for Unity Software may serve as a useful guide for investors.
Unity Software delivered excellent Q1 results, and Q2 guidance was similarly upbeat. U's strategic focus on indie and small studio developers, combined with a leaner cost structure, positions it to benefit as the industry shifts away from blockbuster triple-A titles. Vector AI-driven advertising is a key growth driver, with Vector revenues up 80% YoY and the Grow division guiding for ~50% growth in Q2.
AstraZeneca PLC (LON: AZN - Get Free Report) has received an average recommendation of "Moderate Buy" from the six brokerages that are currently covering the firm, Marketbeat.com reports. One investment analyst has rated the stock with a sell recommendation and five have assigned a buy recommendation to the company. The average 12-month price objective among analysts
AstraZeneca PLC (LON: AZN - Get Free Report) shares passed above its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of £134.71 and traded as high as £140.80. AstraZeneca shares last traded at £140.76, with a volume of 214,151,109 shares traded. Analyst Ratings Changes A number of analysts have
AstraZeneca PLC (LSE:AZN, NASDAQ:AZN) shares rose 3% to 14,230p, placing the drugmaker at the top of the FTSE 100 leaderboard on a subdued Friday session, after its experimental COPD treatment tozorakimab succeeded in two late-stage clinical trials.
The results mark the first positive phase III readout from a programme of more than 20 major data releases AstraZeneca expects to deliver in 2026, each adding weight to the company's ambition to reach $80 billion in annual revenue by 2030.
Tozorakimab met its primary endpoint in both the OBERON and TITANIA trials, reducing the rate of moderate-to-severe exacerbations in patients with chronic obstructive pulmonary disease (COPD), the progressive lung condition that is the third leading cause of death worldwide, affecting nearly 400 million people.
The drug works by blocking interleukin-33 (IL-33), a protein the body releases in response to damage or irritation in the airways.
When IL-33 is activated, it triggers inflammation and contributes to the build-up of excess mucus that makes breathing progressively harder for COPD patients, setting off a damaging cycle of worsening that can lead to hospitalisation or death.
By intercepting IL-33 at source and neutralising both its active and oxidised forms, tozorakimab aims to break that cycle simultaneously at two points: cooling the inflammatory response and clearing the mucus dysfunction that standard inhaled therapies cannot adequately address.
The trials enrolled patients who were still experiencing exacerbations despite being on standard inhaled treatments, a population with significant unmet medical need.
Tozorakimab, administered as a 300mg injection every four weeks on top of existing therapy, reduced exacerbation rates in both former smokers, the primary study population, and in the broader group, including current smokers and patients across all levels of a blood marker called eosinophils, a type of white blood cell often used to categorise COPD patients for treatment.
The drug was described as generally well-tolerated with a favourable safety profile.
Frank Sciurba, professor of pulmonary and critical care medicine at the University of Pittsburgh and chief investigator of the trial programme, said the results suggested meaningful clinical benefit across a broad COPD population, regardless of smoking status or eosinophil levels.
Sharon Barr, AstraZeneca's executive vice president of biopharmaceuticals research and development, described the outcome as a major scientific advancement, noting that tozorakimab is the first IL-33-targeting biologic to demonstrate statistically significant reductions in COPD exacerbations across two replicate phase III trials.
Two further last-stage clinical evaluations of tozorakimab in COPD, PROSPERO and MIRANDA, are ongoing, alongside separate studies in severe viral lower respiratory tract disease and asthma.
Graphene Manufacturing Group Ltd (TSX-V:GMG, OTCQX:GMGMF) announced that it has been certified as a Verified Graphene Producer by the Advanced Carbons Council.
The certification is part of the council’s Verified Graphene Producer program, which involves third-party validation of both the graphene material and its production process.
The process includes on-site inspections of manufacturing facilities and testing through independent laboratories to confirm the material’s origin and characteristics. The program follows established international standards for graphene classification and measurement.
In addition to the certification, the company reported that it has passed a recent ISO 9001:2015 quality audit covering its manufacturing, distribution, and technical support operations. The ISO 9001 standard is widely used to assess quality management systems across industries.
Craig Nicol, GMG’s CEO, said the verification places the company among a limited number of globally recognized graphene producers.
“Verification by the Advanced Carbon Council as one of five currently verified global graphene producers is another proof of the high quality of our graphene and why our graphene products function at such a world leading standard,” Nicol said.
He added that the successful quality system audit demonstrates the company’s ability to translate its materials into commercially viable products.
Jack Perkowski, chairman and non-executive director, described the third-party validation as an important milestone for the company’s operations in advanced materials.
“Congratulations to the team on getting this third-party verification on the graphene and quality management system — a real table stake when it comes to producing carbon nano material products,” Perkowski said.
The certification was also welcomed by the council. Terrance Barkan, executive director of the Advanced Carbons Council, said the program provides independent assurance to stakeholders evaluating graphene suppliers.
“We are proud to count Graphene Manufacturing Group as the newest member of a select group of graphene companies to have passed a rigorous in-person inspection of their facilities and a thorough examination of their graphene material,” Barkan said.
He noted that third-party validation can be a valuable tool for customers and investors when assessing producers.
Tiziana Life Sciences Ltd (NASDAQ:TLSA) unveiled new preclinical data suggesting that its investigational therapy, intranasal foralumab, may offer a novel approach to addressing neuroinflammation associated with aging.
The company highlighted that neuro inflammation is widely recognized as a contributing factor to cognitive decline in age-related neurological conditions.
The study found that nasal delivery of anti-CD3 therapy was able to reverse several key features of brain aging and improve cognitive performance in preclinical models.
Among the primary findings, the therapy appeared to reduce activation of microglia—immune cells in the brain that, when overactive, can drive chronic inflammation. This reduction in neuroinflammation is considered significant, as persistent inflammatory processes have been strongly linked to age-related cognitive decline.
The study also reported increased neurogenesis in the hippocampus, a region of the brain essential for memory and learning. In addition, the treatment was associated with reduced cellular senescence, achieved through the downregulation of inflammatory markers and genes linked to aging.
Howard Weiner, chairman of the company’s Scientific Advisory Board and co-director of the Ann Romney Center for Neurologic Diseases at Brigham and Women’s Hospital, said the findings add to a growing body of evidence supporting the therapy’s mechanism.
“By targeting T cells to influence microglial behavior and promote brain repair mechanisms like neurogenesis, nasal anti-CD3 offers a differentiated, non-invasive approach with potential applications in age related cognitive impairment,” Weiner said.
Tiziana CEO Ivor Elrifi added that the that the results reinforce the proposed mechanism of intranasal foralumab, which involves stimulating regulatory T cells to reduce neuroinflammation.
Tiziana is currently evaluating intranasal foralumab in clinical trials for several neurological conditions, including non-active secondary progressive multiple sclerosis, multiple system atrophy, amyotrophic lateral sclerosis, and Alzheimer’s disease. The company is also expanding its preclinical research into additional applications related to aging.
Shares of Tiziana added 6.8% on Wednesday morning.
New Era Energy & Digital (NASDAQ:NUAI) announced that it has signed a non-binding letter of intent to form a joint venture aimed at developing and financing its Texas Critical Data Centers (TCDC) campus in West Texas.
The proposed partnership would bring together New Era, data center developer Stream Data Centers, and an unnamed institutional investor that would provide equity capital and help arrange project financing.
The collaboration is intended to support the construction of a large-scale data center campus designed for artificial intelligence and high-performance computing workloads.
Under the terms outlined in the letter of intent, New Era is expected to contribute control of the project site and local relationships, while Stream Data Centers would take on responsibilities related to development, leasing, and operations.
The institutional investor would lead financing efforts, which are expected to include a significant portion of debt funding.
New Era said that it plans to remain an active stakeholder in the project by co-investing equity alongside the institutional partner, rather than acting solely as a land provider.
The company said this structure could allow it to generate ongoing revenue through distributions tied to operating cash flow once initial phases of the project become operational.
The project is expected to be structured through a newly formed limited liability company. Governance provisions are anticipated to include protections and rights for New Era as a partner in the venture.
“The fact that Stream and a premier provider of infrastructure capital have chosen to partner with New Era validates both the strategic value of the TCDC campus and the strength of our development strategy and platform,” New Era CEO E. Will Gray II said in a statement.
“This LOI represents an important step in advancing TCDC toward delivery, and we remain focused on progressing toward a definitive agreement with Stream.”
The TCDC campus is planned for a 438-acre site near Odessa, Texas. It is designed as a multi-phase development, with projected capacity exceeding 1 gigawatt over time.
Shares of New Era were up 6.7% on Wednesday morning.
A positive phase three trial result in a hard-to-treat cancer adds fresh momentum to one of AstraZeneca's most important growth drivers.
Liver cancer is one of the most difficult cancers to treat, and for patients whose tumours cannot be surgically removed, options have historically been limited.
That is what makes AstraZeneca PLC (LSE:AZN, NASDAQ:AZN) latest clinical trial result significant.
The FTSE 100 drugmaker has shown that its immunotherapy Imfinzi, used in combination with three other treatments, can meaningfully delay disease progression in patients with unresectable hepatocellular carcinoma, the most common form of liver cancer, compared with the standard treatment alone.
Immunotherapies work by helping the body's own immune system recognise and attack cancer cells, rather than using chemotherapy to kill them directly.
The result, from a large-scale phase three trial called EMERALD-3, is the kind of rigorous clinical evidence that regulators require before approving a new treatment, meaning a formal application to bring the combination to market is now a realistic near-term prospect.
For AstraZeneca, the commercial implications are considerable.
Citi, which rates the company a buy, already forecasts Imfinzi will generate peak annual sales of $11 billion by 2030, a figure roughly 20% above what most City analysts currently expect, and this trial result helps support that case.
That puts the product in the super-blockbuster category, which is any drug with annual revenues above $10 billion.
Imfinzi is already approved in lung, bladder and bile duct cancers, and further trial readouts in bladder and oesophageal cancers are expected later this year.
Each successful indication adds another layer of revenue to what is rapidly becoming one of the most versatile drugs in AstraZeneca's portfolio, and a central pillar of its growth story.
UBS and Citi both maintain 'buy' ratings on the Anglo-Swedish drugmaker ahead of its first-quarter results, with a rich pipeline of clinical catalysts adding to the investment case.
AstraZeneca PLC (LSE:AZN, NASDAQ:AZN) reports first-quarter 2026 results on 29 April, with UBS flagging several moving parts that investors will watch closely when the numbers land.
In a preview note, UBS highlights continued strong momentum expected from key cancer drugs Imfinzi, Tagrisso and Calquence, while cautioning that Farxiga, a treatment for type 2 diabetes and heart failure, is likely to show some impact from wholesaler destocking in the US ahead of its loss of exclusivity (LOE), the point at which generic competitors can enter the market.
UBS also flags that three AZ drugs faced volume-based procurement (VBP) in China during the quarter, a government-mandated pricing process under which the company chose not to offer price concessions and, as a result, was excluded from the programme, leaving Forxiga, Lynparza and roxadustat facing mandatory price cuts of 20%, 30% and 30%, respectively.
On the cost side, UBS anticipates higher selling and administrative expenses in the first quarter as AstraZeneca prepares for launches of camizestrant and baxdrostat, two drugs in late-stage development targeting breast cancer and cardiovascular disease, respectively.
UBS maintains its 'buy' rating and 12-month price target of 17,600p, implying upside of around 15% from the current price of 15,274p.
Citi is more bullish, raising its price target to £180 from £170 after updating its model for first-quarter developments, with the bank's earnings per share compound annual growth rate forecast for 2027 to 2030 rising to 15% from 13%.
Citi's upgrade reflects increased confidence in camizestrant following a rival drug's clinical failure, which Citi says expands the addressable market, and a significantly higher probability of success assigned to tozorakimab, a drug targeting lung disease, following positive headline trial data.
AstraZeneca PLC's (LSE:AZN, NASDAQ:AZN) Ultomiris has met its primary endpoint in a phase III trial targeting immunoglobulin A nephropathy (IgAN), a rare inflammatory kidney disease that can progress to kidney failure.
The results showed a statistically significant reduction in proteinuria, the presence of excess protein in urine that indicates kidney damage.
The interim results from the I CAN trial showed Ultomiris, known generically as ravulizumab, reduced proteinuria based on a 24-hour urine protein creatinine ratio (UPCR) at week 34, with reductions observed as early as week 10.
IgAN affects more than 560,000 people across the US, EU and Japan and occurs when abnormal proteins trigger immune complexes that deposit in the kidneys, activating the body's complement system, a branch of the immune response, and driving inflammation that progressively damages kidney tissue.
Ultomiris works by blocking the C5 protein in the terminal complement cascade, the final stage of this immune response, preventing the body from attacking its own kidney cells.
Jonathan Barratt, professor of renal medicine at the University of Leicester and a trial investigator, said many patients with IgAN continue to progress to kidney failure despite advances in care, and described the results as promising.
Marc Dunoyer, chief executive of Alexion, AstraZeneca Rare Disease, said the company intends to file the data with regulatory authorities in key markets and will seek accelerated approval.
The safety profile was consistent with Ultomiris's established record, with no new concerns identified.
The trial's second primary endpoint, measuring the rate of kidney filtration at week 106, will be assessed at the final analysis when the full study completes.
AstraZeneca PLC (LSE:AZN, NASDAQ:AZN), the FTSE 100 pharmaceuticals giant, faces no material risk from its Japanese partner Daiichi Sankyo's decision to delay its full-year 2025 results, according to Citi, which maintains a 'buy' rating on the stock.
Daiichi Sankyo, which partners with AstraZeneca on cancer treatments Enhertu and Datroway, has pushed its results publication back from 27 April to 11 May to allow additional time to estimate loss provisions linked to contract manufacturers, citing a review of supply plans across its oncology portfolio in light of rapidly changing business conditions.
Citi notes that Daiichi has previously flagged manufacturing difficulties, including minor Enhertu inventory write-downs of around $30 million in the second quarter of its 2025 financial year due to unqualified production lots, a problem since identified and resolved with no expected impact on supply.
The Japanese drugmaker also recorded around $110 million in compensation fees and inventory write-downs relating to contract manufacturers for Datroway and HER3-DXD, the latter developed in partnership with Merck, in the year to December 2025.
Citi's analysts believe the delay reflects Daiichi working through issues within its own manufacturing network rather than any fundamental problem with the Enhertu or Datroway franchises, which are forecast to contribute 6.5% and 11% of AstraZeneca's revenues in 2026 and 2030 respectively.
The bank sees little or no impact on sales of either drug and retains its positive stance on AstraZeneca's shares.
AstraZeneca PLC (LSE:AZN, NASDAQ:AZN) shares fell 1.9% to 13,688p after the US regulator's advisory panel declined to back its camizestrant treatment in a key breast cancer setting.
The FTSE 100 drugmaker said the Oncologic Drugs Advisory Committee of the Food and Drug Administration (FDA) voted three to six against the benefit-risk profile of camizestrant in combination with a CDK4/6 inhibitor for first-line treatment of advanced hormone receptor-positive breast cancer.
AstraZeneca noted the FDA is not bound by the panel’s recommendation but will take it into account as it reviews the application.
The decision comes despite positive data from the Phase III SERENA-6 trial, which showed a 56% reduction in the risk of disease progression or death compared with standard care.
Median progression-free survival was 16.0 months for patients on the camizestrant combination versus 9.2 months for those on existing treatments.
Susan Galbraith, executive vice president of oncology R&D, said the company was “disappointed with the mixed outcome” but remained confident in the drug’s clinical benefit.
Regulatory reviews are ongoing in other regions including the EU and Japan.
Also on Friday, AstraZeneca saw more positive news elsewhere, with a separate FDA advisory panel voting seven to one in favour of its Truqap combination for a form of prostate cancer.
The treatment showed a 19% reduction in the risk of disease progression or death in late-stage trials, supporting its potential as a targeted option in an area of high unmet need.
88 Energy Ltd (AIM:88E, ASX:88E, OTCQB:EEENF, FRA:POQ) told investors that it has lifted the scale of its South Prudhoe project in Alaska, upgrading total gross unrisked 2U prospective resources by around 35% to 768.9 million barrels of oil and natural gas liquids.
The company said the estimate equates to 640.7 million barrels net to 88E and confirms a multi-reservoir opportunity immediately south of the Prudhoe Bay Unit and Kuparuk River Unit on Alaska’s North Slope.
The update follows further geophysical analysis of Schrader Bluff 3D seismic velocity data. It includes a maiden Brookian prospective resource for the North-West Hub and an upgraded Ivishak estimate, particularly for the priority Augusta prospect.
The North-West Hub now carries 301.3 million barrels of gross unrisked 2U resources, while the South-East Hub contains 467.6 million barrels. Within the North-West Hub, the maiden Brookian estimate totals 181.5 million barrels gross 2U, including 61.2 million barrels at West Sak and 120.3 million barrels at Upper Schrader Bluff.
The Ivishak estimate for the North-West Hub increased around 44% to 69.9 million barrels gross 2U.
The planned Augusta-1 exploration well is now designed to test up to 133.7 million barrels gross unrisked 2U, or 111.4 million barrels net to 88E, across the Ivishak, Kuparuk and Brookian reservoir intervals.
88 Energy said Nordic Rig-3 has been secured for Augusta-1, with well planning, permitting and long-lead procurement advancing ahead of a planned drilling campaign during the CY2027 Alaskan winter season.
Sintana Energy Inc (TSX-V:SEI, OTCQB:SEUSF, FRA:3ZX1, AIM:SEI) has conditionally raised US$11.5 million to back a busy exploration programme, including drilling on the Chevron-operated Nabba-1 well in Namibia’s PEL 90.
The fundraise was priced at 22.5p per new common share on AIM and C$0.41 on the TSX-V, with the company set to issue 38.0 million new shares. The AIM price represents a 13.5% discount to Sintana’s 26p closing mid-market price on 14 May.
The raise comprises a US$10.8 million placing of 35.6 million shares and a US$0.7 million subscription for 2.37 million shares by directors and qualified investors from Canada and Australia. Chief executive Robert Bose and president Eytan Uliel each subscribed for 826,105 shares, investing US$250,000 apiece.
Bose said the oversubscribed fundraise, together with existing cash and proceeds from the Exxon settlement in Colombia, gives Sintana additional capital for Nabba-1 and the cash portion of acquisitions covering interests in PEL 37 in Namibia’s Walvis Basin and KON-16 in Angola’s Kwanza Basin.
AstraZeneca PLC (LSE:AZN, NASDAQ:AZN) has secured US approval for Baxfendy, the first in a new class of blood pressure medication to reach the market in more than two decades.
The drug works by blocking production of aldosterone, a hormone that can raise blood pressure to dangerous levels and increase the risk of heart and kidney damage.
Roughly half of all patients in the US who take multiple blood pressure medications still cannot get their condition under control, making hypertension the leading modifiable risk factor for heart attack, stroke, kidney disease and dementia.
In clinical trials published in the New England Journal of Medicine, Baxfendy at its higher dose lowered the top blood pressure reading by nearly 16 points, with close to 10 points of that reduction attributable to the drug rather than placebo effect.
That level of improvement is considered clinically meaningful because evidence suggests every 10-point drop in the top reading is associated with a roughly 20% lower risk of serious cardiovascular events.
Ruud Dobber, executive vice president of AstraZeneca's biopharmaceuticals unit, said the drug "offers a much-needed, first-in-class innovation for people living with persistently uncontrolled hypertension who have not responded to or tolerated existing medicines".
Separately, US regulators have approved two new uses for AstraZeneca and Daiichi Sankyo's breast cancer drug Enhertu, allowing it to be used for the first time in earlier-stage disease where the goal is to cure rather than manage the cancer.
Enhertu has been approved for use both before and after surgery in patients with HER2-positive breast cancer, a particularly aggressive form of the disease driven by excess levels of a growth-promoting protein.
In the post-surgery trial, Enhertu cut the risk of the cancer returning or death by 53% compared with an existing treatment, with more than nine in ten patients alive and disease-free after three years.
The approvals trigger $155 million in milestone payments from AstraZeneca to its Japanese partner Daiichi Sankyo.
Enhertu is already approved in more than 95 countries for advanced breast cancer and now covers both early and late-stage disease in the US.
Citi sees the risk-reward balance as favourable for AstraZeneca PLC (LSE:AZN, NASDAQ:AZN) ahead of headline results from a pivotal trial of its heart drug Wainua, expected in the third quarter of 2026.
Wainua is a TTR-silencer, a drug that suppresses production of a protein called transthyretin (TTR) which can misfold and accumulate in the heart and nerves, causing a progressive condition known as ATTR-cardiomyopathy (ATTR-CM).
The CARDIO-TTRansform trial is a phase three study examining Wainua's efficacy specifically in ATTR-CM patients, a larger and more commercially significant population than the nerve disease indication for which the drug is already approved.
Citi believes there is a relatively high probability that the trial hits its primary endpoint, which would push its peak Wainua sales estimate for ATTR-CM to $6 billion, or $7 billion including the existing nerve disease approval.
This is well above the risk-adjusted consensus of around $3 billion and represents a 2% uplift to the bank's discounted cash flow valuation.
If a secondary endpoint showing benefit in patients already treated with stabiliser drugs is also met, Citi sees peak ATTR-CM sales reaching $8 billion and total Wainua sales of $9 billion, equivalent to a 4% DCF uplift.
Trial failure would represent a 3% DCF downside, but Citi notes that even in this scenario, its valuation remains more than 20% above the current share price, suggesting investors should treat any weakness as a buying opportunity.
Deutsche Bank has kept its sell rating and 11,500p price target on AstraZeneca PLC (LSE:AZN, NASDAQ:AZN), the FTSE 100 pharmaceuticals giant, with the shares at 13,064p.
The bank's analyst judged the company's investor event at the American Society of Clinical Oncology (ASCO) annual conference in Chicago as broadly incremental, acknowledging AZ's formidable oncology track record while pointing to unresolved questions that temper enthusiasm.
The most closely watched data at ASCO was the phase III EMERALD-3 trial, which showed AstraZeneca's immunotherapy combination of Imfinzi (durvalumab) and Imjudo (tremelimumab), paired with lenvatinib and transarterial chemoembolisation (TACE), cut the risk of disease progression or death by 30% versus TACE alone in patients with unresectable liver cancer eligible for embolisation.
Despite the positive readout, Deutsche flagged uncertainty over whether EMERALD-3 will secure regulatory approval, a question it sees as unresolved alongside similar concerns about SERENA-6, AstraZeneca's breast cancer study of camizestrant, a next-generation oestrogen receptor degrader.
The bank also noted that ASCO 2026 marks the first conference since 2018 at which AstraZeneca has not featured in the prestigious plenary session, ending a remarkable eight-year run.
A second Deutsche Bank note, arising from a call with AstraZeneca's head of cardiovascular and renal research and development, flagged 2027 as a potentially significant year for pipeline catalysts, with phase III readouts expected for oral PCSK9 inhibitor laroprovstat, mineralocorticoid receptor antagonist balcinrenone and endothelin receptor antagonist zibotentan.
More immediately, the bank expressed caution over the early commercial trajectory of Baxfendy, a first-in-class hypertension treatment that recently received FDA approval, describing a third-party prescriber poll on the launch as mixed.
AstraZeneca's Wainua RNA-interference therapy for hereditary transthyretin amyloidosis is also expected to deliver a pivotal trial result in 2026, adding to a busy near-term catalyst schedule.
Lyft CEO David Risher told CNBC's "Squawk Box" on Friday that consumers are "rewards-maxxing." "That's the sort of thing that I think a lot of people are being really smart about, and saying how can I make my dollar go faster?
The rivalry between Uber Technologies and Lyft has traditionally revolved around the same core questions: Who could grow faster, subsidize rides longer and survive the brutal economics of ridesharing?
But as the most recent quarterly earnings from both mobility platforms reveal, the competitive frame has shifted. The market today is a mature one where profitability matters, and the next frontier is no longer simply moving people from point A to point B. It is about building the operating system for urban mobility, commerce and eventually autonomous transportation.
Both companies are growing. Both are profitable, although Uber posted quarterly results on Wednesday (May 6) that were better received by investors than Lyft’s Thursday (May 7) financials. Both firms, however, are leaning heavily into artificial intelligence (AI) and autonomous vehicles. But their visions of what comes next and how they plan to win could hardly be more different.
See also: Uber Makes Billion-Dollar Bet on Rivian Robotaxis
Uber Wants to Become Everyday Life Infrastructure Layer The contrast emerging from the companies’ latest earnings calls is striking. Uber increasingly resembles a sprawling mobility and logistics infrastructure platform, while Lyft is positioning itself as a more focused transportation company built around customer experience, premium services and strategic partnerships.
Uber CEO Dara Khosrowshahi described the company’s strategy as expanding “everyday utility” across travel, delivery, commerce and mobility. Uber reported 21% year-over-year gross bookings growth, accelerated mobility growth and a delivery business increasingly powered by grocery and retail.
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The company’s leadership also emphasized ecosystem metrics: 50 million Uber One members, 10 million drivers and couriers and rising cross-platform usage among consumers.
Uber no longer wants to own a single transportation moment; it wants to orchestrate the entire journey around it. That includes airport rides, hotel reservations, restaurant delivery, retail shopping and eventually autonomous fleets. The company says three-quarters of Uber rides already involve AI predicting where a customer wants to go before the destination is entered.
Uber also appears increasingly confident about autonomous vehicles. Not as a threat, but as a massive expansion opportunity. Khosrowshahi repeatedly framed autonomous vehicles (Avs) as a “$1 trillion TAM (total addressable market)” and described Uber’s role in this marketplace as the connective tissue between autonomous technology providers and real-world operations.
The launch of “Uber Autonomous Solutions” reflects a belief that the long-term value may not reside solely in the autonomous software itself, but in the surrounding infrastructure: fleet management, charging depots, financing, insurance, and rider demand.
Read also: Lyft Draws Big Spenders With Rewards and Partnerships
Lyft Counters With Rideshare Focus, Partnerships Lyft’s outlook was narrower but disciplined. CEO David Risher has spent the last several quarters emphasizing “customer obsession,” operational consistency and profitable growth.
Unlike Uber, Lyft is not trying to become a super app. It has no delivery business, no grocery ambitions, and no commerce marketplace layered atop transportation. Instead, Lyft is doubling down on mobility itself, and reported double-digit growth in riders, bookings, and EBITDA, while maintaining gains in U.S. rideshare market share.
One pillar of its strategy is partnerships. Lyft increasingly sees external ecosystems and not internal diversification as the path to customer acquisition and engagement. Partnerships with DoorDash, United Airlines, Hilton, Alaska Airlines and others are driving a growing percentage of ride demand. Partnership-tagged ride requests now account for roughly 27% of Lyft rides.
The company’s acquisitions of FREENOW and Gett also signal an international expansion model rooted in taxis, regulated markets and enterprise mobility rather than broad-based global rideshare competition. At the same time, executives repeatedly emphasized higher-value ride modes like Lyft Black, XXL vehicles, chauffeured services and airport-focused demand.
In many ways, Lyft is beginning to resemble a premium mobility network rather than a pure mass-market rideshare platform.
See also: Nvidia’s Automotive Business Emerges With 32% Growth in Q3
The Autonomous Future Could Reshape Competitive Balance The biggest strategic wildcard remains autonomous vehicles. Both companies insist AVs will expand the overall market rather than cannibalize existing rideshare demand. Both also claim early evidence that AV deployment is growing total rideshare usage rather than hurting their businesses.
Uber’s strategy is diversified and infrastructure heavy. It wants to integrate every major AV provider into its marketplace while monetizing the operational ecosystem surrounding them.
Lyft, meanwhile, appears more dependent on a smaller number of strategic AV relationships, particularly Waymo. But Lyft argues its operational intensity and utilization rates could make it an attractive long-term AV operator.
The clearest takeaway from this earnings season is that Uber and Lyft are no longer converging businesses. They are diverging.
Uber believes the future belongs to integrated ecosystems powered by AI, logistics, and cross-platform engagement. Lyft believes there is still substantial value in building a highly trusted, mobility-centric transportation brand.
The next decade will determine which vision proves more durable.
CoreWeave (CRWV) reported first quarter results on Thursday and missed Wall Street's guidance expectations. EMJ Capital founder and president Eric Jackson and Yahoo Finance Senior Business Reporter Ines Ferré chat with Yahoo Finance's Brian Sozzi about the earnings results and the outlook for Nvidia (NVDA) and artificial intelligence (AI) demand.
Lyft stock is showing downward pressure. What’s the outlook for LYFT shares? Lyft’s Mixed Q1 Results: Revenue Beats While EPS Lags Analyst EstimatesAfter Thursday's close, Lyft reported first-quarter EPS of 4 cents versus a 6 cents consensus estimate, while revenue came in at $1.65 billion versus $1.63 billion expected. Management also pointed to Gross Bookings of $4.9 billion (up 19%) and Active Riders of 28.3 million (up 17%), alongside CEO David Risher's comments on continued U.S. share gains and a Flexdrive AV operation in Nashville.
“Our customer-obsessed comeback continues,” said Risher, noting that Lyft met all financial goals and expanded U.S. market share. With double-digit growth in riders and bookings, CFO Erin Brewer highlighted a strong foundation and $1 billion in trailing twelve-month cash flow, setting the stage for accelerated growth in the second-quarter.
Critical Levels To Watch For LYFT StockAt $14.20, Lyft is trading 1.3% below its 20-day SMA ($14.25) but 2.4% above its 50-day SMA ($13.73), which fits a short-term stabilization attempt after the March swing low and the April rebound. The bigger-picture trend is still a headwind, with the stock trading 10.1% below its 100-day SMA ($15.64) and 19.2% below its 200-day SMA ($17.41), and the February death cross (50-day below 200-day) still in place.
Momentum is best read through RSI, which sits at 51.78—neutral and consistent with a stock that's trying to base rather than break out. In plain terms, RSI helps gauge whether buying or selling has become "stretched," and this reading suggests neither side has clear control right now.
Key Resistance: $14.00 — a nearby round-number/pivot area that can cap rebounds, especially with the 20-day SMA sitting just above current price Key Support: $13.00 — a nearby round-number level that lines up with where buyers have tended to step in as the stock holds above the 52-week low zone ($12.30) Is LYFT A Buy, Sell Or Hold? Wall Street Weighs InAnalyst Consensus & Recent Actions: The stock carries a Hold rating with an average price target of $18.17. Recent analyst moves include:
JP Morgan: Neutral (Raises Target to $18.00) (May 8) Truist Securities: Hold (Raises Target to $16.00) (May 8) RBC Capital: Outperform (Lowers Target to $18.00) (May 8) LYFT Stock Price Movement TodayLYFT Stock Price Activity: Lyft shares were flat at $14.09 at the time of publication on Friday, according to Benzinga Pro data.
Image: Shutterstock
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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Insider Selling: MarketAxess (NASDAQ:MKTX) General Counsel Sells 100 Shares of StockMarketBeat
MarketAxess Holdings Inc. (NASDAQ:MKTX - Get Free Report) General Counsel Scott Pintoff sold 100 shares of the stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $116.03, for a total transaction of $11,603.00. Following the transaction, the general counsel owned 11,786 shares in the company, valued at approximately $1,367,529.58. The trade was a 0.84% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink.
NASDAQ:MKTX
Read Insider Selling: MarketAxess (NASDAQ:MKTX) General Counsel Sells 100 Shares of Stock
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Lyft remains a compelling value play, trading at just 4.2x trailing and 3.6x forward free cash flow. Strategic partnerships with DoorDash, United Airlines, and others are driving record levels of partner-linked rides and supporting market share gains. Q1 results showed 14% revenue growth and 19% gross bookings growth, with adjusted EBITDA up 25% to $133 million.
Uber Technologies: Pushing for Broader RevenueUber Technologies (UBER 1.25%) develops applications that connect consumers with independent providers for mobility services, meal preparation, and freight logistics.
It announced a multi-year autonomous vehicle partnership with Nvidia, and it reported an approximately 15% EBIT margin for the quarter ended March 31, 2026.
Lyft: Steady Revenue From North American RidesharingLyft (LYFT 1.24%) operates a peer-to-peer marketplace providing on-demand transportation networks across the United States and Canada.
It completed an international acquisition of a black cab business in London, while reporting an approximately 1% net income margin for the quarter ended March 31, 2026.
Why Revenue Matters for Retail InvestorsRevenue shows the total money brought in before expenses are subtracted to help investors gauge raw business scale and growth.
Image source: The Motley Fool.
Quarterly Revenue for Uber Technologies and LyftQuarter (Period End)Uber Technologies RevenueLyft RevenueQ2 2024 (June 2024)$10.7 billion$1.4 billionQ3 2024 (Sept. 2024)$11.2 billion$1.5 billionQ4 2024 (Dec. 2024)$12.0 billion$1.6 billionQ1 2025 (March 2025)$11.5 billion$1.5 billionQ2 2025 (June 2025)$12.7 billion$1.6 billionQ3 2025 (Sept. 2025)$13.5 billion$1.7 billionQ4 2025 (Dec. 2025)$14.4 billion$1.6 billionQ1 2026 (March 2026)$13.2 billion$1.7 billionData source: Company filings. Data as of May 10, 2026.
Foolish TakeBoth Uber and Lyft began as ride-hailing services, but the comparison in their revenues reveals the former dominates its rival in capturing sales. Uber’s business has experienced substantial expansion compared to Lyft, as illustrated by its higher revenue, and its future sales may expand the gap further.
Uber has aggressively expanded internationally since 2011, while Lyft remained more focused on the North American market in its early years. Lyft’s 2026 purchase of Gett, a leading black cab business in London, demonstrates its desire to capture more international sales. However, the disparity in their top lines suggests Lyft has a long way to go to catch up to Uber.
In addition, while the two companies are aggressively pursuing self-driving cars, Uber appears to be in the driver’s seat here. It captured partnerships with a number of autonomous vehicle companies around the world, cementing its global presence in this emerging field.
Moreover, Uber’s deal with AI semiconductor leader Nvidia allows any car manufacturer using Nvidia’s self-driving tech to easily join Uber’s ride-hailing service. Uber expects to have 100,000 autonomous vehicles on the road by 2027. These moves mean Lyft may fall further behind its larger competitor, suggesting Uber is the better long-term stock investment.
Robert Izquierdo has positions in Nvidia and Uber Technologies. The Motley Fool has positions in and recommends Lyft, Nvidia, and Uber Technologies. The Motley Fool has a disclosure policy.
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Lyft has rolled out its AI-based Earnings Assistant tool over the past year. Bloomberg/Getty Images Ride-hailing drivers can spend months or years learning the best ways to make money. Now, there's artificial intelligence for that.
Lyft has been rolling out over the past year Earnings Assistant, a AI tool that gives drivers tips on where and when to drive. It shows how the company hopes to use AI to help drivers earn more in an industry where they're paid per trip.
The tool has two features. One, called plan guidance, gives drivers advice on where to go to increase their chances of claiming rides, especially if they're planning to work on the app for a limited time. The option, available to drivers in the US, is meant to help new drivers find productive areas and times to work, a Lyft senior staff software engineer, Xiaoyi Duan, told Business Insider.
Another feature, called real-time guidance, pinpoints where Lyft customers need rides. Lyft is still testing this feature, which is live in most cities.
Lyft's Earnings Assistant feature shows drivers where they can go to claim rides. Lyft "Drivers want to earn more, and they see various signals in the app, but those signals are not tailored to drivers' personalized needs," Duan said.
Lyft is using AI to synthesize the information — such as where ride requests are coming in or when they tend to spike in certain areas — and make personalized recommendations. That could mean pointing a driver toward a stadium when a concert is about to end or suggesting they pick up their last ride of the day at an airport because it's the busiest time of day for arrivals.
Lyft and rival Uber each have millions of drivers globally, many of whom accept rides on both services, comparing the pay and features. Uber is beta-testing a similar AI feature to help drivers earn more on its app.
Ride-hailing drivers often learn how to maximize earnings on apps like Lyft and Uber as they gain experience. With millions of other people on the apps, though, claiming trips and making money can be competitive. And with no clear bosses or colleagues, figuring out how to make money on the apps is challenging.
Lyft created Earnings Assistant within the past two years, the company said. The company showed early versions of the tool to drivers at events in Dallas, Las Vegas, and Miami last fall. It also tested Earnings Assistant with drivers who offered rides near Santa Clara, California, for February's Super Bowl.
The testing showed that experienced drivers often know to look for patterns that could help them earn more money, so they want more tips about where to go in the moment, Yuko Yamazaki, vice president and head of driver at Lyft, told Business Insider.
Many new Lyft drivers, meanwhile, are initially overwhelmed by the options when they start using the app, Yamazaki told Business Insider. Yamazaki said the app's plan guidance focuses on these drivers and offers suggestions on where to work, such as, "Here is what the next two hours could look like."
"The real-time signals are becoming more of an interest for drivers as they become more mature on our platform," she said.
Duan said Lyft wants to expand the tool, which currently requires drivers to prompt it for suggestions. Future iterations could tell drivers they're near a busy event as they pass it, or indicate how the weather is affecting opportunities to make money, she said.
"We are not trying to build an AI product because we want to use AI," Duan said. "We're trying to find what are the actual driver needs. That's the fundamental thing."
Do you have a story to share about Lyft, Uber, or another ride-hailing service? Contact this reporter at [email protected] or via encrypted messaging app Signal at 808-854-4501. Use a personal email address, a nonwork WiFi network, and a nonwork device; here's our guide to sharing information securely.
Alex Bitter You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.
Alex Bitter is a senior retail reporter covering the gig economy, food, and retail. His work focuses major gig delivery and ride-hailing apps, including Uber, Lyft, DoorDash, Instacart, and Walmart's Spark. He is interested in everything from what it's like to work on the apps to the companies' business strategies.Some of his recent stories feature gig workers who have been deactivated on the apps, DoorDash hiring traditional employees to make deliveries, gig workers' use of bots, and gig work expanding into new professions, such as nursing.Alex has also written about Aldi's US expansion, Starbucks' turnaround efforts, and the fallout from Kraft-Heinz's budget cutting. Convenience store chain Sheetz ended its "smile policy" after his reporting.Before joining Insider in September 2020, he wrote about consumer and retail companies for S&P Global Market Intelligence. He's a graduate of the University of Hawai'i at Mānoa and grew up on the Big Island.Alex lives in the Washington, DC, area, where you can find him studying ancient coins or searching for Civil War artifacts with his metal detector in his free time.Got a tip? Reach out at [email protected] or via encrypted messaging app Signal at +1 (808) 854-4501.
BARCELONA, Spain--(BUSINESS WIRE)--Wallbox (NYSE: WBX), a global provider of electric vehicle charging and energy management solutions, today announced a new partnership with Freenow by Lyft, one of Europe’s leading multi-mobility apps, to support the electrification of taxi operations across key European markets. Through the agreement, Freenow drivers and fleet operators will gain access to exclusive conditions across a selection of Wallbox charging solutions designed for both home and business use.
The program has already launched in Germany, France, the United Kingdom, Ireland and Spain. Through the partnership, Freenow BEV and PHEV taxi drivers and fleet owners will be able to access Wallbox charging solutions tailored to their day-to-day operational needs, whether charging at home or at fleet depots. The offering will include Pulsar Max for individual drivers, as well as Pulsar Pro and eM4 for fleet and shared charging environments.
As taxi and ride-hailing networks across Europe continue to electrify, access to reliable and easy-to-manage charging infrastructure is becoming increasingly important for both independent drivers and fleet operators. Latest data shows that over 60% of vehicles in more than 180 cities in Europe on the Freenow platform are already fully or partially electrified, highlighting the growing momentum behind this transition. By partnering with Freenow, Wallbox is expanding access to charging solutions that can help simplify the shift to electric mobility, while supporting more efficient daily operations for professionals who depend on their vehicles throughout the day.
Ignasi Alastuey, Chief Business Officer at Wallbox, said: “The shift to electric mobility in the taxi sector will depend on making charging simple, accessible and suited to the everyday needs of drivers and fleet operators. At Wallbox, we are focused on helping remove barriers to adoption with charging solutions that are easy to use and designed to support professional mobility. Through this partnership with Freenow, we are making that transition more accessible for drivers across Europe.”
Felix Brand, Chief Strategy Officer at Freenow by Lyft, added: “At Freenow, we are committed to supporting drivers and fleet partners in their transition to electric mobility. Working with Wallbox allows us to offer access to charging solutions that are practical, reliable and adapted to the needs of our driver community, helping make electrification a more viable option across our network.”
Under the agreement, Freenow drivers and fleet operators will benefit from exclusive discounts across the selected Wallbox portfolio. The partnership will also connect them with Wallbox’s local network of certified installation partners, helping ensure a smooth experience from initial interest through installation.
With this collaboration, Wallbox continues to strengthen its position as a partner for the electrification of professional mobility in Europe, supporting a growing range of use cases from individual home charging to more complex fleet charging needs.
About Wallbox
Wallbox is a global technology company, dedicated to changing the way the world uses energy. Wallbox creates advanced electric vehicle charging and energy management systems that redefine the relationship between users and the network. Wallbox goes beyond charging electric vehicles to give users the power to control their consumption, save money and live more sustainably. Wallbox offers a complete portfolio of charging and energy management solutions for residential, semi-public, and public use in more than 100 countries around the world. Founded in 2015 in Barcelona, where the company’s headquarters are located, Wallbox currently has offices across Europe, Asia, and America. For more information, visit www.wallbox.com.
About Freenow by Lyft
Freenow by Lyft is the European taxi app featuring broad multi-mobility options for everyone across 9 European markets and over 180 cities. Millions of passengers can access various mobility services within a single app, including taxis, private hire vehicles, carsharing, car rental, e-scooters, e-bikes, e-mopeds and public transport. With headquarters in Hamburg, Germany, Freenow is led by CEO Thomas Zimmermann.
In July 2025, Freenow was acquired by Lyft, a global mobility platform offering a mix of rideshare, taxis, private hire vehicles, executive chauffeur services, car sharing, bikes, and scooters across 6 continents and thousands of cities. Millions of drivers have chosen to earn on billions of rides. Together, Freenow and Lyft are helping to create a more connected world, with transportation options for everyone.
Visit our website for further information and download the Freenow app.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this press release other than statements of historical fact should be considered forward-looking statements, including, without limitation, statements regarding Wallbox’s expected future operating results and financial position, growth, profitability and cost optimization, including expected impact of the commercial agreement regarding Wallbox’s renewed capital structure; industry and company growth, and Wallbox’s business strategy and plans, including expected benefits of the commercial launches of the Quasar 2 and Supernova PowerRing and related reinforcement of Wallbox’s sales and service organization. The words “anticipate,” “believe,” “can,” “continue,” “could,” “estimate,” “expect,” “focus,” “forecast,” “intend,” “likely,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to: Wallbox’s history of operating losses; the adoption and demand for electric vehicles including the success of alternative fuels, changes to rebates, tax credits and the impact of government incentives or reduction thereof; political and economic uncertainty and macroeconomic factors, such as impacts from tariffs and trade barriers, geopolitical conflicts, consumer spending, inflation and foreign exchange rates; the accuracy of Wallbox’s forecasts and projections including those regarding its market opportunity; competition; risks related to losses or disruptions in Wallbox’s supply or manufacturing partners; Wallbox’s reliance on the third-parties outside of its control; risks related to Wallbox’s technology, intellectual property and infrastructure; executive orders and regulatory changes under the U.S. political administration and uncertainty therefrom, as well as the other important factors discussed under the caption “Risk Factors” in Wallbox’s Annual Report on Form 20-F for the fiscal year ended December 31, 2025, as such factors may be updated from time to time in its other filings with the Securities and Exchange Commission (the “SEC”), accessible on the SEC’s website at www.sec.gov and the Investor Relations section of Wallbox’s website at investors.wallbox.com. Any such forward-looking statements represent management’s estimates as of the date of this press release. Any forward-looking statement that Wallbox makes in this press release speaks only as of the date of such statement. Except as required by law, Wallbox disclaims any obligation to update or revise, or to publicly announce any update or revision to, any of the forward-looking statements, whether as a result of new information, future events or otherwise.
The national average for a gallon of regular gasoline hit $4.55 on May 7, 2026 -- up $1.40 from a year ago and at its highest level since the 2022 energy crisis, according to AAA. In California, drivers are paying $6.11 a gallon. 50% of Americans expect prices to keep climbing through 2027, according to a recent Ipsos poll.
Behavior is already shifting. That same survey found 44% of adults have cut back on driving, 34% have changed vacation plans, and where public transit exists, ridership is rising. There was also a 40% jump in carpooling platform rides from February to March alone.
Lyft (LYFT 1.24%) is the direct beneficiary of that shift -- and it's trading like the market hasn't noticed.
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Lyft just reported Q1 2026 gross bookings of $4.9 billion, up 19% year over year, with active riders at a record 28.3 million -- the sixth consecutive quarter of double-digit rider growth. Revenue came in at $1.7 billion, up 14%, and trailing-12-month free cash flow crossed $1.1 billion for the first time in company history. When gas is expensive, people abandon solo car trips. Lyft is where those trips go.
CEO David Risher called Q1 results the continuation of a "customer-obsessed comeback," and the metrics back that up. The platform is also deepening its moat through partnerships: nearly 27% of North American rides now tie to a partner arrangement -- an all-time high -- with programs through JPMorgan Chase, DoorDash, and United Airlines driving bookings that originate outside the Lyft app entirely.
Image source: Getty Images.
The part of Lyft that the market is pricing wrong Despite the momentum, Lyft trades near $14 -- roughly 31% below the Wall Street consensus price target of $19.43, and well off its 52-week high of $26. TD Cowen maintains a Buy rating, and the stock trades at a forward P/E about 13.5 -- cheap for a business generating record free cash flow with visible rider growth.
The deeper optionality is Flexdrive -- Lyft's fleet management arm, which operates 24 depots managing roughly 15,000 vehicles across North America. This fall, Lyft will open an 80,000-square-foot purpose-built facility in Nashville to manage Waymo's autonomous vehicle fleet. That is a physical depot already under construction, with a charged customer and a launch date. If robotaxis scale, Lyft earns fees without bearing vehicle costs -- a fundamentally different margin structure from today's driver-dependent model.
It's important to note that Lyft is nowhere close in size to Uber Technologies. Uber is massive. Lyft lacks global scale, and its EPS missed estimates in Q1. The economics of autonomous vehicle fleets remain unproven at scale. Any stall in the rider's growth trajectory would close the gap between the current price and fair value faster than in the bull case.
But the setup right now is clean: gas is expensive, people are driving less, Lyft's core metrics are at records, free cash flow is real, and the stock is below analyst targets. This is a solid long-term buy.
JPMorgan Chase is an advertising partner of Motley Fool Money. Micah Zimmerman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends DoorDash, JPMorgan Chase, Lyft, and Uber Technologies. The Motley Fool has a disclosure policy.
*Stock prices used were the afternoon prices of May 14, 2026. The video was published on May 16, 2026.
Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Lyft. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.
Key Takeaways Uber Q1 2026 EPS of 72 cents beat 70 cents estimate; total gross bookings rose 25% to $53.7B.Uber sees Q2 gross bookings $56.25B-$57.75B, up 18-22% Y/Y on constant currency. Lyft Q1 EPS of 21 cents missed the 31-cents consensus; shares slid on the earnings miss. Uber Technologies (UBER - Free Report) , headquartered in San Francisco, CA, has pursued an aggressive global expansion strategy while broadening its business portfolio. While ride-sharing continues to be its core business, the company has established substantial additional revenue sources through Uber Eats, its food delivery platform, and Uber Freight, a logistics marketplace. This diversified approach reflects Uber’s ambition to evolve into a comprehensive transportation and delivery ecosystem rather than remain solely a ride-hailing company.
Lyft (LYFT - Free Report) , also based in San Francisco, has adopted a more concentrated strategy. The company operates primarily within the United States and remains heavily focused on ride-sharing, placing far less emphasis on diversification. This focused business model allows Lyft to channel resources toward strengthening the core services, although it also reduces exposure to higher-growth segments such as delivery services and international expansion.
Earlier this month, both companies announced their first-quarter 2026 results. Given their contrasting strategic approaches, it is worthwhile to assess which stock offers the more attractive investment opportunity following the latest quarterly earnings reports.
The Case for UBEROn May 6, Uber posted better-than-expected earnings per share for the first quarter of 2026. Moreover, management gave a bullish outlook for bookings, noting that demand remains strong despite geopolitical tensions in the Middle East.
Uber’s earnings per share of 72 cents beat the Zacks Consensus Estimate of 70 cents. The reported figure matched the higher end of the company's guided range of 65-72 cents per share.
Total revenues of $13.2 billion missed the Zacks Consensus Estimate of $13.3 billion. The top line jumped 14.4% year over year on a reported basis and 10% on a constant currency basis.
Despite the crisis in the Middle East, UBER’s Mobility business saw impressive demand, with segmental revenues increasing 5% year over year on a reported basis and 1% on a constant currency basis to $8.2 billion.
Gross bookings from the unit were highly impressive, aiding the first-quarter results. From the Mobility segment in the March quarter, gross bookings increased 20% year over year on a constant-currency basis to $26.4 billion.
Uber’s Delivery business also performed well in the quarter, with segmental revenues growing 23% year over year on a constant-currency basis. Gross bookings from the Delivery segment in the first quarter rose 23% year over year on a constant-currency basis to $26 billion. Total gross bookings jumped 25% to $53.7 billion, ahead of the Zacks Consensus Estimate of $52.9 billion.
Uber saw a 17% increase in its monthly active platform consumers to 199 million users in the March quarter. The platform recorded 3.64 billion trips, marking a 20% year-over-year rise, driven by both ride-hailing and delivery services.
The earnings beat by Uber in the March quarter meant that its impressive earnings surprise record continued. Uber has reported a positive earnings surprise in three of the past four quarters (and the metric was negative in the other quarter). The average beat is 89.6%.
More than the first-quarter numbers, it was the second-quarter gross bookings forecast that pleased investors. Shares of the ride-hailing giant have gained 3% so far post the earnings release.
Despite the ongoing tensions in the Middle East and the resultant fuel price spike, gross bookings are projected in the range of $56.25-$57.75 billion, highlighting growth of 18% to 22% year over year on a constant-currency basis. The outlook assumes a roughly 2 percentage-point currency tailwind to total reported year-over-year growth.
Adding to the bullishness, management expects June quarter earnings to grow in the 31-38% band year over year. As a result, second-quarter earnings per share are expected in the 78-82 cents band.
Despite the uptick, following the first-quarter earnings beat, Uber’s price performance is disappointing so far this year, lagging the Zacks Internet-Services industry. Uber’s shares have dropped primarily on concerns regarding competition in the robotaxi and autonomous driving space.
The Case for LYFTOn May 7, Lyft released its first-quarter 2026 earnings report. Quarterly earnings per share of 21 cents missed the Zacks Consensus Estimate of 31 cents but increased 10.5% year over year. Revenues of $1.65 billion beat the Zacks Consensus Estimate by 1.8% and grew 13.8% year over year.
The miss by Lyft in the March quarter meant that its unimpressive earnings surprise record continued. Lyft has reported a negative earnings surprise in each of the past four quarters. The average miss is 53.3%.
In the March quarter, gross bookings increased 19% year over year to $4.9 billion. This was the 20th consecutive quarter where Lyft demonstrated double-digit year-on-year growth in the key metric, demonstrating the resilience and momentum of its customer-friendly strategy. Active Riders increased 17% year over year to 28.3 million.
For the second quarter of 2026, Lyft anticipates gross bookings to grow 18-21% year over year, reaching $5.3-$5.43 billion. The company expects adjusted EBITDA to be in the band of $160 million and $180 million. Adjusted EBITDA margin (calculated as a percentage of Gross Bookings) for the June quarter is anticipated to be in the range of 3-3.3%.
The loss, however, reported in the quarter seems to have disappointed investors, resulting in the stock declining sharply since the first-quarter earnings release. In fact, Lyft’s shares have performed worse than Uber so far this year.
YTD Price Comparison
Image Source: Zacks Investment Research
Lyft More Attractive Than Uber on Valuation FrontLyft is trading at a forward sales multiple of 0.65X, comparing favorably to Uber’s 2.5X. LYFT has a Value Score of B, compared with UBER’s C.
Image Source: Zacks Investment Research
End NoteUber’s strong focus on strategic diversification and shareholder-friendly initiatives remains a key advantage. Supported by a solid market capitalization of $152.85 billion, the company appears well-equipped to withstand the current macroeconomic uncertainty. Uber’s diversification efforts — including acquisitions, global expansion and innovative service offerings — have been instrumental in mitigating risks and strengthening its competitive position.
It is true that Lyft, like Uber, continues to benefit from healthy gross bookings. However, Lyft’s weaker earnings surprise and relatively subdued stock performance compared with Uber place it at a disadvantage. Based on our analysis, Uber clearly stands out as the stronger contender in this comparison with Lyft. Therefore, it is reasonable to conclude that Uber is better positioned than Lyft following their respective first-quarter 2026 earnings releases.
Lyft currently carries a Zacks Rank #5 (Strong Sell) and Uber has a Zacks Rank #3 (Hold).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Lyft appears deeply undervalued, with a reverse DCF implying negative 26% free cash flow growth needed to justify current prices. LYFT's fundamentals show a non-GAAP P/E of 10.55, a GAAP P/E of 1.87, 10.55% revenue growth, and a strong ~44% net income margin. Autonomous vehicles pose a long-term threat, but the transition is expected to be gradual, and LYFT could become an acquisition target.
On May 22, 2026, Lyft Inc LYFT shares rose 3.1% today, currently priced at $13.90. The stock has seen a 52-week range between $12.46 and $25.54, reflecting significant volatility in the market.
GF Value™ verdict: Current price is $13.90, with a GF Value™ of $17.14, indicating an 18.9% undervaluation. GF Score™ of 77/100 suggests the stock is rated as above average. Notable signal: Insiders sold $0.8M worth of shares in the last 3 months, with no buying activity reported. Is LYFT Overvalued or Undervalued? Currently, Lyft Inc's shares are trading at $13.90, compared to the GF Value™ estimate of $17.14. This indicates that the stock is undervalued by approximately 18.9%, providing a margin of safety for potential investors. The GF Valuation label classifies LYFT as modestly undervalued, suggesting that there may be an opportunity for growth if market conditions improve.
GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. While the undervaluation presents a potential opportunity, investors should be cautious considering the company's financial strength and recent insider selling activity, which may indicate some underlying concerns.
How Does LYFT's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 2.0x 60.9x Forward P/E N/A 23.0x The current P/E (TTM) of 2.0x is significantly below its 5-year median P/E of 60.9x, indicating that the stock is trading well below its historical valuation metrics. This analysis aligns with the GF Value™ verdict, reinforcing the notion that LYFT is undervalued based on its historical performance.
What Does LYFT's GF Score™ Tell Us? Metric Rating GF Score™ 77/100 Financial Strength 5/10 Profitability 4/10 Growth 8/10 Valuation 8/10 Momentum 5/10 The GF Score™ of 77/100 indicates that Lyft is rated above average, with strong growth and valuation ranks of 8/10. However, the financial strength and profitability ranks are relatively weaker at 5/10 and 4/10, respectively, suggesting that while the potential for growth is robust, the company's current financial health may present challenges.
What Are Insiders Doing with LYFT Stock? In the past three months, insiders have sold $0.8 million worth of LYFT shares, with no buying activity reported. This trend of selling may suggest that insiders lack confidence in the company's short-term prospects, which could be a point of concern for potential investors.
What This Means for Investors Based on the assessment of LYFT's current price in relation to its GF Value™, the stock is considered undervalued. However, investors should remain cautious due to insider selling and the company's moderate financial strength. It is essential to conduct thorough research before making any investment decisions.
For the complete analysis, visit the Lyft Inc LYFT stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is LYFT's GF Score™?
LYFT's GF Score™ is 77/100, indicating that the stock is ranked above average based on key financial metrics.
Is LYFT overvalued or undervalued?
LYFT is currently undervalued, with a GF Value™ of $17.14 compared to its current price of $13.90, suggesting potential for growth.
What is LYFT's P/E ratio?
LYFT's P/E ratio is 2.0x, which is significantly lower than its 5-year median P/E of 60.9x, indicating that it is trading well below its historical valuation.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Item 1 of 2 A traveler walks into the Uber pickup zone at the Los Angeles International Airport's LAX-it pick up terminal in Los Angeles, California, U.S., March 10, 2026. REUTERS/Caroline Brehman
[1/2]A traveler walks into the Uber pickup zone at the Los Angeles International Airport's LAX-it pick up terminal in Los Angeles, California, U.S., March 10, 2026. REUTERS/Caroline Brehman Purchase Licensing Rights, opens new tab
SummaryCompaniesApp Drivers Union certified to represent 70,000 Massachusetts ride-share driversUnionization follows 2024 ballot measure allowing bargaining for gig workersSimilar unionization efforts under way in other statesBOSTON, May 26 (Reuters) - Ride-share drivers for app-based companies such as Uber (UBER.N), opens new tab and Lyft (LYFT.O), opens new tab have unionized in Massachusetts, forming what state officials and labor leaders said was the first officially recognized organization in the U.S. to represent such gig workers.
The newly formed App Drivers Union received certification, opens new tab from the Massachusetts Department of Labor Relations on Friday to represent nearly 70,000 ride-share drivers operating as independent contractors in the state.
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"It changes the game for ride-share workers across this country," Massachusetts Governor Maura Healey, a Democrat, said at a rally with drivers and labor activists in Boston on Tuesday.
The certification occurred after voters in November 2024 approved a ballot measure that created a novel framework to allow drivers for companies like Uber and Lyft to organize and bargain collectively over pay and benefits.
That vote followed a years-long, nationwide battle over whether ride-share drivers should be considered independent contractors or employees entitled to benefits and wage protections.
Drivers for Uber and Lyft do not have the right to organize under the National Labor Relations Act, a federal law that covers only traditional employees.
But under the state law, drivers could form a union after collecting signatures from at least 25% of active drivers in Massachusetts - a condition that was met by union supporters. The union is backed by 32BJ SEIU, an affiliate of the Service Employees International Union, and the International Association of Machinists and Aerospace Workers.
"The workers who built these billion-dollar corporations deserve a union contract and a seat at the table," IAM President Brian Bryant said at Tuesday's rally.
He and other union leaders held up Massachusetts as a key labor victory as unionization efforts mount in other states.
In California, ride-share drivers gained the right to unionize under legislation signed into law in October by Democratic Governor Gavin Newsom. Similar legislation is pending in Illinois.
Lyft and Uber did not campaign against the Massachusetts ballot measure. Lyft said on Tuesday it was committed to engaging in good faith as the Massachusetts process moves forward.
"Lyft does well when drivers do well, and we'll stay focused on helping drivers succeed while keeping rideshare affordable and dependable for everyone who counts on it," Lyft said in a statement.
Uber did not respond to a request for comment.
In the months before the 2024 vote, Massachusetts Attorney General Andrea Joy Campbell secured a settlement with Uber and Lyft requiring them to adopt a $32.50 hourly minimum pay standard for Massachusetts drivers and pay $175 million to resolve claims they had improperly treated drivers as independent contractors, rather than employees, under state law.
Reporting by Nate Raymond in Boston; Editing by Matthew Lewis
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Nate Raymond reports on the federal judiciary and litigation. He can be reached at [email protected].
These ride-sharing leaders are making moves amid massive changes in transportation driven by artificial intelligence (AI) and self-driving technology. Uber Technologies (UBER 1.25%) and Lyft (LYFT 1.24%) are posting strong growth for their services, but the head-to-head comparison of recent growth and revenue size may give investors a big clue as to which company is best positioned to win.
Uber Technologies: Recent Revenue TrendsUber Technologies operates a global technology network that connects consumers with independent providers for ridesharing, restaurant meal delivery, and freight transportation services.
The company announced a 21% year-over-year increase in revenue for the first quarter, along with new initiatives in robotaxis and expansion into hotel bookings. Uber has scaled its ridesharing platform into a profitable business, with operating profit reaching $1.9 billion in the quarter.
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Lyft: Steady GrowthLyft operates a multimodal transportation network that offers riders personalized, on-demand access to ridesharing, flexible car rentals, and shared bikes across the United States and Canada.
The company posted a 14% year-over-year increase in revenue in the first quarter. It recently announced an acquisition of Gett U.K., helping Lyft expand its operations into higher-value segments of the London market. It’s not as profitable as Uber, reporting an operating loss of $5.3 million last quarter.
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Why Revenue Matters for Retail InvestorsRevenue is the most fundamental measure of a company’s performance. Changes over time, particularly when comparing two companies in the same industry, can provide valuable insights about a company’s competitive position and ability to reach new customers.
Foolish TakeThere is a clear contrast between Uber and Lyft. While Uber experiences greater quarterly revenue volatility, it is growing faster off a larger revenue base.
Uber benefits from greater scale and global reach, allowing it to generate over $53 billion in annual revenue, compared to Lyft’s $6.5 billion.
Both companies are pursuing every opportunity to position themselves for more growth through partnerships. The stakes are massive as the future of transportation is in AI-powered self-driving vehicles.
For Lyft, Google’s Waymo is set to integrate with the Lyft app later this year. However, Uber boasts of a large network of 30 partners that will help it expand robotaxi services to 15 cities by the end of 2026.
Lyft expects continued growth this year, with gross bookings expected to accelerate in the near term. Investors will want to keep a close eye on whether it can accelerate its growth and narrow the gap with Uber. Given Lyft’s discounted share price, it may offer more upside from these levels than Uber, but this will heavily depend on execution and its ability to accelerate revenue growth.
Lyft trades at a deep discount, with a ~4x P/FCF multiple, despite double-digit growth and robust cash generation. Fears that autonomous vehicles will disrupt ridesharing are overstated; AVs are more likely to expand the total addressable market than displace platforms. Utilization challenges and customer acquisition costs favor aggregators like LYFT, as AV fleets struggle to match dynamic human-supply networks.
On June 10, 2026, Lyft Inc LYFT shares fell 3.4% to $13.39, continuing a downward trend that has seen the stock decrease by 30.9% year-to-date. The stock has traded within a 52-week range of $12.46 to $25.54, indicating significant volatility over the past year.
GF Value™ verdict: Current price at $13.39 vs GF Value™ of $17.30, representing a 22.6% undervaluation.GF Score™: 76/100, indicating above-average potential for long-term returns.Notable signal: Insiders sold $0.8 million in stock over the last three months with no buying activity. Is LYFT Overvalued or Undervalued? With a current price of $13.39 and a GF Value™ of $17.30, Lyft is estimated to be 22.6% undervalued. This margin of safety may present an attractive opportunity for investors who believe in the company's long-term prospects. However, the GF Valuation label indicates that the stock is considered "Modestly Undervalued," which suggests a cautious approach is warranted. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.
While the undervaluation could imply potential upside, investors should be cautious due to the stock's recent performance and insider selling activity, which may signal a lack of confidence among those closest to the company.
How Does LYFT's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 1.9x 60.0x Forward P/E 23.4x N/A Lyft's current P/E ratio of 1.9x is significantly below its 5-year median P/E of 60.0x and indicates that the stock is trading far below its historical valuation levels. This analysis agrees with the GF Value™ verdict, reinforcing the notion that Lyft may be undervalued in the current market environment.
What Does LYFT's GF Score™ Tell Us? Metric Rating GF Score™ 76 Financial Strength 5/10 Profitability 4/10 Growth 8/10 Valuation 8/10 Momentum 5/10 The GF Score™ of 76/100 suggests that Lyft demonstrates above-average potential for long-term returns. The strongest area is growth, with a ranking of 8/10, indicating robust growth prospects. Conversely, the weakest area is profitability, scored at 4/10, which may raise concerns about the company's ability to sustain its growth amidst current financial challenges.
What Are Insiders Doing with LYFT Stock? In the last three months, insiders sold $0.8 million worth of Lyft stock with no buying activity reported. This trend of selling may indicate a lack of confidence from insiders regarding the future performance of the company. Such actions can often be a red flag for investors, suggesting that those with the most insight into the company are not optimistic about its near-term prospects.
What This Means for Investors Based on the GF Value™ assessment, Lyft Inc is currently undervalued. The substantial difference between its market price and intrinsic value suggests potential for appreciation, but caution is warranted given the recent insider selling and the company's profitability challenges.
For the complete analysis, visit the Lyft Inc LYFT stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is LYFT's GF Score™?
LYFT's GF Score™ is 76/100, indicating above-average potential for long-term returns based on key fundamental metrics.
Is LYFT overvalued or undervalued?
LYFT is currently undervalued, with its market price of $13.39 being 22.6% below its GF Value™ of $17.30.
What is LYFT's P/E ratio?
LYFT's P/E ratio is 1.9x, which is significantly lower than its 5-year median P/E of 60.0x, indicating it is trading well below its historical valuation levels.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Lyft (LYFT - Free Report) closed the most recent trading day at $13.71, moving +2.39% from the previous trading session. The stock outpaced the S&P 500's daily gain of 1.75%. Meanwhile, the Dow experienced a rise of 1.86%, and the technology-dominated Nasdaq saw an increase of 2.54%.
Coming into today, shares of the ride-hailing company had lost 2.12% in the past month. In that same time, the Computer and Technology sector lost 3.11%, while the S&P 500 lost 1.63%.
Market participants will be closely following the financial results of Lyft in its upcoming release. On that day, Lyft is projected to report earnings of $0.39 per share, which would represent year-over-year growth of 56%. Alongside, our most recent consensus estimate is anticipating revenue of $1.8 billion, indicating a 13.58% upward movement from the same quarter last year.
LYFT's full-year Zacks Consensus Estimates are calling for earnings of $1.57 per share and revenue of $7.28 billion. These results would represent year-over-year changes of +227.08% and +15.3%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Lyft. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.94% higher. At present, Lyft boasts a Zacks Rank of #3 (Hold).
Investors should also note Lyft's current valuation metrics, including its Forward P/E ratio of 8.53. This signifies a discount in comparison to the average Forward P/E of 15.6 for its industry.
Investors should also note that LYFT has a PEG ratio of 0.35 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Services industry had an average PEG ratio of 1.7 as trading concluded yesterday.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 175, which puts it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
Bristol Myers Squibb (BMY +0.40%) is a well-respected pharmaceutical company. Technically, it was created in 1989 through the merger of two other companies, but both of those businesses were founded in the 1800s. It is a proven survivor that clearly knows how to navigate the highly complex and competitive drug industry. And the stock looks cheap today. But is it really as cheap as it looks?
Bristol Myers Squibb's value appeal Bristol Myers Squibb's price-to-earnings ratio is currently sitting around 16x. That's well below the S&P 500's (^GSPC +0.50%) 27x and the pharmaceutical industry's 24x average. Meanwhile, Bristol Myers Squibb's dividend yield is a highly attractive 4.4%. By comparison, the S&P 500 index has a yield of 1.1%, and the average drug maker's yield is around 1.7%.
Image source: Getty Images.
It would be understandable if value investors jumped aboard. For dividend investors attracted to the lofty yield, the company's 70% payout ratio is a bit high but not unreasonably so. Still, you should ask yourself why the company looks attractively priced before you buy it.
The fly in Bristol Myers Squibb's ointment Bristol Myers Squibb isn't likely to go out of business anytime soon. If your investment horizon is decades long, you may want to own this stock today, given its attractive valuation metrics. However, you'll have to be prepared for some uncertainty through at least the end of 2028. That's because the company has key drugs with upcoming patent expirations. Revlimid and Pomalyst, both cancer drugs, will get hit in 2026, and cardiovascular drug Eliquis, which is marketed with competitor Pfizer (PFE +0.15%), is set to face generic competition in 2028.
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To be fair, the company has been working on its drug pipeline. But research and development don't work on a timeline, while patent expirations do. There could be a timing mismatch that leaves Bristol Myers Squibb's top and bottom lines under material pressure in the near term. So, the stock looks like it is a bargain, but there's a reason for the discounted price.
Bristol Myers Squibb is a long-term commitment The pharmaceutical business is intensely competitive. Bristol Myers Squibb has proven it knows how to survive in the long term, and the price has some value and income appeal today. However, it may not be as cheap as it seems when you factor in near-term patent headwinds. If you are hoping to make a quick buck, you should probably look elsewhere.
That said, if your plan is to hold the stock for decades, Bristol Myers Squibb may still be worth buying. After all, it is probably better to buy a good company at an attractive price than to try to time the bottom with every purchase, which is a virtually impossible task to do consistently.
