Lyft Inc (NASDAQ: LYFT) has been in a sharp uptrend over the past four months – but a renowned American financial analyst, Carter Worth, says it’s warming up to rip much higher from here.
Worth remains bullish on LYFT shares even though the ride-hailing firm came in short of revenue estimates in its latest reported quarter (Q2).
At the time of writing, Lyft stock is up roughly 70% versus its year-to-date low in early April.
Technicals suggest significant further upside in Lyft stock
Carter Worth forecasts significant further upside in LYFT primarily because he’s identified a major bottoming-out formation on the company’s 5-year stock price chart.
Additionally, the San Francisco-headquartered firm is now teasing a break above a five-year down-trend line, which also signals bullish momentum ahead.
Speaking recently with CNBC, the technical analyst said these positive indicators suggest LYFT shares could tear out of its four-year range of $10 to $21 in the coming months.
Worth’s remarks arrive only days after EntryPoint Capital revealed a $0.38 million position in Lyft stock. That said, the Nasdaq-listed firm remains unattractive for income investors as it doesn’t pay a dividend.
LYFT shares could benefit from recent strategic moves
Investors should also note that the narrative surrounding LYFT stock has improved in tandem with its technicals in 2025.
Earlier in August, the multinational ride-hailing company announced a partnership with Baidu and acquired FreeNow to meaningfully grow its footprint in robotaxi services in Europe.
Together, these initiatives could as much as “double” Lyft shares from here, said a revered investor, Steve Grasso in a recent interview with CNBC.
According to Tim Seymour, the chief of investments at Seymour Asset Management, LYFT shares are worth owning also because its co-founders, in whom analysts and investors had no confidence, resigned last week.
They got rid of this dual class system. They have a new CEO. That’s the reason for the turnaround – and yes, I want to be long.
Note that Lyft stock is currently down some 75% versus its all-time high.
Are Lyft shares inexpensive to own in 2025?
What’s also worth mentioning is that LYFT shares are much cheaper to own on a price-to-sales (P/S) basis at current levels compared to its larger peer Uber Technologies Inc.
The California-based firm is currently trading at 1.11 times sales, according to data from Barchart, versus 4.47 times for UBER. Wall Street’s price objectives also go as high as $22 on Lyft stock – indicating potential upside of another 30% from here.
In conclusion, despite missing Q2 revenue estimates, Lyft’s bullish technical setup, strategic moves in robotaxis, leadership overhaul, and attractive valuation versus Uber have analysts forecasting a breakout.
With shares up 70% since April and targets as high as $22, LYFT may be poised for a sharp rally ahead.
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