Lyft Drops 15% on Earnings Miss, Tests $13.30 Support Level
Lyft shares plunged over 15% after Q4 revenue missed estimates and guidance fell short of expectations. The stock now sits at its August $13.30 support with an RSI below 30, while management signals double-digit growth and a fresh share buyback program.
1. Earnings Reaction
Lyft reported Q4 revenue that fell short of analyst estimates and issued softer guidance, prompting a more than 15% decline in its share price following the release.
2. Technical Analysis
The stock’s Relative Strength Index dropped below 30, indicating oversold conditions, and it reached the $13.30 level that previously acted as a floor in August, potentially attracting mean-reversion traders.
3. Growth Outlook and Buybacks
Management outlined plans for a fresh share repurchase program and projected double-digit revenue growth for the coming year to support valuation and investor confidence.