Lemonade (LMND) reported $258 million in revenue for the quarter ended March 2026, representing a year-over-year increase of 70.6%. EPS of -$0.47 for the same period compares to -$0.86 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $252.43 million, representing a surprise of +2.21%. The company delivered an EPS surprise of +18.97%, with the consensus EPS estimate being -$0.58.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Lemonade performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: In force premium (end of period): $1.33 billion versus the four-analyst average estimate of $1.32 billion. Premium per Customer (end of period): $424.00 versus $421.81 estimated by four analysts on average. Customers (end of period): 3,142,581 versus the four-analyst average estimate of 3,137,811. Net loss ratio: 63% compared to the 72.6% average estimate based on four analysts. Gross loss ratio: 62% compared to the 71.4% average estimate based on four analysts. Total Revenue- Net investment income: $9.8 million versus $9.09 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +3.2% change. Total Revenue- Ceding commission income: $23.6 million versus the five-analyst average estimate of $30.49 million. The reported number represents a year-over-year change of -12.3%. Total Revenue- Commission and other income: $12 million versus $12.05 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +14.3% change. Total Revenue- Net earned premium: $212.6 million versus the five-analyst average estimate of $200.9 million. The reported number represents a year-over-year change of +103.8%.View all Key Company Metrics for Lemonade here>>>
Shares of Lemonade have returned +4.9% over the past month versus the Zacks S&P 500 composite's +12.2% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Lemonade, Inc. (LMND): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).