Lemonade, Inc. (LMND)
NYSEFinancialsInsurance - Property & CasualtySnapshot 2026-11-05
$41.48-9.63%
Close 2026-11-05 · 1-day change
NYSEFinancialsInsurance - Property & CasualtySnapshot 2026-11-05
QuarterlyIQ Insights · LMND
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within financials on a research-validated quality screen. As of 2026-11-05.
The screen ranks LMND against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 3 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 3 of the last 3 quarter-over-quarter moves. Historically, Financials names rated weak grew net income 57% of the time over the next year (vs 59% for the rest of the cohort, n=7714).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
We reiterate our expectation of generating positive Adjusted EBITDA for the first time in Q4 2026, an expectation we first outlined for investors in 2022.
Stated in 3 of 3 supplied quarters. Management reported: “We reiterate our expectation of generating positive Adjusted EBITDA for the first time in Q4 2026, an expectation we first outlined for investors in 2022.” “EBITDA loss was ($20) million, in line with our expectations.” Net income was $-43.700 million in 2026-Q3.
“We reiterate our expectation of generating positive Adjusted EBITDA for the first time in Q4 2026, an expectation we first outlined for investors in 2022.”
“EBITDA positive quarter, which we continue to expect in Q4 2026.”
“EBITDA positive quarter, which we continue to expect in Q4 2026.”
Here’s a look at the key metrics for the third quarter: • Top Line: At $1.55 billion, In Force Premium grew 34%, our 12th consecutive quarter of acceleration.
Stated in 3 of 3 supplied quarters. Management reported: “Here’s a look at the key metrics for the third quarter: • Top Line: At $1.55 billion, In Force Premium grew 34%, our 12th consecutive quarter of acceleration.” “Revenue grew faster still, by 73% to $336 million.” Revenue was $336.100 million in 2026-Q3.
“Here’s a look at the key metrics for the third quarter: • Top Line: At $1.55 billion, In Force Premium grew 34%, our 12th consecutive quarter of acceleration.”
We expect the growth rate of IFP to notably outpace that of growth spend from Q4 2026 onward, a key driver of operating leverage and profitability.
Stated in 3 of 3 supplied quarters. Management reported: “We expect the growth rate of IFP to notably outpace that of growth spend from Q4 2026 onward, a key driver of operating leverage and profitability.” “• Growth spend and interest expense grew by $28.0 million1, which reflects our decision to lean into customer acquisition due to strong marketing efficiency.”
Operating Leverage Operating leverage, powered in part by AI efficiencies realized across the organization, is most clearly visible in the efficiency of our team.
Stated in 3 of 3 supplied quarters. Management reported: “Operating Leverage Operating leverage, powered in part by AI efficiencies realized across the organization, is most clearly visible in the efficiency of our team.” “We concluded the third quarter with 1,321 employees, down 1% as compared to the second quarter.”
Enhance underwriting results to increase gross profit and adjusted gross profit margins, supported by AI-driven claims efficiency and reinsurance strategy.
Over the trailing year it converted 0.50x of net income into operating cash flow.
Most sensitive to the broad stock market.
Not enough signal to read sensitivity to the US dollar, real (inflation-adjusted) rates, long-term interest rates, Fed net liquidity (low R² over the window).
10 material management or governance events in the past 24 months, led by M&A activity. Historically, Financials names rated neutral grew net income 60% of the time over the next year (vs 58% for the rest of the cohort, n=10134).
Not investment advice. As of 2026-11-05.
“Here’s a look at the key metrics for the second quarter: • Top Line: At $1.43 billion, In Force Premium grew 32.4%, our 11th consecutive quarter of acceleration.”
“Here’s a look at the key metrics for Q1: • Top Line: At $1.33 billion, In Force Premium grew 32% – extending our streak of IFP growth rate acceleration to ten consecutive quarters.”
“We expect the growth rate of IFP to notably outpace that of growth spend from Q4 2026 onward, a key driver of operating leverage and profitability.”
“Growth Rate Convergence TTM growth rate of growth spend IFP growth rate Q1 25 Q2 25 Q3 25 Q4 25 Q1 26 Q2 26 0% 20% 40% 60% 80% 100% 120% 140% Based on current growth plans, we expect IFP growth to ou…”
“Since Q1 23, we’ve increased growth spend by ~200% while maintaining LTV/CAC ratios at or above 3x, a trend we hope to continue.”
“Operating Leverage Operating leverage, powered in part by AI efficiencies realized across the organization, is most clearly visible in the efficiency of our team.”
“Our breakaway numbers reflect continued advances in AI and automation across our claims operation — including higher instant claim rates in Pet and Renters and expanded AI-assisted workflows — which…”
“AI-powered automation at scale is expanding team capacity and enabling us to support accelerating growth and simultaneously deliver improved customer support quality without adding headcount.”