Recent Security Class Actions

Lyft Inc. Class A Common Stock (NASDAQ: LYFT)

Company Name:Lyft Inc. Class A Common Stock
Stock Symbol:NASDAQ: LYFT
Class Period Start:02/13/2024
Class Period End (inclusive):02/13/2024
Filing Deadline:05/06/2024

According to the Complaint, Lyft released its year-end and fourth quarter 2023 operating results in a press release after the close of the market on February 13, 2024 that misrepresented in a bulleted line item that Lyft anticipated “Adjusted EBITDA margin expansion (calculated as a percentage of Gross Bookings) of approximately 500 basis points year-over-year.” In fact, Lyft only anticipated a 50 basis point margin expansion. The Complaint alleges that the misrepresentation with respect to margins was material and caused Lyft common stock to trade at an artificially high price. The Complaint further alleges that Defendants knew that many if not most of the shares that traded in the aftermarket were shorts that were covering their positions and therefore were motivated not to move promptly to correct the press release and that the presence of the large short position had a negative impact on the Individual Defendants’ ability to earn stock-based performance bonuses.