Gary Black Takes Stock Of Lyft's Record Year With 44 Million Riders As Company Plans Mobileye Robotaxis B

The Future Fund LLC Managing Partner Gary Black highlighted Lyft Inc.‘s (NASDAQ:LYFT) record year performance on Tuesday, sharing CEO David Risher‘s announcement about serving 44 million riders across the U.S. and Canada in 2024.

What Happened: The comments came as Lyft reported strong fourth-quarter results, with revenue reaching $1.6 billion, exceeding analyst expectations of $1.56 billion. The company achieved notable growth metrics, including a 15% year-over-year increase in gross bookings to $4.3 billion and a 10% rise in active riders to 24.7 million.

Black, whose Future Fund Active ETF (NYSE:FFND) holds positions in Uber Technologies Inc. (NYSE:UBER) but not in Lyft, recently addressed the future of ride-hailing platforms in the context of autonomous vehicle networks.

He pointed to Uber’s 170 million monthly active users as a significant market advantage, comparing it to Amazon.com Inc.’s position in e-commerce with its 310 million monthly active users.

Why It Matters: The ride-hailing landscape continues to evolve, with multiple companies advancing their autonomous vehicle strategies. Lyft plans to launch Mobileye Global Inc. (NASDAQ:MBLY) powered robotaxis in Dallas by 2026.

Uber has partnered with Alphabet Inc.‘s (NASDAQ:GOOGL) (NASDAQ:GOOG) Waymo for driverless rides, while Tesla Inc. (NASDAQ:TSLA) aims to introduce its robotaxi service in Texas and California by 2025.

Risher emphasized the company’s focus on growth, stating, “2025 will be the year we show millions of riders and drivers: You’ve now got a better rideshare choice.” The company recently authorized a $500 million share repurchase program and reported $759.32 million in cash and cash equivalents at the quarter’s end.

Lyft’s consensus price target is $17.84 from 36 analysts, with a high of $26 and a low of $10. The latest ratings from BofA Securities and UBS average $18.67, implying a 45.83% upside.

Price Action: Lyft stock closed at $14.39 on Tuesday, down 4.83%, with an 11.05% after-hours drop. Over the past year, shares have risen 16.05%, according to data from Benzinga Pro.

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