LYFT Stock Drops 8%—Here’s Why It Might Get Worse

Although ride sharing has represented one of the most groundbreaking technological and economic innovations, not all players have benefited from the development. Take Lyft (LYFT) as an example. While the company offers a compelling alternative to sector giant Uber (UBER), the contrast in market performance couldn’t be more obvious.

Over the past five years, UBER has doubled in equity value. LYFT stock? It dropped more than 70%. And since its public market debut, it has dropped more than 83%. That’s not to say that investors have zero chance of being made whole. However, there is a cloud of skepticism surrounding the enterprise.