LYFT
9/9 ScoreLyft, Inc.
Analysis Date: February 21, 2026
Lyft, Inc. operates a peer-to-peer marketplace for on-demand ridesharing in the United States and Canada. The company operates multimodal transportation networks that offer riders personalized and on-demand access to various mobility options. It provides Ridesharing Marketplace, which connects drivers with riders; Express Drive, a flexible car rentals program for drivers; Lyft Rentals that provides vehicles for long-distance trips; and a network of shared bikes and scooters in various cities to address the needs of riders for short trips. The company also integrates third-party public transit data into the Lyft app to offer riders various transportation options. In addition, it offers access to autonomous vehicles; centralized tools and enterprise transportation solutions, such as concierge transportation solutions for organizations; Lyft Pink subscription plans; Lyft Pass commuter programs; first-mile and last-mile services; and university safe rides programs. The company was formerly known as Zimride, Inc. and changed its name to Lyft, Inc. in April 2013. Lyft, Inc. was incorporated in 2007 and is headquartered in San Francisco, California.
Buffettology Criteria
All 9 of 9 criteria passed
High ROE
Return on Equity > 12%
Value: 210.0%
High ROIC
Return on Invested Capital > 9%
Value: 217.8%
Cash Machine
FCF / Assets > 5%
Value: 12.4%
Fair Valuation
Earnings Yield > 3.5%
Value: 49.6%
Share Buybacks
Share Count is Dropping
Value: 0.4%
Defensible Moat
Gross Profit Margin > 40%
Value: 41.5%
Simple Business
Not in a speculative sector (e.g., Biotech)
Value: Technology
Conservative Debt
Debt to Equity < 1.5
Value: 0.39x
Consistent Growth
5-Year Growth is Positive
Value: 223.3%
Analysis Summary
Lyft's financials show some promising signs, with a solid passing score across the board. The company exhibits a defensible moat and a simple business model in technology, which are the bedrock of any long-term investment. While the growth and cash generation metrics are satisfactory, I'll be keeping a close eye on whether these translate into truly robust returns as the business matures.
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