Lyft Scales Into Europe: Can It Take Market Share From Uber?

Core Insights - Lyft is attempting to increase its market share outside the United States by acquiring the FreeNow mobility platform, which operates in 19 countries [4][6] - The acquisition is expected to double Lyft's annual ride volume to over 160 million, leveraging FreeNow's established customer base of 6.3 million users [6] - Lyft's stock forecast indicates a potential upside of 43.98%, with a 12-month price target of $16.45 [5] Financial Performance - Lyft reported a 17% year-over-year growth in gross bookings, reaching $16.1 billion [15] - Revenue increased by 31% year-over-year to $5.8 billion [15] - The company achieved a net income of $22.8 million, a significant improvement from a loss of $340.3 million in 2023 [15] - Adjusted EBITDA rose to $382.4 million compared to $222.4 million in 2023 [15] - Free cash flow improved to $849.7 million from a loss of $98.2 million in 2023 [15] - Total rides increased by 17% year-over-year to 828 million in 2024, marking Lyft's first full year of GAAP profitability [15] Market Position - Uber dominates the U.S. ride-hailing market with a 76% market share, while Lyft holds 8% of the global ride-hailing market [4] - Lyft's strategy to target markets where Uber has less concentration is seen as a logical move [4] - The FreeNow acquisition positions Lyft to compete more effectively in the European market [4][6] Future Developments - Lyft plans to roll out autonomous vehicles (AVs) in partnership with May Mobility and Mobileye as early as summer 2025 [11][12] - The partnership with Marubeni aims to deploy thousands of AVs on the Lyft platform starting in Dallas by 2026 [13]