FINANCIAL TREND COMPARISON

Liquidity:
Lyft Corp. liquidity numbers shows a current ratio of 1.73, which shows an increase from the
impact of Q2-Q3 left. In addition, this high current ratio shows no inventory or loans that needs
to be paid. The quick ratio of 1.7 is the same as the current ratio indicating no inventory as stated
before and also substantially lower than the industry average. Because the company is based on
employees using their own vehicle, the inventory will be less to nothing as shown in the current
liabilities section also from quarter to quarter. Comparing this to the industry will also be the
same ( i.e uber). The cash ratio was high during the Q2 this could be due to timing and events
during that time. Then decreased extremely during Q3-Q4 which could be due to the operating
ratio decreasing extremely below the industry average. Or the liabilities which increased during
Q4.

Asset Utilization:
Lyft Corp. asset ratios has increased from low or negative numbers from Q1-2 in 2018 to higher
assets in Q3-4 in 2019. This could be due to the increase in cash flow and decrease in operating
expenses. In addition, the industry average of 2.57 is higher than current company of 1.7. The
0.00 of inventory turnover tells us that Lyft has no inventory, because cars are supplied by the
individual. Fixed asset turnover is 20.98 which is a little more than average. Total assets of .5 is
not enough or is low for sales. Asset to Equity ratio of 1.0 is very low, which indicates no extra
or outside investments were contributed in addition, Lyft was .95 below the average industry.
Lyft has very little assets made over the past 2 years.

Profitability:
Lyft Corp. was not able to make a return on the assets. The ration fell below average and gave a
negative annual return.

Debt Utilization:
Lyft Corp debt ratio utilization ratios shows an increase quarter over quarter. The comparison
from the industry average indicates that they are on par with Debt Ratio of .49 and Debt to equity
ratio of .36. With the increase of debt to equity ratio, it indicates Lyft’s amplified efforts to
expand their business strategies. Lyft’s attempts to break into more ride sharing tools such as
bikes and scooter is an example of the company’s aggressiveness to finance their growth with
debt. The interest coverage ratio of Lyft is 911.32 is irrelevant consider the company does not
have any inventory making the interest expense abnormally lower than normal.

Market Values
Lyft Corp. is new to the market and only went public in early 2019. Only Q1 and Q2 2019 is
available for Lyft and early numbers shows a loss for earnings per share ratio of -96.89 and -4.47
respectively. Early indication shows a increase in the earnings per share ratio which is going in
the right direction for future profits. But with market price per share decreasing from 78.29 to
$65.71 investors might not be optimistic about Lyft’s value. Lyft’s cash flow per share has also
risen quarter over quarter which shows their cash flow allocated to each share. It is also of note
that Lyft only went public in Q1 2019, so their annual ratio’s will be weak consider their
cumulative negative net income for 4 Quarters in comparison to Lyft’s shares available.