Lyft stock falls 16% after disappointing Q4 earnings

Lyft's stock fell 16% in after-hours trading after the company missed expectations with its fourth-quarter results and a weak 2026 outlook. Revenue rose 3% to $1.59 billion, below the $1.76 billion analysts expected, and the company forecast first-quarter adjusted EBITDA of $120 million to $140 million.

It also reported a surprise operating loss of $188.4 million for 2025. CEO David Risher said an unexpected increase in competitors' price promotions weighed on the quarter. "During a season of heightened competitive promotions, we prioritized the most durable, profitable demand in the marketplace," the company said in commentary released with its results.

The results complicate Lyft's turnaround. Since Risher became CEO in 2023, Lyft has cut costs and introduced new products for riders, including a price-lock feature for commuters, and the stock is up about 11% over the past year.

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