(Reuters) – Lyft Inc received some badly needed support on Tuesday, as analysts at banks that had worked on its initial public offering urged clients to buy the ride-hailing company’s beleaguered shares.
Following the required 25-day wait for deal underwriters to issue an investment opinion following an IPO, at least 10 of the banks that brought Lyft public gave positive recommendations on a stock that has slumped 30 percent from its opening price on March 29, its first day of trading.
KeyBank appeared to be the only bank launching coverage on Tuesday that did not recommend buying Lyft, instead assigning it a “sector weight” rating and warning of slowing growth.
As of Tuesday, 14 out of 22 analysts covering Lyft recommended buying the stock, seven were “neutral” and one recommended selling.
Lyft’s stock slump since its IPO has raised concerns about the valuation of larger rival Uber Technologies Inc as it prepares to promote its own long-anticipated public listing,…
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