Lyft Shares Drop as Active Riders Miss Analyst Estimates

  • Company’s ridership hasn’t yet returned to pre-pandemic levels
  • Lyft to cut 13% of staff as it braces for economic slowdown

Lyft signage on a vehicle in San Francisco.

Photographer: David Paul Morris/Bloomberg
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Lyft Inc. slumped the most in six months after reporting weaker-than-expected ridership growth, signaling that it’s losing ground to rival Uber Technologies Inc. in a rocky recovery from the pandemic.

The company recorded 20.3 million active riders in the third quarter, missing an estimate of 21.1 million from a Bloomberg survey of analysts. That remains well below Lyft’s base of 22.9 million active riders at the end of 2019.