Lyft, Inc. (LYFT) DCF Valuation
Transparent DCF models put Lyft, Inc. (LYFT)'s fair value in a range of $14.04 – $46.28 — the low end is TGM's conservative base case (5% FCF growth, 10% discount), the high end the analyst consensus (FMP). Today's price of $13.87 sits below that range — by these conservative assumptions it screens as potentially undervalued.
Reverse DCF: at today's $13.87, the market is pricing in roughly +4.8%/yr free-cash-flow growth over the next decade (at a 10% required return).
Current Price
$13.87
Fair-Value Range
$14.04 – $46.28
Market-Implied Growth
+4.8%/yr
LYFT DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Illustrative model — not investment advice. Defaults to a conservative base case; the analyst (FMP) DCF, where available, is shown as a reference below.
Base inputs: FCF $320.4M · 0.38B shares · net cash $79.0M
Estimated Fair Value
$14.04
+1.2% vs $13.87
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $13.87; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 8.0% | $17.40 | $18.28 | $19.32 | $20.57 | $22.10 |
| 9.0% | $14.98 | $15.58 | $16.27 | $17.08 | $18.04 |
| 10.0% | $13.13 | $13.56 | $14.04 | $14.60 | $15.24 |
| 11.0% | $11.68 | $11.99 | $12.34 | $12.74 | $13.18 |
| 12.0% | $10.51 | $10.74 | $11.00 | $11.29 | $11.62 |
About Lyft, Inc.
Lyft, Inc. facilitates a comprehensive, on-demand transportation platform spanning the United States and Canada. Its core mission involves offering users personalized and immediate access to diverse mobility solutions through its multimodal network. Among its primary services is the Ridesharing Marketplace, which seamlessly connects drivers with passengers. For drivers, the company provides Express Drive, a flexible program for vehicle rentals. Consumers can also utilize Lyft Rentals for longer-distance travel needs. Furthermore, in numerous urban centers, Lyft operates a fleet of shared bikes and scooters, ideal for shorter journeys. The Lyft app enhances its utility by incorporating public transit data, thereby expanding the array of available transport options for users. Beyond these offerings, the company also provides access to autonomous vehicles, specialized enterprise transportation solutions (including concierge services for organizations), and subscription benefits through its Lyft Pink plans. Additional services include Lyft Pass commuter programs, first-mile and last-mile connectivity, and university safe rides initiatives. Established in 2007, the company initially operated as Zimride, Inc. before officially rebranding to Lyft, Inc. in April 2013. Its corporate headquarters are located in San Francisco, California.
- Sector
- Technology
- Industry
- Software - Application
- CEO
- John David Risher