LYFT Trade on Oct 31, 2019 09:30 from Cklamb: Tradervue User Stock Trades.

LYFT
Intraday Fundamentals
• Lyft Inc. raised its outlook for the year and built on recent Wall Street momentum with results that showed a 63% increase in revenue and more earnings per rider using its ride-hailing app.
• The results prompted Lyft to improve its full-year guidance for the second quarter in a row. The company said it expects annual revenue of $3.57 billion to $3.58 billion , up from $3.47 billion to $3.50 billion . It trimmed its estimate for adjusted annual losses of $708 million to $718 million , compared with previous guidance of $850 million to $875 million .
• Lyft said Wednesday revenue climbed 63% in the three months ended Sept. 30 to $955.6 million . Analysts surveyed by FactSet had projected revenue of $915 million for the quarter.
• "Just across the board, the third quarter exceeded our expectations," Brian Roberts , Lyft's chief financial officer, said in an interview.
• The results mark the San Francisco -based company's third earnings report to Wall Street since going public, and provide one of the strongest indications that Lyft could achieve profitability and become a self-sustaining company despite investor skepticism over its losses and regulatory challenges.
• Investors have already pushed the company's stock up about 9% in the past week, after Lyft's founders said last week at a Wall Street Journal conference that the company would be profitable on an adjusted earnings basis, before interest, taxes, depreciation and amortization, by the end of 2021. That is a year ahead of analysts' expectations.
• The company's net loss widened to $463.5 million in the period, compared with a loss of $249.2 million in the year- earlier quarter. Lyft attributed that to $246.1 million in stock-based compensation and related taxes, tied to the company's March initial public offering.
• Excluding interest, taxes, depreciation and amortization, the loss narrowed to $128.1 million from $263.2 million on an adjusted basis, compared with a consensus analyst estimate of $206 million .
• Analysts with Wedbush Securities wrote in a note Friday that they were expecting strong results and viewed the quarter as "another step forward toward regaining investor credibility for Lyft ." Wedbush expects Lyft stock to surpass its IPO price of $72 in the next 12 months. But the company has a long way to go to achieve that milestone: On Wednesday, Lyft shares closed at $44.11 , and gained about 1.6% in after-hours trading.
• Key to Lyft's future profitability is eliminating discounts and subsidies and making more money per ride. Lyft said it had more than 22 million active riders in the third quarter, a 28% increase over the year-earlier quarter. The company earned an average of $42.82 per active rider, up 27% from the $33.63 it brought in per rider last year.
• Mr. Roberts attributed the increase in part to Lyft attracting more passengers willing to pay a higher price -- mostly business travelers who can expense their trips to their company. Also, neither Lyft nor rival Uber Technologies Inc. are offering as many promotions and subsidies as they were a year ago.
• "The market is increasingly rational. There is significantly less discounting from a year ago, and we expect these market conditions to continue," Mr. Roberts said.
• Lyft executives cautioned on an investor call that the fourth quarter is often slower, as the holidays mean fewer business trips on Lyft , and its scooter- and bike-rental business will also hit a lull in cold-weather markets.
• The company still faces challenges, including a decline in the number of new users and active drivers as well as a regulatory crackdown by states and courts, according to analysts. One of the biggest threats to Lyft is California's passage of Assembly Bill 5, or AB5, intended to make companies classify workers such as ride-hailing drivers as employees eligible for legal protections.
• Lyft has said it has about 325,000 drivers in California . On Tuesday, Lyft joined Uber and delivery startup DoorDash to unveil a ballot initiative intended as an alternative to reclassifying workers and which would include a guaranteed wage of at least 120% of the state's minimum wage. Advocacy groups representing drivers have panned the initiative as an effort to maximize profits while preventing drivers from unionizing.
• "We are focused on operating as we are and running the ballot initiative, " said Lyft President and Co-Founder John Zimmer .
• Another potential headwind is more cities or states mandating minimum wages for drivers and a cap on the number of cars Lyft is allowed, such as New York City has done.
• "It is unclear how much of that is contemplated in the outlook," said Tom White , senior vice president and senior research analyst at D.A. Davidson & Co. Still, with the upbeat earnings Wednesday, Mr. White said he is "pretty optimistic" Lyft will hit its profitability target in 2021.
• Lyft's founders said they are looking to subscription services to provide a meaningful portion of future revenue and growth. This week, the company introduced a subscription service for about $20 a month, aimed at encouraging customers to take more rides by offering various perks and discounts. The service follows an attempt at a more lucrative subscription for nearly $300 a month that never gained traction.
• Target raises from MS and GS
Technicals
ADV 7M RVOL 1.15 ATR1.65 Short 8.73% Inst Own 36.50%
Daily

Hourly

Intraday

Trading Strategy
• Long Bias target 47
• Look for this to pull back into 45.50 at the opening and run a scalp from there, stay small so you can add at 45
• Run an opening drive play if it opens over 46and looks to run, bail at at46.50nad 46.90
• VWAP and SMA Momentum play
• Play breaks of the opening plays with a new game plan
Reading the Tape

It is hard to see much more than the jump s between the spread. On second long here. The tape did stall and gave me a great out just before .50. One fourth attempt to set up for a long back over 44.50. The tape seemed strong enough to extend but got weak just over .50 and started turning res on the T&S.
Trade Management

Review
• I was wrong other than opening scalp.
• I managed the rest of these on system. Well controlled risk.
• Nice profitable run considering the size traded this time of the day.