Lyft Sued By Investors Because of Bad Stock

Photo (c) designer491 – Getty Images

Bloomberg News reports that Lyft investors are now suing the company claiming that its IPO was inflated, causing the stock to fall.

It is reported that the lawsuits are class action suits. They contend that Lyft over-sold in its prospectus, claiming that it had 39% of the market. The lawsuits also blamed Lyft for not letting investors know about their recent electric bike recall.

Lyft is actually growing, although not as much as they claimed it would. According to data, Lyft is actually growing faster than Uber. Although the company’s share of the domestic ridesharing market is less than half of Ubers.

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Lyft Sued By Investors Because of Bad Stock

Photo (c) designer491 – Getty Images

Bloomberg News reports that Lyft investors are now suing the company claiming that its IPO was inflated, causing the stock to fall.

It is reported that the lawsuits are class action suits. They contend that Lyft over-sold in its prospectus, claiming that it had 39% of the market. The lawsuits also blamed Lyft for not letting investors know about their recent electric bike recall.

Lyft is actually growing, although not as much as they claimed it would. According to data, Lyft is actually growing faster than Uber. Although the company’s share of the domestic ridesharing market is less than half of Ubers.

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