Lyft, Inc. (NASDAQ:LYFT) shares tanked on Wednesday, despite reporting a statistically record-breaking fourth quarter.
Lyft's CEO David Risher openly questioned the disconnect between corporate performance and investor expectations in an appearance on CNBC's "Squawk Box" on Wednesday morning.
- LYFT stock is slipping. See the chart and price action here.
The Record Disconnect
When pressed on why the stock plummeted despite positive headlines, Risher's response was animated.
"What do they want? Tell me about it! … Look, I don't know," Risher said, referring to Lyft shareholders.
He pointed to a trifecta of milestones that usually satisfy Wall Street:
- Record Bookings: Reaching an all-time high of $5.1 billion.
- Record Profits: Reporting a net income of $2.8 billion (largely due to a tax asset release).
- Record Cash Flow: Generating over $1.1 billion in free cash flow for 2025.
The market's skepticism, however, stemmed from a miss on revenue estimates and concerns over slowing ride growth compared to its primary competitor, Uber Technologies (NYSE:UBER).
Risher's frustration highlighted a broader tension: a CEO focused on long-term structural transformation versus a market reacting to short-term guidance and specific line-item misses.
AVs and Fleet Management
Risher said Lyft's focus is not on stock fluctuations, but on its future defined by autonomous vehicles (AVs). He framed Lyft not just as a ride-hailing app, but as a sophisticated fleet management power player.
The company is doubling down on a hybrid network strategy. Risher highlighted partnerships with Waymo and Baidu and plans to launch robotaxis in Nashville in 2026.
Lyft intends to handle maintenance, charging and depot operations for its AV partners, positioning its Flexdrive subsidiary as indispensable to the industry.
The company is also building for the AV transition, Risher said, prioritizing customer experience over the immediate approval of the trading floor.
LYFT Price Action: According to data from Benzinga Pro, Lyft shares were down % at $ at the time of publication Wednesday.
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