Shares of artificial intelligence-powered insurance expert Lemonade (NYSE: LMND) have not been treated nicely in 2021. The stock has fallen more than 65%, year to date. This came after a combination of blows to the business, especially in the first quarter.
Some of the drop is justified, but I do believe that the stock market overreacted. Mainly, the low share price doesn't appear to account for a recent acquisition and the launch of a big product: Lemonade Car. If the company can focus on gathering more data for its AI and use its recent buyout of MetroMile to mature its newest product, I think Lemonade investors could see a generous bounce back in 2022.
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Source Fool.com