Lemonade (NYSE: LMND), the online insurance company that relies on AI chatbots to onboard customers and process claims, took its investors on a wild ride after its 2020 IPO.
It went public at $29, hit a record high of $183.26 in Jan. 2021, but now trades at about $56
Lemonade is still a divisive stock. The bulls believe it will disrupt traditional insurance companies by simplifying the insurance-buying process with its AI-powered platform. Still, the bears argue that its moat is too narrow and its operating costs are too high.
But if we take a closer look at its numbers, we’ll see that its big bet on AI-powered insurance is paying off. What happened to Lemonade after its market debut? When Lemonade went public, it only offered homeowners and renters insurance.