When Lemonade (NYSE: LMND) went public five years ago, it initially dazzled the market with the growth potential of its AI-powered insurance platform. With its AI chatbots and algorithms, Lemonade simplified the byzantine process of buying insurance. That approach made it popular with younger and first-time insurance buyers.
Lemonade’s stock skyrocketed from its IPO price of $29 to a record high of $183.26 in early 2021. However, rising interest rates subsequently deflated its valuations and highlighted its ongoing losses, and it now trades at about $58. So will its stock soar again and set fresh highs over the next five years?