Singapore markets closed

  • Straits Times Index

    3,215.07
    -0.33 (-0.01%)
     

  • S&P 500

    4,337.44
    +17.38 (+0.40%)
     

  • Dow

    34,006.88
    +43.04 (+0.13%)
     

  • Nasdaq

    13,271.32
    +59.51 (+0.45%)
     

  • Bitcoin USD

    26,261.34
    +188.94 (+0.72%)
     

  • CMC Crypto 200

    562.32
    +2.81 (+0.50%)
     

  • FTSE 100

    7,626.35
    +2.36 (+0.03%)
     

  • Gold

    1,931.70
    -4.90 (-0.25%)
     

  • Crude Oil

    88.94
    -0.74 (-0.83%)
     

  • 10-Yr Bond

    4.5420
    0.0000 (0.00%)
     

  • Nikkei

    32,315.05
    -363.57 (-1.11%)
     

  • Hang Seng

    17,466.90
    -262.39 (-1.48%)
     

  • FTSE Bursa Malaysia

    1,445.55
    +2.10 (+0.15%)
     

  • Jakarta Composite Index

    6,923.80
    -74.58 (-1.07%)
     

  • PSE Index

    6,263.94
    +91.10 (+1.48%)
     

Lyft (LYFT) to Stop Recruiting Employees Through Year-End

Zacks Equity Research
·2-min read

Inflation in the United States remains sky-high, implying that market volatility is still rampant. To tame the red-hot inflation, the Fed has hiked interest rates 300 basis points so far this year. The central bank further vowed to hike interest rates to drag down inflation to its 2% target at best by 2025. Soaring interest rates will continue to increase the cost of borrowing, which in turn, will persistently affect consumer spending.

Due to the rising interest rate-induced economic slowdown, Lyft LYFT reportedly decided to stop hiring employees through the year-end. Per LYFT spokeswoman Ashley Adams, “Like many other companies navigating an uncertain economy, we are pausing hiring for all U.S.-based roles through the end of the year.”

LYFT started the process of informing prospective candidates about the decision to freeze hiring. The economic downturn-induced hiring freeze is a further setback for Lyft, shares of which have declined 66.2% year to date.

Zacks Investment Research
Zacks Investment Research


Image Source: Zacks Investment Research

In May, rival Uber Technologies UBER had  announced  the decision to reduce spending and slow down hiring. To cater to the long-term interests of its shareholders, Uber aims to make its business model leaner by cutting down on expenses pertaining to marketing and incentives.

Zacks Rank & Stock to Consider

Lyft currently carries a Zacks Rank #3 (Hold). A better-ranked stock in the Zacks Internet-Services industry is Baidu BIDU, currently carrying a Zacks Rank #2 (Buy). BIDU offers a Chinese language search platform with a network of third-party websites and software applications.

At Baidu, the Zacks Consensus Estimate for current-year earnings has been revised 16.2% upward over the past 60 days. BIDU has a stellar earnings surprise history, having outperformed the Zacks Consensus Estimate in each of the preceding four quarters, the average being 58.1%.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Lyft, Inc. (LYFT) : Free Stock Analysis Report
 
Baidu, Inc. (BIDU) : Free Stock Analysis Report
 
Uber Technologies, Inc. (UBER) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research