$NYSE:LMND
Investor presentation day
https://www.youtube.com/watch
Finished watching this. Cautiously impressed. Main points that stood out to me were the superior nature of its digital substrate business in how it sells insurance. Probably no other legacy insurance company has this. No middlemen, the speed at which they sell and settle claims, and the sheer detail that their AI/machine learning models are generating. They can differentiate risk between houses on the same street. And the acquisition of Metromile has allowed them to expand their car insurance and offer bundles that should accelerate their business.
This was effectively the first time many of us investors got to look under the hood to see their AI/ML in action. They also shared the financials and explained how they are focusing on profitability (like so many other growth co.) Watching this I believe its moat is stable and even growing.
Things I’m watching in the next 2-4 quarters:
- The loss ratio really needs to come down in line with their predicted model, sub 90
- grow customer count to > 3m and total IFP >30% growth
- reduce cash burn, profitable GAAP by end of 2023...