Best Stocks for Day Trading: 12 Stock Picks

6. Lyft Inc. (NASDAQ:LYFT)

Beta: 2.4

Average Volume: 17.4 Million

Number of Hedge Fund Holders: 51

Lyft Inc. (NASDAQ:LYFT) is one of the best stocks for day trading. On September 9, an analyst from Bernstein reiterated a Market Perform rating on Lyft (NASDAQ:LYFT) with a $16 price target, pointing to pending legislation in California as a key catalyst.

Lawmakers are considering AB 1340, which would allow drivers to negotiate terms as a union while maintaining their independent contractor status, and SB 371, which would lower the required uninsured motorist coverage.

The analyst estimated the insurance changes could reduce costs by nearly 30% of the projected 2026 EBITDA, though much of that benefit may be reinvested through lower fares and higher driver earnings. He sees potential for roughly 6% trip growth in California, adding about 80 basis points to consolidated volumes, though higher labor costs could offset some gains beyond 2027.

A few days earlier, on September 5, Wells Fargo’s Ken Gawrelski raised his price target on Lyft Inc. (NASDAQ:LYFT) to $16 from $15 while maintaining an Equal Weight stance. His revisions factored in a stronger advertising outlook, which he expects will provide incremental support to Lyft’s long-term profitability. Together, the two updates highlight both regulatory and business levers that could shape Lyft Inc.’s (NASDAQ:LYFT) financial trajectory in the coming years.

Lyft Inc. (NASDAQ:LYFT) is a U.S.-based ridesharing company that connects passengers with drivers through its mobile platform.