'Trading Nation' Analysts Weigh In On Lemonade, IPO And SmileDirectClub

On CNBC‘s "Trading Nation," Boris Schlossberg of BK Asset Management said that a lot of newly listed companies don't have unique business models, but Lemonade Inc (NYSE: LMND) is an exception. He finds its proposition interesting because it takes pain from two points of view, pricing and claims settlement; One-third of its claims can be settled in five minutes or less.

Lemonade's performance as far as underwriting goes is still to be seen, said Schlossberg. It's 10% below the net loss ratio that the industry giants are doing. Schlossberg thinks the market is going to forgive that if the company manages to continue to grow net customer acquisition. He sees it as a long-term speculative play.

Craig Johnson of Piper Sandler would take some profits in Renaissance IPO ETF (NYSE: IPO) because it has dropped below its trend line and it has started to underperform the S&P 500.

Johnson likes SmileDirectClub Inc (NASDAQ: SDC) better. If the stock closes above $10, he would be a buyer.

See more from Benzinga

© 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.