In a research letter to investors, Evercore ISI analyst Mark Mahaney announced that Lyft has been added to the firm's Tactical Asset Positioning (TAP) Underperformance List.

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With an outperform rating and a $75 price target on the company, Mahaney said he's adding Lyft to his short-term watch list.

Lyft's stock is down 4.5 % today.

The increased number of Covid-19 cases resulting from the Omicron variation, according to the analyst, weighs on any potential upside to revenue expectations for the fourth quarter.

"We're adopting a short-term view on LYFT since we believe Omicron will be a headwind for Q4/Q1 revenue," the Evercore analyst said.

"The main risks surrounding our call include: 1) Omicron's impact being less severe and/or shorter than expected, 2) a material improvement in the company's Take Rate (allowing Revenue to be less impacted by the potential GMV headwind), and/or 3) an accelerated acquisition of Active Riders," he cautioned.