 Dear Reader, A few weeks ago, my name appeared in the Epstein files. I won't dramatize it. I wasn't accused of anything. I wasn't involved. But I did something most people don't do when they see something that doesn't add up. I spoke up. Years ago, when I thought a financial tip might help law enforcement understand how Epstein operated, I shared it. Discreetly. Without expecting anything in return. That instinct... to step forward when something feels wrong... is the same one that led me to warn about the dot‑com bubble... the housing collapse... and several major market dislocations before they became obvious. And it's why I'm speaking up again now. Because something fundamental is shifting in America. The cost of living no longer matches how much money we make... We can't keep our promises to younger generations. And artificial intelligence is accelerating changes most people are not prepared for. One Wall Street strategist recently called what's coming a "violent reset." I agree with the direction, if not the language. There is a line forming between those who understand what's happening... and those who don't. I've laid out what I'm seeing and, more important, what you can do about it, in detail. Click here to read it while you still can. Regards, Whitney Tilson
Editor, Stansberry's Investment Advisory
This Month's Bonus Article Lemonade's Sweet Results Refresh Market Appetite: Rebound AheadWritten by Thomas Hughes. Posted: 2/20/2026. 
What You Need to Know- Lemonade's sweet guidance has investors and analysts rethinking their positions.
- Short interest is high, with a growing potential for short covering to continue lifting this market.
- Management improved the profitability outlook, creating a catalyst for higher share prices.
Lemonade's (NYSE: LMND) strong Q4 2026 results created a floor in the stock's price action, suggesting the potential for a rebound to a new long-term high. The results were a blowout, affirming that the company's growth flywheel is gaining momentum. Lemonade's AI-enabled insurance platform and pricing model create value that attracts new customers, and those customers further refine the product and pricing. More customers allow Lemonade to deliver better, more-targeted services, improving operational quality and investor appeal. The takeaway: this growth story is still in its early chapters and has a long runway ahead. Lemonade Accelerates on Client Growth and Premium GainsLemonade posted a solid quarter with revenue of $228.1 million, up more than 50% year-over-year (YOY) and roughly 500 basis points ahead of consensus. The growth was underpinned by a 28% increase in gross earned premium, a 31% increase in in-force premium (IFP), and a 7% increase in premium per customer. Customer count rose a stronger-than-expected 23%, partially offset by a 1% decline in ADR. ADR, a measure of retained premium per customer, fell because the company non-renewed policies that did not meet underwriting criteria. While a near-term headwind, this improves portfolio and underwriting quality going forward. Margin news was robust as well. The company widened gross margin by 500 basis points, materially narrowed reported losses, and turned free cash flow positive. Free cash flow grew 37% to $37 million and is expected to continue improving in the coming quarters. Guidance was also impressive. At the low end of its range, the company forecasts $1.187 billion in revenue for 2026—more than 230 basis points above analyst consensus—and expects revenue growth to accelerate, topping 60% for the year. Growth drivers include pet, car and European segments, which supported both client and premium-per-client increases. Analyst Response Signals Sentiment Shift for LemonadeThe initial analyst response was broadly bullish, although analysts did not immediately issue rating changes. Commentaries highlighted solid performance, an improving loss ratio and stronger guidance, including an accelerated timeline for profitability. Management now forecasts positive adjusted EBITDA by year-end and a profitable 2027—one year earlier than previously expected. MarketBeat tracks nine analysts covering Lemonade. The consensus rating is Hold with a 45% buy-side bias (33% of ratings are Sell), and an average price target of $70. The $70 target suggests the stock was fairly valued as of mid-February and provides a potential floor for price action, given the stock's notable gains over the past 12 months and alignment with key moving averages. The likely near-term outcome is consolidation around mid-February levels before a potential advance, which could be triggered by analyst upgrades in the coming weeks. Institutions Cause Volatility in Lemonade Stock Prices Institutions are bullish on Lemonade, owning more than 80% of the shares and being net buyers for nine consecutive quarters. However, both buying and selling activity ramped to record levels in early 2026, which capped the market's upside. If this elevated activity persists, LMND shares will likely trade sideways within their range until a clearer catalyst emerges. The technical action reflects mixed analyst and institutional sentiment. Price action has ratcheted higher, with rallies followed by meaningful pullbacks, as seen in early 2026. The stock attempted to climb on the guidance update but was unable to sustain the advance. 
The pullback could extend to $60, or to $50 in an extreme case, as short interest is also high, running near 18% in early February. The key question is whether shorts still view the stock as overvalued given its improved earnings outlook. If price action turns positive and LMND rallies, short-covering could amplify near-term gains.
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