Lyft Stock Is Down More Than 26% This Year—Now a Short Seller Warns the Uber Rival Could Be in Deep Troub

Lyft Inc.

(NASDAQ:LYFT) reportedly faces multi-billion-dollar liabilities from its legal challenges due to alleged sexual assault claims, according to short-seller Bleecker Street Research, which announced that it was shorting the ride-hailing company.

Lyft Faces Thousands of Cases According to the short-seller's research report released on Thursday, Lyft faces an estimated $1.3 billion to $2.7 billion in potential exposure stemming from consolidated rideshare sexual assault litigation.

Bleecker Street alleges that the ride-hailing company failed to accrue for these claims on its balance sheet.

Read Also: Bernie Sanders Hails Uber, Lyft 70,000 Driver Unionization, Labels It A 'Historic' Victory: Workers Deserve 'Living Wage & Dignity' Lyft did not immediately respond to Benzinga's request for comment.