Feb 10 Reuters Lyft Inc shares fell 35 on Friday after a bleak forecast fueled worries that the company will have to cut prices and sacrifice profit to avoid being a distant second to rival Uber in the North American ridesharing market.

Both the companies have been locked in a battle for market share coming off the pandemic lows, with latest earnings showing Uber39;s global presence and more diversified business were giving it an edge over rideshare and U.S.focused Lyft.

Uber benefits from having a global rideshare model, and international markets have been quicker to bounce back than the United States, Bernstein analyst Nikhil Devnani said.

As the bigger platform Uber is able to offer more volume for drivers, not only within rideshare, but also now with food and grocery delivery.

Lyft shares were set for their worst day on record, with 13 analysts lowering their price targets on the stock. The company was set to erase about 2 billion in market value and nearly all of its share price gains this year.

Lyft on Thursday provided firstquarter profit and revenue forecasts that were below market expectations, a stark contrast to Uber39;s strong profit projection and betterthanexpected earnings.

This outlook continues the recent trend of Lyft growing slower than the broader rideshare market, Canaccord Genuity said, adding that improving driver supply will pressure the company39;s pricing.

Drivers have returned to ridesharing companies in recent months as they look for…