Lyft Inc.’s competitive risk from Uber Technologies Inc. “may be more structural than originally thought,” according to RBC Capital Markets. RBC analyst Brad Erickson downgraded Lyft’s stock LYFT, -7.77% to sector perform from outperform Friday, acknowledging that he was “late” to the game with his ratings change—Lyft shares have now lost 70% this year—but writing that Uber UBER, -4.79% could continue to pressure Lyft’s traction. Erickson highlighted “directionally worse” pick-up times on Lyft’s platform, “reinforcing the view of Uber’s structural supply advantage.” Pick-up times on Lyft were 10% slower than pick-up times on Uber, based on his analysis, marking the first time since May 2021 that Uber was faster. Don’t miss: Uber and Lyft drivers net less than $7 an hour after California law passed, driver-led study finds That trend “could suggest that Uber’s relatively better driver supply rebound through COVID could finally be manifesting,” Erickson wrote. In some cases, he noted, riders will compare options from both services before choosing which to use for a given trip. He further noted that while Lyft has “outsized west-coast exposure,” there could be reason to worry based on trends in Los Angeles. His analysis found that Lyft pick-up times in L.A. were up 33% relative to when he conducted tests in July, whereas Uber saw pick-up times fall by 3%. “Part of this may be attributable to Lyft having strong west coast & L.A. share and demand coming back a bit faster,” he wrote. But to him, the trends “once again reinforced Uber’s multi-platform advantage where additional lines & the Postmates acquisition in particular may be driving the apparent tailwinds we’re finding in our data.” Lyft is trying to become more profit-focused, with executives targeting $1 billion in adjusted earnings before interest, taxes, depreciation, and amortization (Ebitda) for 2024. That sort of goal has pluses and minuses, according to Erickson. “While working towards profitability is, of course, a good thing in this new economic climate, we think it also has the potential to be a limiting factor for LYFT in the event it is finding rising competitive intensity,” he wrote. Lyft shares are off more than 6% in Friday morning trading. They’ve lost more than three quarters of their value over the past 12 months as the S&P 500 SPX, -1.90% has dropped 16%.