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Uber Technologies, Inc. (UBER) operates in the technology sector, providing global platforms for ridesharing, food delivery, and logistics services. With a market cap of $165.4 billion, its core offerings include the Mobility, Delivery, and Freight segments, connecting consumers with transportation and on-demand delivery solutions. The San Francisco, California-based company is expected to announce its fiscal Q3 earnings results before the market opens on Thursday, Oct. 31.
Ahead of this event, analysts expect the ride-hailing company to report a profit of $0.41 per share, up 310% from the previous year's $0.10 per share. The company has surpassed Wall Street's bottom-line estimates in two of the past four quarters while missing on two other occasions. In the most recent quarter, UBER exceeded the consensus EPS estimate by 51.6%.
For fiscal 2024, analysts expect UBER to report an EPS of $1.08, an increase of 24.1% from $0.87 in fiscal 2023. Looking forward to fiscal 2025, the company’s EPS is projected to grow 112% year-over-year to $2.29.
Over the past 52 weeks, UBER has surged 84.1%, outperforming the S&P 500 Index's ($SPX) 35.9% gain and the SPDR NYSE Technology ETF's (XNTK) 46.3% increase over the same period.
Shares of Uber climbed 10.9% on Aug. 6 after the company reported stronger-than-expected Q2 profit of $0.47 per share and revenue of $10.7 billion, due to robust demand for its ride-sharing and food delivery services. The positive earnings were driven by a 25% growth in ride-sharing revenue and a sixfold increase in self-driving vehicle trips, supported by partnerships with companies like Waymo. Moreover, the stock surged 10.8% on Oct. 11 after Tesla announced plans to launch its Robotaxi service by 2025, potentially reshaping the ride-hailing market. Investors reacted positively, seeing potential benefits for Uber, with analysts like Jefferies' John Colantuoni calling it a "best-case outcome" for the company.
Overall, analysts' consensus view on UBER stock is bullish, with a "Strong Buy" rating. Out of 43 analysts covering the stock, 36 give a "Strong Buy," three have a "Moderate Buy," and four give a "Hold" rating. Currently, UBER is trading below the average analyst price target of $89.09.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
