Uber is expanding its push into the rapidly growing self-driving vehicle market with a new robotaxi service in Dallas that begins today. The rideshare giant is deploying a fleet of autonomous vehicles developed by startup Avride, which also makes delivery robots.
UBER has transformed from a cash-burning startup to a highly profitable, cash-generating enterprise, justifying a strong Buy rating. UBER's aggressive expansion into delivery, AI, and autonomous vehicles, including partnerships with NVIDIA and investments in robotaxi startups, underpins its future growth trajectory. UBER's financial turnaround is evident: $49.6B revenue (+18.25% YoY), $16B TTM net income (33.54% margin), and $6.7B levered FCF (13.68% margin).
Uber teams with WeRide to launch the Middle East's first robotaxi service in Abu Dhabi, aiming for global AV growth.
Uber Technologies rolled out driverless robotaxis in Abu Dhabi in partnership with Chinese autonomous-driving firm WeRide on Wednesday, following the tie-up they announced last year.
Uber users in Abu Dhabi can ride in a fully driverless WeRide robotaxi starting Wednesday. Uber and the China-based company first announced plans to bring the technology to the United Arab Emirates last September.
Uber Technologies posted strong Q3 growth, but operating income lagged EBITDA, raising concerns about margin expansion and market enthusiasm. UBER's Delivery vertical showed improved efficiency, with a higher Take Rate, while Mobility benefited from lower sales and marketing costs. Assigning a hold rating, I see fair value at $99 per share (20x EV/EBITDA), but recommend waiting for a better entry point around $70-$80.
Uber (UBER) stands out as a dominant, asset-light platform, with powerful network effects and diversified revenue streams across mobility, delivery, and advertising. UBER's scale, cross-platform synergies, and strategic AV partnerships position it for sustained earnings growth and margin expansion, despite regulatory and competitive risks. Valuation analysis suggests UBER is undervalued, with a fair value estimate of $115/share and double-digit annual return potential over the next five years.
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Uber Technologies and Starship Technologies plan to begin rolling out autonomous sidewalk robot delivery for Uber Eats by the end of the year.
Uber delivered a strong Q3, beating top- and bottom-line estimates, with robust Mobility and Delivery segment growth and record cash flow. UBER's autonomous vehicle (AV) partnerships, especially with Waymo and NVDA, are strategic catalysts, positioning UBER for long-term AV leadership despite near-term unprofitability. Monte Carlo simulations project a $127 price target for UBER, implying nearly 40% upside, though short-term resistance remains around $100.
The new Uber Ski service streamlines winter travel with advance booking, gear-ready vehicles and integrated Epic Pass access across major mountain destinations.
Lyft's strong gross bookings, the new Curb partnership and a more appealing valuation place it ahead of the rival in the post-third-quarter showdown.