Uber is trading at a ‘massive' discount, says billionaire hedge fund manager Bill Ackman.
Bill Ackman reveals he's been building a more than $2 billion stake in Uber
Uber's Q4 FY24 results were unimpressive and there are no positive beats on guidance to compensate. Management's claims of accelerating business momentum are not supported by key numbers, indicating a disconnect between commentary and actual performance. The CEO painted a future where Uber has a place in solving for commercially viable utilization and vehicle care problems in an autonomous vehicles world.
Uber's NYSE: UBER stock price will set a new high because of three factors: its business, cash flow, and AI. These factors set Uber apart from competitors, making it the leading player in ride-hailing and autonomous driving and an attractive target for investors.
Uber's Q4 results were strong, with 20% y/y revenue growth and a 386.4% y/y increase in EPS, but Q1 guidance was softer due to exogenous factors. Concerns over autonomous vehicles (AVs) are overblown; regulatory frameworks are nascent, and competitors like Waymo and Tesla are not immediate threats. Despite recent stock underperformance, Uber's long-term growth story remains intact, with significant upside potential and a new price target of $103.
Uber (UBER 8.54%) reported quarterly financial results that caused the stock price to fall.
This business is undervalued because of overblown concerns about driverless car technology.
Uber Technologies, Inc.'s Q4 earnings showed record revenues and bookings, but missed operating income estimates due to a legal settlement, causing a stock drop. Despite short-term headwinds, Uber's growth, share buybacks, and AV market positioning make it scandalously undervalued, with the potential to hit a $1 trillion market cap by 2030. Risks include ongoing legal fees and competition from AV giants like Tesla and Waymo, but Uber's strategic partnerships should mitigate these threats.
Here, we assess the investment worthiness of Uber stock.
Uber Technologies Inc UBER shares are up on Thursday, despite the company reporting an earnings miss for the fourth quarter.
Buy The Pullback: Maintaining Uber With A Buy
The final trades of the day with CNBC's Melissa Lee and the Fast Money traders.