Bernstein reiterates Outperform rating on Uber stock ahead of earnings

Investing.com - Bernstein has reiterated its Outperform rating and $110.00 price target on Uber Inc. (NYSE:UBER), a $195.4 billion market cap ground transportation leader with a GREAT financial health score according to InvestingPro, ahead of the company’s upcoming third-quarter earnings report.

The research firm expects Uber to deliver results in line with market expectations for the third quarter of 2025 on November 4, projecting approximately 19% year-over-year growth in Mobility trips and 15-16% year-over-year organic growth in Delivery trips, excluding Trendyol Go. The company has maintained strong momentum, with revenue growing at 18.15% over the last twelve months.

Bernstein noted some weakness in U.S. app engagement during September, while international engagement appeared stable, with the slowdown affecting both the Mobility and Delivery segments of Uber’s business. Despite recent fluctuations, the stock has delivered an impressive 53% return year-to-date. Get deeper insights into Uber’s performance metrics and 10+ exclusive ProTips with InvestingPro.

Despite this observed softness in third-party app data, Bernstein analysts don’t place excessive weight on this metric, considering it just "one input" in their overall assessment of the company’s performance.

The firm highlighted reassuring factors including Uber’s "constructive" commentary in early September and relatively stable Mobility spending growth rates, supporting their maintained Outperform stance on the stock.

In other recent news, Uber Technologies Inc. reported significant developments across various segments of its business. The company is set to introduce "digital tasks" for U.S. drivers in its app, allowing them to earn additional income by completing assignments such as uploading restaurant menus and recording audio narrations. This initiative taps into the expanding artificial intelligence sector. In another strategic move, Uber has acquired Belgian startup Segments.ai to enhance its data-labeling capabilities, with the startup’s founders and team joining Uber AI Solutions.

On the financial front, TD Cowen has maintained its Buy rating for Uber, setting a price target of $108 due to strong growth in the company’s Mobility and Delivery segments. Guggenheim also initiated coverage on Uber with a Buy rating and a price target of $140, highlighting Uber’s leading network and technology. Additionally, Uber Freight appointed D’Andrae Larry as its new Chief Commercial Officer, bringing extensive industry experience to streamline logistics solutions. These developments underscore Uber’s ongoing efforts to expand its technological and operational capabilities.

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