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On Wednesday, Evercore ISI maintained its Outperform rating and $115.00 price target for Uber Technologies Inc . (NYSE:UBER), following the company’s announcement of new products and services. The target represents potential upside from the current price of $90.41, with Uber trading near its 52-week high of $92.17. According to InvestingPro data, the stock has delivered an impressive 52% return year-to-date. In a statement, the firm recognized the introduction of new offerings as incremental to Uber’s existing business, including a competitive response to Lyft (NASDAQ:LYFT)’s Price Lock feature.
Uber’s CEO Dara Khosrowshahi and CPO Sachin Kansal, at the company’s annual GO-GET event, focused on addressing consumer concerns related to economic uncertainty and the integration of AI and technology into daily life. With a robust market capitalization of $188.77 billion and a "GREAT" financial health score from InvestingPro, the company appears well-positioned to invest in innovation. They emphasized Uber’s commitment to developing products that simplify, predict, and most importantly, reduce costs for consumers.
The most significant introductions by Uber included Price Lock and Prepaid Pass, which Evercore ISI sees as material enhancements to the company’s service offerings. With revenue growing at 17.6% and maintaining a healthy gross profit margin of 33.59%, the company has demonstrated its ability to scale efficiently. Additionally, the firm highlighted the potential for Shared Autonomous Rides to increase the utilization of autonomous vehicles (AVs). The planned 2026 launch of Volkswagen (ETR:VOWG_p) AVs in Los Angeles, an area where Waymo already operates, was noted as a positive indicator of Uber’s long-term prospects with multiple AV technology providers.
Other features announced at the event, such as Route Share, Savings Slider, and Dine Out, were described as modestly incremental to Uber’s business. Despite Uber’s stock already rising 50% year-to-date, Evercore ISI reiterated its Outperform rating, citing the company’s valuation remains reasonable with sustainable growth potential. The firm anticipates that Uber will continue to see unit growth in its core Mobility & Delivery segments, driven in part by ongoing product innovations such as those unveiled at the GO-GET event.
In other recent news, Uber Technologies has been active with several strategic moves and financial developments. The company has announced a partnership with iFood to integrate ride-hailing and delivery services within each company’s app in Brazil. This initiative aims to streamline services for consumers and is expected to begin in select Brazilian cities in the second half of 2025. Furthermore, Uber has introduced new affordable travel options, including shared fixed-route rides and expanded membership passes, as part of its strategy to counteract slowing revenue growth.
Additionally, Uber plans to offer $1 billion in exchangeable senior notes due in 2028, targeting qualified institutional buyers, with potential proceeds earmarked for general corporate purposes. The company also disclosed a collaboration with Volkswagen to launch a fleet of fully electric vehicles as robotaxis next year. In the realm of financial analysis, DA Davidson has raised Uber’s stock price target to $98 from $80, maintaining a Buy rating. This follows Uber’s first-quarter earnings, which saw mixed results but a slight EBITDA surpassing consensus.
Benchmark, however, has maintained a Hold rating, noting a slight miss in gross bookings and revenue, despite growth in monthly active platform consumers and trips. The analyst highlighted Uber’s strategic focus on membership and cross-pollination as a potential advantage in customer acquisition. These developments reflect Uber’s ongoing efforts to expand its market presence and enhance its service offerings.
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