San Francisco, CA – On February 8, Uber Technologies Inc. (UBER:NYE) will report its fourth-quarter financial results. The ride-hailing behemoth and supplier of on-demand food and package delivery services stands to profit from a number of secular sector tailwinds that are driving demand for its offerings and bolstering its financial performance.
Uber earned record mobility gross bookings in the preceding quarter, which was a tribute to the company’s global footprint and the recovery of travel. In addition, the company’s quarterly losses decreased in Q2 and Q3 of 2022, demonstrating its ongoing improvement in financial performance.
In Q4, analysts are expecting Uber’s losses to decrease further and recover sequentially. The company is predicted to report a loss of $0.15 per share in the fourth quarter, compared to $0.61 per share in the third quarter. In addition, Uber’s fourth-quarter gross bookings are anticipated to climb by 23-27%, while its adjusted EBITDA is anticipated to fall between $600 million and $630 million.
The continued improvement in its monthly active platform users, the rise in trips, and the rise in gross bookings are likely to help Uber’s financial performance in the fourth quarter. However, inflationary pressures on consumer spending could impact the company’s delivery operation.
Bernie McTernan, an analyst at Needham, expects Uber to prosper in the present favourable operating environment because to minimal wait times, robust demand, and increased pricing. McTernan has decreased his delivery projections for the organisation.
UBER Stock Price Analysis:
The average target price for Uber stock over the next 12 months, according to the projections of 14 analysts, is $49,80. The average analyst recommendation for UBER stock is Strong Buy, and its Outperform Smart Score is nine.
Uber stock price was $33.90 at the previous market close, and it has changed by +14.41% over the past week, +28.41% over the past month, and -8.50% over the past year. The average price objective of $42.91 per analyst indicates a potential upside of 26.58%.
In conclusion, the upcoming announcement of Uber’s financial statistics for the fourth quarter is anticipated to be good, driven by robust demand and favourable market circumstances.
The company’s efforts to decrease its losses and enhance its financial performance are anticipated to pay off in the long run, providing investors with an excellent investment opportunity.