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1. Company Snapshot

1.a. Company Description

Uber Technologies, Inc.develops and operates proprietary technology applications in the United States, Canada, Latin America, Europe, the Middle East, Africa, and the Asia Pacific.It connects consumers with independent providers of ride services for ridesharing services; and connects riders and other consumers with restaurants, grocers, and other stores with delivery service providers for meal preparation, grocery, and other delivery services.


The company operates through three segments: Mobility, Delivery, and Freight.The Mobility segment provides products that connect consumers with mobility drivers who provide rides in a range of vehicles, such as cars, auto rickshaws, motorbikes, minibuses, or taxis.It also offers financial partnerships, transit, and vehicle solutions offerings.


The Delivery segment allows consumers to search for and discover local restaurants, order a meal, and either pick-up at the restaurant or have the meal delivered; and offers grocery, alcohol, and convenience store delivery, as well as select other goods.The Freight segment connects carriers with shippers on the company's platform and enable carriers upfront, transparent pricing, and the ability to book a shipment, as well as transportation management and other logistics services offerings.The company was formerly known as Ubercab, Inc.


and changed its name to Uber Technologies, Inc.in February 2011.Uber Technologies, Inc.


was founded in 2009 and is headquartered in San Francisco, California.

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1.b. Last Insights on UBER

Breaking News: Uber Technologies Inc reported Q4 revenue of $14.37 billion, a 20% increase, beating market expectations of $14.32 billion. Gross bookings jumped 22% to $54.14 billion, above estimates of $53 billion. Despite resilient top-line growth and strong user momentum, adjusted EPS missed estimates. Consolidated EBITDA margin reached 4.6%. The company saw 18% growth in Monthly Active Platform Consumers and 22% growth in trips. Some analysts recommend buying the stock, citing a robust long-term growth thesis, while others express concerns over softer profitability and cautious near-term signals. Analysts at recommend buying .

1.c. Company Highlights

2. Uber's Q4 Earnings: A Strong Finish to a Robust Year

Uber's Q4 financial performance was impressive, with gross bookings up 22% year-on-year, driven by a 15 billion annual trip run rate and over 200 million monthly active users. The company generated $8.7 billion in adjusted EBITDA, up 35%, and a phenomenal $9.8 billion in free cash flow, up 42%. Earnings per share (EPS) came in at $0.14, significantly lower than the estimated $0.787, likely due to one-time items or accounting adjustments. With a revenue growth estimate of 14.9% for next year, the company's valuation metrics are worth examining. Uber's P/S Ratio stands at 2.95, and the EV/EBITDA ratio is 17.64, indicating a relatively high valuation.

Publication Date: Feb -05

📋 Highlights
  • Q4 Financial Performance:: Adjusted EBITDA reached $8.7B (+35% YoY) and free cash flow hit $9.8B (+42% YoY), driven by 15B annual trip run rate and 200M+ monthly active users.
  • Autonomous Vehicle (AV) Expansion:: Targeting 15 AV-operating cities by year-end, leveraging partnerships with tech firms like NVIDIA and Nuro, with 3M+ hours of real-world AV data collected.
  • Membership Growth:: Uber’s membership program expanded 55% YoY to 46M members, driving 40%+ growth in multi-product usage (Q4: 40% of users utilized >1 product).
  • Delivery Market Opportunity:: $1T retail/grocery delivery potential unlocked via partnerships with top US grocers, with SMB ad penetration exceeding 2% and enterprise ad growth outpacing SMBs.

Growth Drivers

The company's growth is driven by audience expansion, with monthly active platform consumers (MAPC) growing 18% year-on-year. New rider cohorts are exhibiting stronger retention, and the membership program is growing 55% year-on-year. As Balaji Krishnamurthy mentioned, "We're seeing a lot of runway in front of us with MAPC at over 202 million monthly actives and an annual active base of over 450 million." This growth is expected to continue, driven by new products, international expansion, and less dense areas.

Autonomous Vehicles (AVs) Opportunity

Uber is making significant investments in AVs, which is expected to unlock a multitrillion-dollar opportunity. The company plans to be in 15 cities by the end of the year and is partnering with software players like Waabi and Nuro. Dara Khosrowshahi emphasized that AVs will be a multiprovider environment, with multiple players getting to the finish line. The company's focus on real-world data, partnering with NVIDIA to collect over 3 million hours of data, will provide a structural advantage.

Valuation and Returns

Uber's valuation metrics indicate a relatively high valuation, with a P/E Ratio of 15.25 and a P/B Ratio of 5.63. However, the company's return on equity (ROE) is an impressive 40.25%, and the free cash flow yield is 6.36%. The company remains committed to a 50% free cash flow commitment to shareholders, with the remainder used for growth investments. With a growing customer base, expanding into new markets, and increasing free cash flow, Uber is well-positioned for continued growth.

3. NewsRoom

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3 Growth Stocks to Invest $1,000 in Right Now

Feb -07

Source: fool.com

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Uber Technologies (NYSE:UBER) Stock Acquired Sen. John W. Hickenlooper

Feb -07

Source: defenseworld.net

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How Should Investors Approach UBER Stock Post Q4 Earnings Miss?

Feb -06

Source: zacks.com

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Uber held liable, ordered to pay $8.5 million in driver rape suit

Feb -06

Source: cnbc.com

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UBER Shares Down 12% In A Month, But Rising Key Metrics Signal Potential Buying Opportunity

Feb -06

Source: benzinga.com

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First Look: Amazon's $200B AI Bet, Tech Rout

Feb -06

Source: gurufocus.com

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WeRide ו-Uber יפרסו 1,200 רובוטקסי במזרח התיכון

Feb -06

Source: globenewswire.com

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WeRide, Uber To Deploy 1,200 Robotaxis In The Middle East

Feb -06

Source: feeds.benzinga.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (18.80%)

6. Segments

Mobility

Expected Growth: 21.3%

Ride-hailing demand driven by urbanization, increasing smartphone penetration, and growing demand for convenient transportation alternatives fueled Uber’s growth.

Delivery

Expected Growth: 12.4%

Strong demand for convenience and increasing adoption of online food ordering drive growth. Uber Eats’ expanding global footprint, enhanced user experience, and strategic partnerships with restaurants and food establishments further fuel growth.

Freight

Expected Growth: 23.7%

Uber Freight's growth is driven by increasing demand for digital freight brokerage, the company's ability to leverage its existing network and technology, and the need for shippers to optimize their logistics operations.

7. Detailed Products

Uber Rides

A ride-hailing service that connects riders with drivers using their personal vehicles.

Uber Eats

A food delivery and ordering service that partners with local restaurants to deliver food to customers.

Uber Freight

A logistics service that connects shippers with carriers to move goods.

Uber for Business

A platform that allows companies to manage employee transportation and expenses.

Uber Health

A non-emergency medical transportation service that helps patients get to appointments.

Uber Works

A platform that connects workers with businesses that need temporary or seasonal labor.

Uber Air

An on-demand air taxi service that uses electric vertical takeoff and landing (eVTOL) aircraft.

8. Uber Technologies, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Uber's services are unique and there are no close substitutes, making it difficult for customers to switch to alternative modes of transportation.

Bargaining Power Of Customers

Customers have some bargaining power due to the availability of alternative ride-hailing services, but Uber's strong brand and large user base mitigate this power.

Bargaining Power Of Suppliers

Suppliers (drivers) have limited bargaining power due to the abundance of drivers and the ease of switching to alternative platforms.

Threat Of New Entrants

The threat of new entrants is high due to the low barriers to entry and the attractiveness of the ride-hailing market, making it easy for new competitors to emerge.

Intensity Of Rivalry

The intensity of rivalry is high due to the presence of strong competitors like Lyft, Via, and Juno, which creates a highly competitive market.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 46.96%
Debt Cost 5.89%
Equity Weight 53.04%
Equity Cost 10.84%
WACC 8.52%
Leverage 88.52%

11. Quality Control: Uber Technologies, Inc. passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Uber

A-Score: 5.8/10

Value: 3.6

Growth: 9.2

Quality: 7.7

Yield: 0.0

Momentum: 8.0

Volatility: 6.0

1-Year Total Return ->

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Stock-Card
ANSYS

A-Score: 5.4/10

Value: 0.8

Growth: 6.2

Quality: 8.6

Yield: 0.0

Momentum: 7.0

Volatility: 9.7

1-Year Total Return ->

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Stock-Card
Autodesk

A-Score: 5.0/10

Value: 0.5

Growth: 7.3

Quality: 8.3

Yield: 0.0

Momentum: 6.0

Volatility: 8.0

1-Year Total Return ->

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Stock-Card
Salesforce

A-Score: 5.0/10

Value: 2.3

Growth: 8.9

Quality: 8.3

Yield: 1.0

Momentum: 2.5

Volatility: 7.0

1-Year Total Return ->

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Stock-Card
AppLovin

A-Score: 4.8/10

Value: 0.0

Growth: 9.7

Quality: 8.4

Yield: 0.0

Momentum: 9.0

Volatility: 1.7

1-Year Total Return ->

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Stock-Card
Workday

A-Score: 4.6/10

Value: 1.0

Growth: 8.3

Quality: 6.6

Yield: 0.0

Momentum: 5.0

Volatility: 7.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

74.77$

Current Price

74.77$

Potential

-0.00%

Expected Cash-Flows