BTIG Research Has Lowered Expectations for Uber Technologies (NYSE:UBER) Stock Price

Key Points

• BTIG Research cut its Uber price target from $100 to $90 but maintained a Buy rating; the new target implied 26.6% upside from the prior closing price.
• Analyst sentiment remained broadly positive: MarketBeat reported a Moderate Buy consensus and an average price target of $102.59.
• Uber’s latest quarterly revenue and adjusted EPS slightly beat estimates, but its profit outlook fell short of expectations, with driver shortages and higher costs weighing on the outlook.

Uber Technologies (NYSE:UBER - Get Free Report) had its price objective reduced by investment analysts at BTIG Research from $100.00 to $90.00 in a research note issued on Wednesday, Benzinga reports. The firm currently has a "buy" rating on the ride-sharing company's stock. BTIG Research's price target would indicate a potential upside of 26.60% from the company's previous close.

Several other equities analysts have also recently commented on the stock. Jefferies Financial Group boosted their target price on shares of Uber Technologies from $100.00 to $110.00 and gave the company a "buy" rating in a research report on Monday, August 10th. Barclays reduced their price target on shares of Uber Technologies from $107.00 to $106.00 and set an "overweight" rating on the stock in a research report on Thursday, August 6th. Guggenheim reissued a "buy" rating and issued a $125.00 price objective on shares of Uber Technologies in a research note on Friday, October 16th. KeyCorp lowered their price objective on shares of Uber Technologies from $110.00 to $105.00 and set an "overweight" rating for the company in a research report on Tuesday, July 14th. Finally, Wedbush restated an "outperform" rating and set a $91.00 target price on shares of Uber Technologies in a research note on Tuesday, September 8th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, four have assigned a Hold rating and three have issued a Sell rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $102.59.

Uber Technologies Price Performance

NYSE UBER traded up $4.49 during midday trading on Wednesday, hitting $71.09. The company had a trading volume of 21,134,865 shares, compared to its average volume of 18,923,787. The company has a market capitalization of $145.21 billion, a PE ratio of 15.59, a P/E/G ratio of 6.38 and a beta of 1.33. The company has a current ratio of 0.84, a quick ratio of 0.84 and a debt-to-equity ratio of 0.38. The firm has a 50-day moving average price of $70.71 and a 200-day moving average price of $73.25. Uber Technologies has a twelve month low of $64.04 and a twelve month high of $95.44.

Uber Technologies (NYSE:UBER - Get Free Report) last released its earnings results on Wednesday, November 4th. The ride-sharing company reported $0.88 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.86 by $0.02. The company had revenue of $14.77 billion for the quarter, compared to analyst estimates of $14.66 billion. Uber Technologies had a return on equity of 43.36% and a net margin of 17.34%. Uber Technologies's quarterly revenue was up 9.6% on a year-over-year basis. During the same period in the prior year, the firm posted $3.11 EPS. As a group, analysts anticipate that Uber Technologies will post 3.20 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Andrew Macdonald purchased 70,000 shares of the firm's stock in a transaction that occurred on Friday, September 4th. The shares were bought at an average cost of $75.83 per share, with a total value of $5,308,100.00. Following the acquisition, the insider owned 426,320 shares of the company's stock, valued at $32,327,845.60. This trade represents a 19.65% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, insider Jill Hazelbaker sold 28,170 shares of the company's stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $71.31, for a total transaction of $2,008,802.70. Following the transaction, the insider owned 149,525 shares of the company's stock, valued at approximately $10,662,627.75. This represents a 15.85% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 3.81% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Pictet Asset Management Holding SA raised its stake in shares of Uber Technologies by 2.9% in the 3rd quarter. Pictet Asset Management Holding SA now owns 3,342,977 shares of the ride-sharing company's stock valued at $229,027,000 after acquiring an additional 94,508 shares during the period. Formidable Asset Management LLC boosted its position in shares of Uber Technologies by 5.2% during the 3rd quarter. Formidable Asset Management LLC now owns 24,653 shares of the ride-sharing company's stock worth $1,779,000 after purchasing an additional 1,222 shares during the period. Guidance Capital Inc. boosted its position in shares of Uber Technologies by 2.3% during the 3rd quarter. Guidance Capital Inc. now owns 16,387 shares of the ride-sharing company's stock worth $1,093,000 after purchasing an additional 376 shares during the period. International Assets Investment Management LLC boosted its position in shares of Uber Technologies by 279.5% during the third quarter. International Assets Investment Management LLC now owns 40,000 shares of the ride-sharing company's stock worth $2,740,000 after buying an additional 29,460 shares during the period. Finally, Kestra Private Wealth Services LLC raised its holdings in shares of Uber Technologies by 4.8% in the 3rd quarter. Kestra Private Wealth Services LLC now owns 182,404 shares of the ride-sharing company's stock valued at $12,496,000 after buying an additional 8,392 shares during the period. 80.24% of the stock is currently owned by institutional investors.

Key Headlines Impacting Uber Technologies

Here are the key news stories impacting Uber Technologies this week:

• Positive Sentiment: Gross Bookings grew 20% for the fifth consecutive quarter. Revenue was $14.77 billion, up 9.6% year over year and slightly ahead of estimates; adjusted EPS of $0.88 also topped consensus. These results point to resilient demand and improving profitability. Uber Q3 results
• Positive Sentiment: Uber is expanding grocery delivery through a Key Food partnership covering more than 300 stores in the Northeast and Florida, adding reach to its Delivery business. Key Food partnership
• Neutral Sentiment: Management is pushing ahead with autonomous vehicles, targeting 700 fully driverless vehicles by year-end and more than 2,000 by 2027. The initiative could help address driver shortages over time, but requires investment and faces execution hurdles. Autonomous vehicle targets
• Negative Sentiment: The profit outlook disappointed: Q4 and full-year guidance fell short of lofty analyst expectations. Also, while adjusted EPS beat estimates, reported GAAP EPS of $0.25 was below the cited $0.94 consensus, making the headline earnings picture mixed. Profit forecast and operating headwinds
• Negative Sentiment: Driver shortages abroad, higher fuel costs, and Middle East tensions weighed on mobility performance and the holiday outlook. Uber is spending more on driver incentives to increase supply, which could pressure costs or lead to higher rider prices. Driver incentives and possible price increases

Uber Technologies Company Profile

Uber Technologies, Inc is a technology company that connects consumers with independent drivers, couriers, merchants and transportation providers through its digital platform. Its Mobility business offers ridesharing and other transportation services, including taxi and vehicle-hire options in select markets. The company also provides business travel and transportation management tools for organizations.

Uber's Delivery segment operates Uber Eats, which enables customers to order meals, groceries and other goods from participating restaurants, retailers and merchants.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.