Uber Technologies (UBER Stock) Gains But Lags Market

Uber Stock NYSE:UBER

The most recent trading session ended with Uber stock (NYSE:UBER) reaching a price of $28.04 per share, representing a movement of 1.7% from the previous day. This move fell behind the daily increase of 1.97% for the S&P 500. Aside from that, the Dow advanced by 1.88 percent, while the tech-heavy Nasdaq gained 0.24 percent.

A month before today, shares of the ride-hailing business had dropped by 3.97%, which was lower than the loss of 11.71% seen by the Computer and Technology sector and the loss of 9.93% experienced by the S&P 500 during the same time period.

As Uber Technologies approaches its next earnings release, investors will be hoping for strength. According to that research, industry experts anticipate Uber Technologies (Uber stock) will record a loss of $0.17 per share in profits. This would represent a growth of 26.09% when compared to the previous year. The Zacks Consensus Estimate for revenue is now predicting net sales of $8.02 billion, which would be an increase of 65.48% from the same time a year ago.

Uber Stock Price Projection

For the entire year, our Zacks Consensus Estimates are predicting earnings of -$4.64 per share and sales of $31.34 billion, which would represent changes of -1684.62% and +79.53%, respectively, from the preceding year.

Investors should also note recent revisions to analyst estimates for Uber stock. These updates demonstrate the fluid nature of short-term business trends by illustrating how they are constantly altering. As a consequence of this, optimistic estimate revisions show the analysts’ favorable outlook for the company’s operations and profitability.

We feel that these estimate adjustments are closely tied to near-term stock movements based on the study that we have conducted. In order to make use of this, we have established the Zacks Rank, which is a proprietary methodology that gives an actionable grading system that takes into account changes in the estimates that have been provided.

The Zacks Rank system, which goes from #1 (Strong Buy) to #5 (Strong Sell), has an excellent track record of outperformance, with #1 stocks having an average yearly return of +25% since 1988. The Zacks Rank system was developed by Zacks Investment Research, which was founded in 1988. The Zacks Consensus EPS estimate stayed steady throughout the previous month. Currently, Uber stock has the third spot on the Zacks Rank list (Hold).

The Computer and Technology sector includes the Internet-Services business as one of its sub-sectors. This industry is presently ranked 93 out of more than 250 different industries by Zacks, which places it in the top 37% of all industries.

The strength of our industry groupings is evaluated using the Zacks Industry Rank, which does so by calculating the average Zacks Rank of the individual stocks that are contained inside the groups. According to the findings of our research, the industries that received ratings in the top 50% do much better than those that received ratings in the bottom 50%.


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About the author: Valerie Ablang is a freelance writer with a background in scientific research and an interest in stock market analysis. She previously worked as an article writer for various industrial niches. Aside from being a writer, she is also a professional chemist, wife, and mother to her son. She loves to spend her free time watching movies and learning creative design.