Uber Stock Rose as Wedbush Expects “Pretty Optimistic” Q4 Projections

Uber Stock

Uber Stock (NYSE:UBER)

Wedbush Securities, an investment company, said on Monday that it expects Uber Technologies (NYSE:UBER) to provide a “pretty optimistic” report and forecast when it reports its results for the fourth quarter on February 8. The report is scheduled to take place on February 8. As a result, Uber stock surged.

Analyst Dan Ives, who has an outperform rating on Uber stock and has set a price target of $38 per share for the stock, pointed out that the company should slightly top the estimates provided by Wall Street for both bookings and EBITD, seeing as how ridesharing activity appeared to have accelerated in December.

Ives also said that Uber is still seeing significant trends even though the supply of drivers has improved and activity seems to be “quite robust and balanced.”

Ives sent the following statement to clients in a note: “Overall, we think this quarter and 2023 guidance will be another important stride in the right direction for the Uber narrative.” We are now beginning to see an inflection in the Uber brand, with a lucrative ridesharing mainstay reaching its next gear of expansion until 2023. While the stock has witnessed ebbs and flows over the last several years, we are now seeing an inflection in the Uber name.

According to the general agreement among financial experts, Uber (NYSE:UBER) lost 16 cents per share on sales of $8.5 billion over time.

Ives highlighted that the delivery activity of Uber (NYSE:UBER) might be weaker than anticipated since more customers are returning to work and spending a large portion of their discretionary cash on travel. Still, that mobility was likely the “star of the show.”

Ives further said that after a year of transitional growth and cost reduction, Uber has reached the inflection of growth and EBITDA levels that Wall Street had only dreamt of a few years ago.

A New York court stopped a future rate increase from being implemented by the New York City Taxi and Limousine Commission a month ago, which was a major victory for ridesharing companies Uber (NYSE:UBER) and Lyft (NASDAQ:LYFT).

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