POLL TIME! Is Uber undervalued given its trajectory?

POLL TIME! Is $Uber(UBER)$ undervalued given its trajectory?

• Yes—ride (and deliver) the wave!

• No—too pricey at 35x forward P/E

• Maybe—needs more proof (robotaxi success?)

  

$Uber(UBER)$ just keeps on rolling!

From 20% YoY growth in gross bookings to a $7B stock buyback, here’s what you need to know about this market heavyweight.

1. RECENT REVENUE GROWTH

• Q1 FY24: Gross bookings hit $37.7B (+20% YoY)

• Revenue: $10.1B (+15% YoY), beating estimates by $40M

• Uber’s firing on all cylinders—mobility & delivery both on the rise

2.EARNINGS & PROFITABILITY

• Operating margin up from -3% to 2%—that’s a serious pivot to profit

• Adjusted EBITDA soared 82% to $1.4B

• First annual profit since going public in 2019. Party time! 🎉

3.BUYBACKS & BULLISH GUIDANCE

• $7B stock buyback → market approves, stock at all-time highs 📈

• Gross bookings outlook: +15–20% for the next 3 years

• EBITDA growth pegged at ~40%—can they keep the momentum?

4.VALUATION SNAPSHOT

• Forward P/E ~35x—a bit high, but consider the growth & dominance

• Market cap ~$140B vs. robust free cash flow projections

• Competition (Lyft, DoorDash) often has higher P/E or shakier growth

5.SWOT/SCOT TAKE

Strengths: Global brand, diverse services, Waymo partnership 🤖

Challenges: Regulations, high op costs, fierce competition

Opportunities: New markets, AI, autonomous tech

Threats: Legal hurdles, changing consumer habits

WHAT’S NEXT? Uber’s aiming for an autonomous future—could that turbocharge margins?