Uber's Upward Trajectory, Improved Margins and Ad Revenue To Continue - BofA Analyst Raises Forecast
Portfolio Pulse from Anusuya Lahiri
BofA Securities analyst Justin Post maintained a Buy rating on Uber Technologies Inc (NYSE:UBER) and raised the price target from $68 to $73, citing improved margin expectations, ad growth, and global share gains. Uber outperformed the NASDAQ and peers in 2023, with significant stock price appreciation. Post highlighted Uber's potential for strong growth and margin expansion, projecting Q4 revenue of $9.81 billion and Q1 revenue of $10.04 billion, slightly above consensus estimates. Despite a slight dip in share price, the outlook remains positive with expectations of continued margin improvement and new advertising services.
January 30, 2024 | 7:00 pm
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BofA analyst Justin Post maintains a Buy rating on Uber and raises the price target to $73, driven by improved margins, ad revenue growth, and market share gains. Uber's strong performance and positive growth outlook may continue to support its stock price.
The increase in Uber's price target by a reputable analyst based on improved financial metrics and growth prospects is likely to be viewed positively by investors. The company's outperformance compared to the NASDAQ and its peers, along with expectations of continued margin expansion and revenue growth, suggest a potential short-term positive impact on the stock price.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100