Uber Analysts Downbeat On Q4 Guidance Despite Consistent Bookings

Uber’s U.S. Rideshare Business Commentary

BTIG analyst Jake Fuller has expressed mixed views on Uber’s (UBER) commentary on its U.S. rideshare business during intra-quarter appearances. While he found the comments to be “constructive”, the firm’s receipt data was more downbeat, indicating deceleration in rideshare offsetting an acceleration in delivery.

Currency Moves Worsen Guidance

Uber also highlighted that currency moves have worsened since its guidance was initially provided, impacting the company’s outlook. Despite this, BTIG remains optimistic about Uber’s ability to meet bookings in Q4 and is expecting a modest slowdown.

Updated Price Target

BTIG maintains a Buy rating on Uber shares with an updated price target of $90.

Market Radar Insights

• Uber has consistently met its bookings expectations, but the firm is now expecting a more moderate growth pace.
• Currency fluctuations have worsened since initial guidance was provided, affecting Uber’s outlook.
• BTIG analysts are thinking more in line with the lower end of the 14%-18% guidance range.

Conclusion

Uber’s U.S. rideshare business commentary has sparked mixed reactions from analysts. While some remain bullish on the company’s growth prospects, others are taking a more cautious approach due to currency fluctuations and deceleration in rideshare demand. Market Radar advises investors to stay informed about Uber’s performance and consider the updated price target when making investment decisions.