Doug Anmuth, an analyst from J.P. Morgan, reiterated the Buy rating on Uber Technologies. The associated price target remains the same with $110.00.
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Doug Anmuth has given his Buy rating due to a combination of factors including Uber’s strong execution in both its Mobility and Delivery segments, which have shown solid growth and profitability. The company’s strategic focus on platform power is evident as it aims to increase cross-platform user engagement, which retains users better and generates higher gross bookings and profits compared to single-vertical users.
Additionally, Uber’s financial strategies, such as the new $20 billion share buyback authorization, demonstrate a commitment to returning capital to shareholders. The company’s ability to expand its GAAP profit margins and generate free cash flow, alongside its leadership in ride-sharing and food delivery, supports the positive outlook. Anmuth’s confidence is further reinforced by Uber’s potential to grow in other large addressable markets and its strong balance sheet, which positions it well for future growth.
In another report released today, Barclays also maintained a Buy rating on the stock with a $110.00 price target.
Based on the recent corporate insider activity of 89 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of UBER in relation to earlier this year.