Uber Stock Gains Momentum as Robotaxi Deals Fuel Growth Ahead of Q1 Earnings

Uber (UBER), the global mobility giant behind your rides, meals, and freight, is shifting into high gear ahead of its Q1 2025 earnings call. As the company prepares to release results on May 7, it’s making bold moves in the autonomous vehicle (AV) space that could redefine its future and give investors plenty to watch. Meanwhile, UBER stock is in good spirits, climbing over 5% in the last five trading days, completing a 41% year-to-date surge.

Uber’s Going Full Autonomous

Uber recently inked a strategic partnership with Pony.ai, a leading autonomous driving startup. Together, they plan to launch Robotaxis in the Middle East later this year, integrating Pony.ai’s self-driving vehicles directly into the Uber app. Riders requesting qualifying trips could soon find themselves in a fully autonomous car, though a safety driver will be present during the initial pilot. Over time, the companies aim for fully driverless rides and international expansion. For Uber, this means a leap toward cost efficiency, broader market access, and lower dependence on human drivers.

That’s not all, though. Uber also expanded its partnership with China’s WeRide (WRD), an AV tech provider, to signal major global ambitions. Over the next five years, Uber and WeRide plan to roll out Robotaxi services in 15 cities across Europe and beyond, building on their Abu Dhabi launch and upcoming rollout in Dubai. With WeRide operating in 30 cities across 10 countries and holding testing licenses in key markets like France, Singapore, and the UAE, Uber gains a powerful regulatory edge. However, Uber’s initial plan is to operate in 15 out of the 30 cities in the next five years.

These AV partnerships are central to Uber’s strategy of scaling a hybrid fleet model: combining human drivers with AVs to increase reliability, reduce costs, and future-proof its business.

Wall Street Takes Notice

Top analysts are increasingly bullish, with Bank of America’s Justin Post, a five-star analyst, reiterating a Buy rating ahead of earnings. Post cites Uber’s strong financial momentum, attractive valuation even after a 33% year-to-date rally, and growing foothold in autonomous tech. He expects Uber’s bookings ($43.5B), revenue ($11.7B), and EBITDA ($1.89B) to top expectations. According to Post, the company’s mobility segment is thriving, and its autonomous bets could unlock long-term growth, which Wall Street isn’t fully pricing yet.

As Uber shifts gears from being just a ride-hailing app to a mobility platform of the future, its Q1 call may offer investors a glimpse into what’s driving the next wave of transportation.

Is UBER Stock a Buy Ahead of Earnings?

As stated above, Wall Street analysts are increasingly bullish on Uber, with the company sporting a Strong Buy consensus. The average price target for UBER stock is $90.20, implying a 5.58% upside potential.