NYSE:UBER

Stock Analysis Report

Executive Summary

Uber Technologies, Inc. develops and supports proprietary technology applications that enable independent providers of ridesharing, and meal preparation and delivery services to transact with end-users worldwide.

Rewards

Trading at 48.9% below its fair value

Revenue is forecast to grow 19.46% per year

Revenue grew by 25.2% over the past year

Risk Analysis

Currently unprofitable and not forecast to become profitable over the next 3 years

Highly volatile share price over past 3 months



Snowflake Analysis

Adequate balance sheet and slightly overvalued.


Similar Companies

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Share Price & News

How has Uber Technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UBER's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

3.3%

UBER

3.8%

US Transportation

2.0%

US Market


1 Year Return

n/a

UBER

19.1%

US Transportation

23.6%

US Market

Return vs Industry: Insufficient data to determine how UBER performed against the US Transportation industry.

Return vs Market: Insufficient data to determine how UBER performed against the US Market.


Shareholder returns

UBERIndustryMarket
7 Day3.3%3.8%2.0%
30 Day15.4%6.6%3.9%
90 Day11.8%11.7%12.0%
1 Yearn/a21.3%19.1%26.2%23.6%
3 Yearn/a64.3%56.5%53.2%43.3%
5 Yearn/a68.7%35.6%75.7%56.3%

Price Volatility Vs. Market

How volatile is Uber Technologies's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Uber Technologies undervalued compared to its fair value and its price relative to the market?

48.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: UBER ($34.84) is trading below our estimate of fair value ($68.18)

Significantly Below Fair Value: UBER is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: UBER is unprofitable, so we can't compare its PE Ratio to the Transportation industry average.

PE vs Market: UBER is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate UBER's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: UBER is overvalued based on its PB Ratio (3.9x) compared to the US Transportation industry average (2.5x).


Next Steps

Future Growth

How is Uber Technologies forecast to perform in the next 1 to 3 years based on estimates from 34 analysts?

51.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UBER is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: UBER is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: UBER is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: UBER's revenue (19.5% per year) is forecast to grow faster than the US market (7.5% per year).

High Growth Revenue: UBER's revenue (19.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: UBER is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Uber Technologies performed over the past 5 years?

-1423.8%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: UBER is currently unprofitable.

Growing Profit Margin: UBER is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if UBER's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare UBER's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: UBER is unprofitable, making it difficult to compare its past year earnings growth to the Transportation industry (-45%).


Return on Equity

High ROE: UBER has a negative Return on Equity (-51.77%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Uber Technologies's financial position?


Financial Position Analysis

Short Term Liabilities: UBER's short term assets ($15.2B) exceed its short term liabilities ($5.4B).

Long Term Liabilities: UBER's short term assets ($15.2B) exceed its long term liabilities ($10.9B).


Debt to Equity History and Analysis

Debt Level: UBER's debt to equity ratio (35.6%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if UBER's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: UBER has a low level of unsold assets or inventory.

Debt Coverage by Assets: UBER's debt is covered by short term assets (assets are 2.7x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: UBER has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if UBER has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Uber Technologies's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.6%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate UBER's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate UBER's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if UBER's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if UBER's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of UBER's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Uber Technologies's salary, the management and board of directors tenure and is there insider trading?

2.6yrs

Average management tenure


CEO

Dara Khosrowshahi (49yo)

2.3yrs

Tenure

US$45,330,702

Compensation

Mr. Dara Khosrowshahi has been Chief Executive Officer and Director of Uber Technologies, Inc. since September 2017. Mr. Khosrowshahi served as Chief Executive Officer and President at Expedia, Inc. from A ...


CEO Compensation Analysis

Compensation vs Market: Dara's total compensation ($USD45.33M) is above average for companies of similar size in the US market ($USD10.76M).

Compensation vs Earnings: Insufficient data to compare Dara's compensation with company performance.


Management Age and Tenure

2.6yrs

Average Tenure

51yo

Average Age

Experienced Management: UBER's management team is considered experienced (2.6 years average tenure).


Board Age and Tenure

2.6yrs

Average Tenure

54.5yo

Average Age

Experienced Board: UBER's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: UBER insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$6,687,50020 Nov 19
Dara Khosrowshahi
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares250,000
Max PriceUS$26.75
SellUS$6,687,50020 Nov 19
Expa, LLC
EntityCompany
Shares250,000
Max PriceUS$26.75
SellUS$47,52619 Nov 19
Manik Gupta
EntityIndividual
Shares1,787
Max PriceUS$26.60
SellUS$19,49419 Nov 19
Jill Hazelbaker
EntityIndividual
Shares733
Max PriceUS$26.60
SellUS$36,35619 Nov 19
Glen Ceremony
EntityIndividual
Role
Chief Accounting Officer
Chief Accounting Officer & Global Corporate Controller
Shares1,367
Max PriceUS$26.60
BuyUS$952,00013 Nov 19
Ronald Sugar
EntityIndividual
Role
Chairman of the Board
Independent Chairman
Shares35,000
Max PriceUS$27.20

Ownership Breakdown

Dilution of Shares: UBER only recently listed within the past 12 months, with total shares outstanding growing by 62.4% in the past year..


Management Team

  • Dara Khosrowshahi (49yo)

    CEO & Director

    • Tenure: 2.3yrs
    • Compensation: US$45.33m
  • Nelson Chai (53yo)

    Chief Financial Officer

    • Tenure: 1.3yrs
    • Compensation: US$28.45m
  • Tony West (53yo)

    Senior VP

    • Tenure: 2.2yrs
  • Thuan Pham (51yo)

    Chief Technology Officer

    • Tenure: 6.8yrs
    • Compensation: US$12.67m
  • Garrett Camp (40yo)

    Co-Founder & Director

    • Emily Maher

      Head of Investor Relations

      • Kent Schofield

        Head of Investor Realtions

        • Tenure: 3yrs
      • Glen Ceremony (52yo)

        Chief Accounting Officer & Global Corporate Controller

        • Zoubin Ghahramani

          Chief Scientist & Head of AI

          • Tenure: 2.8yrs
        • Nikki Krishnamurthy (47yo)

          Senior VP & Chief People Officer

          • Tenure: 1.3yrs
          • Compensation: US$10.06m

        Board Members

        • Ron Sugar (70yo)

          Independent Chairman

          • Compensation: US$1.85m
        • John Thain (64yo)

          Independent Director

          • Compensation: US$20.00k
        • Dara Khosrowshahi (49yo)

          CEO & Director

          • Tenure: 2.3yrs
          • Compensation: US$45.33m
        • Ursula Burns (60yo)

          Independent Director

          • Compensation: US$20.00k
        • Wan Martello (61yo)

          Independent Director

          • Tenure: 2.6yrs
          • Compensation: US$360.00k
        • Garrett Camp (40yo)

          Co-Founder & Director

          • David Trujillo (42yo)

            Independent Director

            • Tenure: 2.6yrs
          • Yasir bin Othman Al-Rumayyan (49yo)

            Independent Director

            Company Information

            Uber Technologies, Inc.'s company bio, employee growth, exchange listings and data sources


            Key Information

            • Name: Uber Technologies, Inc.
            • Ticker: UBER
            • Exchange: NYSE
            • Founded: 2009
            • Industry: Trucking
            • Sector: Transportation
            • Market Cap: US$59.925b
            • Shares outstanding: 1.71b
            • Website: https://www.uber.com

            Number of Employees


            Location

            • Uber Technologies, Inc.
            • 1455 Market Street
            • 4th Floor
            • San Francisco
            • California
            • 94103
            • United States

            Listings

            TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
            UBERNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 2019
            0A1ULSE (London Stock Exchange)YesCommon StockGBUSDMay 2019
            UT8BST (Boerse-Stuttgart)YesCommon StockDEEURMay 2019
            UBERWBAG (Wiener Boerse AG)YesCommon StockATEURMay 2019
            UBERSWX (SIX Swiss Exchange)YesCommon StockCHCHFMay 2019
            UT8DB (Deutsche Boerse AG)YesCommon StockDEEURMay 2019
            UBER *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNMay 2019
            UT8ETLX (Eurotlx)YesCommon StockITEURMay 2019
            U1BE34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COMBRBRLDec 2019

            Biography

            Uber Technologies, Inc. develops and supports proprietary technology applications that enable independent providers of ridesharing, and meal preparation and delivery services to transact with end-users worldwide. The company operates in two segments, Core Platform and Other Bets. Its driver partners provide ridesharing services through a range of vehicles, such as cars, auto rickshaws, motorbikes, minibuses, or taxis, as well as based on the number of riders under the UberBLACK, UberX, UberPOOL, Express POOL, and Uber Bus names; and restaurant and delivery partners provide meal preparation and delivery services under the Uber Eats name. The company also offers Uber Central, a tool that enables companies to request, manage, and pay for rides for their employees, customers, or partners; and Uber Health, which allows healthcare professionals to arrange rides for patients going to and from the care destinations. In addition, it provides freight transportation services to shippers in the freight industry under the Uber Freight name; leases vehicles to third-parties that use the vehicles to provide ridesharing or eats services through the platforms; and provides access to rides through personal mobility products, including dockless e-bikes and e-scooters under the JUMP name. The company was formerly known as Ubercab, Inc. and changed its name to Uber Technologies, Inc. in February 2011. Uber Technologies, Inc. was founded in 2009 and is headquartered in San Francisco, California. 


            Company Analysis and Financial Data Status

            All financial data provided by Standard & Poor's Capital IQ.
            DataLast Updated (UTC time)
            Company Analysis2020/01/19 00:55
            End of Day Share Price2020/01/17 00:00
            Earnings2019/09/30
            Annual Earnings2018/12/31


            Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.