BTIG has sustained its optimistic stance on Uber Technologies Inc . (NYSE: NYSE:UBER), maintaining a Buy rating and a price target of $90.00.
The firm highlighted the consistent growth in the rideshare and delivery sectors, which are expected to help Uber meet its third-quarter bookings guidance.
The analysis from BTIG pointed to high single-digit growth in delivery and mid-teen growth in rideshare for Uber, with the company maintaining its market share in both areas.
This performance is particularly significant in the United States, which accounts for approximately 40% of Uber's bookings. The firm's findings support Uber's third-quarter guidance, excluding foreign exchange impacts, of 18-23% growth, potentially marking the fifth consecutive quarter with a growth rate of 20% or better.
Uber has been active in the third quarter, engaging in several autonomous vehicle deals since August. According to BTIG, the nature of these partnerships is increasingly favoring the rideshare aspect of Uber's business. This strategic direction could be beneficial for the company's growth in the rideshare market.
In other recent news, Uber has raised $4 billion through a public offering of senior notes, with the proceeds to be used primarily for repaying existing debt and general corporate purposes.
The company has also expanded its partnership with Waymo LLC, launching autonomous vehicle ride-hailing services in Austin and Atlanta, following successful operations in Phoenix.
In analyst actions, Truist Securities has reiterated a Buy rating on Uber, highlighting robust demand in both the Mobility and Delivery sectors. BTIG also maintained a Buy rating, focusing on Uber's strategic partnership with Turo, a carsharing platform.
Recent developments also include Uber's collaboration with Turo to broaden its car rental service, integrating Turo's extensive vehicle selection into the Uber Rent platform across multiple countries. The company continues to innovate in the transportation sector, facilitating billions of trips since its inception in 2010.
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