Uber Technologies (UBER)
Technology · NYSE · US
Fundamentals
Valuation and ratings
Uber Technologies trades at $74.04, which is 28% below the $95.00 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 71 out of 100, which is a wide moat. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 18.5 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Uber Technologies
Uber Technologies, Inc. develops and operates proprietary technology applications in the United States, Canada, Latin America, Europe, the Middle East, Africa, and the Asia Pacific. The company operates through three segments: Mobility, Delivery, and Freight. The Mobility segment connects consumers with a range of transportation modalities, such as ridesharing, carsharing, micromobility, rentals, public transit, taxis, and other modalities; and offers riders in a variety of vehicle types, as well as financial partnerships products and advertising services. The Delivery segment allows consumers to search for and discover restaurants to grocery, alcohol, convenience, and other retailers, as well as order a meal or other items, and either pick-up at the restaurant or have it delivered; and provides Uber direct, a white-label delivery-as-a-service for retailers and restaurants, as well as advertising services. The Freight segment manages transportation and logistics networks, which connects shippers and carriers in digital marketplace, including carriers upfronts, pricing, and shipment booking; and offers on-demand platform to automate logistics end-to-end transactions for small-and medium-sized businesses to global enterprises. Uber Technologies, Inc. has staetegic partnership with Mews to embed ride booking, real-time tracking and integrated billing directly into the Mews platform. 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.
UBER passes 5 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Smart money ownership
37 of the funds we track reported a position in their latest SEC 13F filing. Largest first:
- Capital Research Global, Capital Research Global Investors$8.37B · 1.3% of book
- Bill Ackman, Pershing Square Capital Management, L.P.$2.15B · 15.7% of book
- William Von Mueffling, CANTILLON CAPITAL MANAGEMENT LLC$747.19M · 2.5% of book
- David Tepper, Appaloosa LP$455.51M · 7.7% of book
- Cliff Asness, AQR CAPITAL MANAGEMENT LLC$422.32M · 0.2% of book
A word of warning on reading these figures: a 13F reports the market value of a holding, so a fund that traded nothing at all still appears to have sold when the price fell. We found 102 companies where the standard reading gives the opposite answer. Only the share count is honest.
Common questions
Is Uber Technologies (UBER) undervalued?
Against our discounted cash flow estimate of $95.00, UBER at $74.04 is 28% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
Which funds own UBER?
37 of the institutions we track reported a position in UBER in their most recent SEC 13F filing. A 13F is filed up to 45 days after quarter end, so it tells you what a fund held then, not what it holds now.
What is UBER's P/E ratio?
UBER trades at 18.5 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
The full research page for UBER, with financial statements, ownership detail, peer comparison and alerts, is free inside the app.
Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.