Uber Technologies UBER reported solid second-quarter 2025 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate. Quarterly earnings per share of 63 cents outpaced the Zacks Consensus Estimate by a penny and improved 34% year over year.
Total revenues of $12.65 billion outpaced the Zacks Consensus Estimate of $12.45 billion. The top line jumped 18% year over year on a reported basis and constant currency basis.
In the reported quarter, the majority (57.6%) of the company’s revenues came from Mobility. Revenues from this segment jumped 19% year over year on a reported basis and 18% on a constant currency basis to $7.28 billion. The actual segmental sales figure was above our expectation of $7.15 billion.
The company’s gross bookings increased 17% to $46.8 billion, reflecting robust demand across its platform. Despite concerns about broader economic softness, Uber’s CEO Dara Khosrowshahi said consumer activity remains stable.
User Growth and Trip Volume on the Rise
Uber saw a 15% increase in its monthly active platform consumers, reaching 180 million users in the second quarter. The platform recorded 3.3 billion trips, marking an 18% year-over-year rise, driven by both ride-hailing and delivery services.
Uber Eats Gains Traction in International Markets
In several international regions, Uber Eats has overtaken ride-hailing in popularity. The company is focused on increasing cross-platform usage, encouraging customers to use both ride and delivery services to boost overall engagement and revenue.
Expanding Focus on Autonomous Technology
Uber continues to invest heavily in autonomous mobility. Uber now partners with 20 companies in the autonomous vehicle, delivery, and freight space. Its growing network includes major players such as Waymo and Apollo Go, along with startups like May Mobility, Nuro, and Wayve. Autonomous services are currently available in 12 cities globally.
Waymo Partnership Expands Amid Rising Competition from Tesla
Uber and Alphabet-owned Waymo launched a commercial robotaxi service in Austin, Texas, in March, becoming one of the first large-scale autonomous ride providers in the area. Meanwhile, Tesla began testing its own robotaxi service in Austin in June, using Model Y vehicles outfitted with its latest semi-autonomous technology.
Further Expansion into Atlanta
In late June, Uber extended its partnership with Waymo to Atlanta, continuing its push into new autonomous markets and reinforcing its position as a key player in the evolving self-driving industry.
Price Target
Based on short-term price targets offered by 43 analysts, the average price target for Uber Technologies comes to $101.93. The forecasts range from a low of $68.00 to a high of $120.00. The average price target represents an increase of 14.03% from the last closing price of $89.39, as of August 5, 2025.
ETFs in Focus
Against this backdrop, Uber can be played via ETF. Uber has a Zacks Rank #3 (Hold). The stock has considerable exposure to iShares US Transportation ETF IYT. The Uber stock has 22.60% weight in the fund. There is a leveraged ETF on Uber too, namely GraniteShares 2x Long UBER Daily ETF UBRL.
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iShares U.S. Transportation ETF (IYT): ETF Research Reports Uber Technologies, Inc. (UBER): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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