In the latest trading session, Uber Technologies (UBER) closed at $95.45, marking a +1.16% move from the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.27%. Elsewhere, the Dow saw an upswing of 0.43%, while the tech-heavy Nasdaq appreciated by 0.37%.
The ride-hailing company's stock has climbed by 4.17% in the past month, exceeding the Computer and Technology sector's gain of 2.4% and the S&P 500's gain of 1.85%.
The investment community will be closely monitoring the performance of Uber Technologies in its forthcoming earnings report. The company is predicted to post an EPS of $0.67, indicating a 44.17% decline compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $13.25 billion, up 18.47% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $2.91 per share and revenue of $51.41 billion, which would represent changes of -36.18% and +16.9%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Uber Technologies. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.04% higher. Uber Technologies presently features a Zacks Rank of #3 (Hold).
Investors should also note Uber Technologies's current valuation metrics, including its Forward P/E ratio of 32.47. This denotes a premium relative to the industry average Forward P/E of 23.44.
Also, we should mention that UBER has a PEG ratio of 1.08. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Internet - Services was holding an average PEG ratio of 1.58 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 154, this industry ranks in the bottom 38% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Uber Technologies, Inc. (UBER): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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