Here's Why Clearbridge Global Value Improvers Strategy Step Away from Uber Technologies (UBER)

ClearBridge Investments, an investment management company, released its “Clearbridge Global Value Improvers Strategy” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. Global equity markets reported positive returns in Q2, driven by U.S. trade deals and expected fiscal stimulus in Europe, which countered tariff challenges and geopolitical tensions. Strong contributions from industrials and IT holdings led the strategy to outperform the benchmark MSCI World Value Index in the quarter. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter Clearbridge Global Value Improvers Strategy highlighted stocks such as Uber Technologies, Inc. (NYSE:UBER). Uber Technologies, Inc. (NYSE:UBER) develops and operates proprietary technology applications that operate through Mobility, Delivery, and Freight segments. The one-month return of Uber Technologies, Inc. (NYSE:UBER) was 5.03%, and its shares gained 32.45% of their value over the last 52 weeks. On October 2, 2025, Uber Technologies, Inc. (NYSE:UBER) stock closed at $96.61 per share, with a market capitalization of $201.472 billion.

Clearbridge Global Value Improvers Strategy stated the following regarding Uber Technologies, Inc. (NYSE:UBER) in its second quarter 2025 investor letter:

"Portfolio activity was relatively calm in the quarter with only two changes: exiting Uber Technologies, Inc. (NYSE:UBER) and adding Corcept Therapeutics. Uber, the world’s leading rideshare platform, has strong fundamentals and a free cash flow inflection underway — catalysts that we believe the market has recognized. Accordingly, recent price appreciation has reduced our assessment of the company’s upside potential, and concerns over the rollout of autonomous self-driving taxis by competitors led us to step away in favor of other opportunities."

Uber Technologies, Inc. (NYSE:UBER) is in the 10th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 152 hedge fund portfolios held Uber Technologies, Inc. (NYSE:UBER) at the end of the second quarter, which was 145 in the previous quarter. While we acknowledge the potential of Uber Technologies, Inc. (NYSE:UBER) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we covered Uber Technologies, Inc. (NYSE:UBER) and shared the list of top long-term stocks to invest in according to David Tepper. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.