Is This Uber Rival Now Undervalued? Stock Continues To Sink Despite Strong Revenue, User Growth: Value Score Spikes

Singapore headquartered ridehailing service Grab Holdings Inc. (NASDAQ:GRAB) continues to trend downward despite posting strong recent quarterly performances, with robust earnings, sales and user growth across its core operating markets.

The company, which rivals Uber Technologies Inc. (NYSE:UBER) in Southeast Asian markets, is now seeing its value score spike in Benzinga’s Edge Stock Rankings.

Uber Rival’s Value Score Spikes

The Value score in Benzinga’s Edge Rankings essentially assesses a stock based on its core fundamentals, including market price, earnings, assets and more, before ranking it as a percentile relative to others.

Grab's Value score jumped from 23.61 to 32.3 in just one week, as the stock has continued to drift lower. Shares are now down 13.78% year-to-date and sit roughly 74% below their 2021 peak.

This slide comes despite the company delivering a solid third-quarter performance, with strong revenue and earnings growth alongside rising monthly active users and transaction volumes.

Even after this pullback, however, the stock continues to trade at an expensive 49.02 times forward earnings, compared to Uber’s 20.37. Analysts, however, remain bullish with HSBC analysts upgrading it to a “Buy,” with a Price Target of $6.2 per share, representing an upside of 44.55% from current levels.

Grab shares score poorly on Momentum, but are fairly higher on Value in Benzinga’s Edge Stock Rankings. They have an unfavorable price trend in the short, medium and long terms.

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