Uber Eyes Expansion in Asia Via Macau Relaunch: More Upside Ahead?

Per Bloomberg, as cited in a News.AZ report, Uber Technologies UBER has introduced its ride-hailing service in Macau, China. Launching today, this move represents the company’s first entry into a new Asian market in several years.

Uber’s return to the Chinese market will enable users to book and pay for taxis in multiple languages through the app. The company is also rolling out a limousine service connecting Macau with nearby Hong Kong, though these trips must be booked 24 hours in advance. To support the relaunch in Macau, Uber is hiring drivers and offering bonuses for rides completed during the current month. Additional details regarding the service have not yet been announced.

UBER exited mainland China in 2016 after selling its local operations to Didi Global (which was delisted from the NYSE in 2022). The company also withdrew from Southeast Asia two years later by transferring its operations to Grab Holdings GRAB.

However, Uber maintains an ownership stake in Grab, which assumed the former’s ride-hailing and food delivery (Uber Eats) businesses across Southeast Asia. As part of the transaction, Grab took over Uber’s operations in Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, Vietnam and other markets.

We remind investors that Uber previously operated in Macau but later suspended its services. In our view, relaunching in Macau is a sensible step, as the city draws millions of tourists. Macau, where casino gambling remains legal, is a key destination for visitors from mainland China, Hong Kong and other international markets.    

Price Performance, Valuation and Estimates

Shares of UBER have gained in excess of 15%  in a year compared with the Zacks Internet-Services industry’s 60% growth in the same timeframe. Uber’s shares have also lagged those of rival Lyft LYFT.

1-Year Price Comparison

From a valuation standpoint, UBER trades at a 12-month forward price-to-sales of 2.75X. UBER is inexpensive compared with its industry. Lyft shares are even cheaper. Uber has a Value Score of C, while Lyft has a Value Score of A.

UBER’s P/S F12M Versus Industry, & LYFT

The Zacks Consensus Estimate for UBER’s fourth-quarter 2025, first-quarter 2026 and full-year 2026 earnings have moved south over the past 60 days. For 2025, the consensus mark has been revised marginally northward over the past 60 days.

UBER's Zacks Rank

UBER currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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