Uber stock price has jumped in the past few weeks and is hovering at its highest level since October 24. It has jumped by almost 40% from its lowest level in April, and is slowly nearing its all-time high of $87. This article explores whether stock will keep rising when it publishes its financial results this week.
Uber’s business is thriving
Uber share price has jumped and outperformed other technology companies because its business is largely immune to Donald Trump’s tariffs.
For one, Uber generates most of its business in the United States. Also, tariffs will not have a direct impact on its business as consumers will continue attracting more customers over time.
Uber is also investing heavily in emerging technologies like autonomous driving. Last week, the company said that it was partnering with Momenta to introduce autonomous vehicles in international markets outside the US and China.
The first deployment of this technology will happen in Europe earlier next year and in other countries thereafter.
Uber also announced a partnership with May Mobility, a firm that aims to deploy thousands of vehicles on the Uber platform. The initial rollout will happen later this year, starting from Arlington Texas.
If these actions are successful, it means that Uber can be a market leader in the autonomous vehicle market, which is estimated to be worth over $1 trillion. Uber’s CEO said:
“At Uber, we’re building the future of transportation, working with the world’s leading autonomous vehicle developers like May Mobility to help commercialize and deploy this technology quickly at scale worldwide.”
Investing in autonomous vehicle technology will be a positive as it will help the company grow its margins by eliminating the driver. Also, it will make it well-positioned to deal with the rising competition from a company like Tesla, which is building a robotaxi business.
Read more: Uber stock forecast ahead of earnings: buy, sell or hold?
Uber earnings ahead
The next important catalyst for the Uber stock price will be its quarterly earnings scheduled on Wednesday.
These results will provide more information on whether the company’s business is doing well.
Analysts expect the numbers to reveal that the company’s revenues rose to $11.61 billion in the first quarter. This growth will likely come from its mobility and deliveries business in the US and other countries.
The average earnings estimate is that its earnings per share rose from a loss of 31 cents to a profit of 5 cents in the last quarter.
Uber’s business is expected to continue thriving this year, with its annual revenue expected to be $50.32 billion, up by 14.4% from a year earlier. It will then grow to $57 billion in 2026, and possibly hit $85 billion by 2030.
Wall Street analysts see some upside in the near term, with the average forecast being $88.42, up from the current $84.2. The top analysts who are bullish on the Uber share price are from Cantor Fitzgerald, Keybanc, Needham, and JP Morgan.
Uber stock price analysis
The daily chart shows that the Uber share price has been in a strong bullish trend in the past few months. It has just crossed the important resistance level at $82, the highest swing on February 20.
Moving above that level was notable as it invalidated the double-top pattern. It has moved above the 50-day and 100-day moving average, while the Relative Strength Index (RSI) has continued rising.
Therefore, the Uber stock price will continue rising as bulls target the next key resistance level at $86.98, the highest swing on October 10. A move above that level will point to more gains, potentially to the resistance point at $100.
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