Despite the successful launch of Tesla (TSLA) Robotaxi, Uber stock shares have been successful over YTD this year, exceeding 65%. The stock is trading at an all-time high and remains one of the top ride-share stock options in the market. Partnerships with Robotaxi startups such as Waymo and new market growth have given investors a reason to plummet after stocks slowed performance in 2024.
The San Francisco-based company has been investing in new areas of its core ride hale and delivery operations in the US and overseas for many years, helping to grow fuel revenue, which is expected to reach 15% in 2025. It also has more than 12 partnerships with automakers and technology developers around the world. Analysts praise Uber’s partner’s work and how it will help the company grow in 2025.
David Wagner, portfolio manager at Aptus Capital Advisors, loves Uber’s strategy of partnering with autonomous driving rivals and remains bullish. However, he doesn’t think that inventory will push much higher in the short term, as there are almost no catalysts on the horizon. “The market has finally begun to realize that we’re going to take a kind of aggregator approach and reward the company,” he said. Furthermore, Uber’s strategic partnership with Move, which has raised large sums of funding for self-driving vehicles (AVS), marks a promising future in the AV market. The data also shows the accelerated growth of Uber bookings. This is a positive indicator of the company’s financial health.
Uber will dominate in one or more ways, Wall Street agrees
Apart from ride sharing, Uber has become a staple in grocery delivery thanks to Uber Eats. Jamie Meyers, senior equity analyst at Laffer Tengler Investments Inc., praises the company’s commitment to being more than a taxi service. “They did an incredible job expanding their addressable market by adding more groceries, convenience, alcohol and more.”
Most Wall Street analysts agree, and CNN labels Uber to invest as a 10/10 stock option. Bank of America analysts repeated price targets from $97 in Tuesday’s memo. Analysts have the extreme optimism that Uber’s AV status will grow and that Tesla Robotaxi can be challenged as its market grows.
