Close-up of an unrecognizable woman using the Uber App on her Lenovo A916 smartphone in a Renault car. Uber mobile app allows consumers with smartphones to submit a trip request which is then routed to Uber drivers who use their own cars.
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Uber Technologies Inc. is scheduled to release earnings after Thursday’s close. The stock just hit a record high of $47.08/share and is currently trading near $40.40/share. The stock is prone to big moves after reporting earnings and can easily gap up if the numbers are strong. Conversely, if the numbers disappoint, the stock can easily gap down. To help you prepare, here is what the Street is expecting:
Earnings Preview:
UBER is expected to report a loss of ($3.33)/share on $3.41 billion in revenue. Meanwhile, there is no Whisper number since it is a new IPO. The Whisper number is the Street’s unofficial view on earnings.
Company Profile & Various Businesses:
Here is a brief company profile courtesy of Eikon:
Uber Technologies, Inc., incorporated on July 16, 2010, provides a platform that allows users to access transportation and food ordering services. The Company operates through two segments: Core Platform and Other Bets. The Core Platform segment consists of Ridesharing and Uber Eats. The Other bets segment consists of Uber Freight and New Mobility platforms.
Core Platform:
The Company’s Core Platform offers Ridesharing platform, which refers to the products that connects consumers with drivers who provide rides in a variety of vehicles, such as cars, auto rickshaws, motorbikes, minibuses and taxis. Its Uber Eats platform allows consumers to search local restaurants and order meals through online. Uber Eats also expands the pool of drivers by enabling people who are not Ridesharing drivers or who do not have access to Ridesharing-qualified vehicles to deliver meals on its platform.
Other Bets:
The Company’s Other Bets segment offers Uber Freight platform that leverages its technology to create a marketplace that connects shippers and carriers. Uber Freight also provides a platform to automate logistics transactions end-to-end. Uber Freight serves shippers ranging from small- and medium-sized businesses to global enterprises by enabling them to create and tender shipments with a few clicks, upfront pricing, and track those shipments in real-time from pickup to delivery. Its New Mobility platform refers to products that provide consumers with access to rides through a variety of modes, including dockless e-bikes and e-scooters. The Company provides its mobility offerings in over 63 countries. The Company compete with Yandex N.V. C.H. Robinson Worldwide, Inc., Total Quality Logistics, LLC, XPO Logistics, Inc, Convoy Inc, Echo Global Logistics, Inc., Coyote Logistics, LLC, Transfix, Inc, DHL International GmbH, and NEXT Trucking, Inc.
Competition:
The Company competes with Lyft, Via, and other Limousine and Taxi companies.
Pay Attention To How The Stock Reacts To The News:
From where I sit, the most important trait I look for during earnings season is how the market and a specific company reacts to the news. Remember, always keep your losses small and never argue with the tape.
