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Uber Technologies (UBER) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Uber Technologies (UBER - Free Report) closed at $54.51, marking a +1.96% move from the previous day. This change outpaced the S&P 500's 0.36% gain on the day. Meanwhile, the Dow lost 0.26%, and the Nasdaq, a tech-heavy index, added 1.54%.

Coming into today, shares of the ride-hailing company had lost 2.18% in the past month. In that same time, the Computer and Technology sector lost 1.24%, while the S&P 500 gained 4.14%.

UBER will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of -$0.53, up 17.19% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.16 billion, down 10.7% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$1.51 per share and revenue of $16.08 billion. These totals would mark changes of +60.88% and +33.17%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for UBER. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.2% higher. UBER is currently sporting a Zacks Rank of #3 (Hold).

The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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