Uber Technologies (UBER) ended the recent trading session at $71.08, demonstrating a -2.8% change from the preceding day's closing price. The stock trailed the S&P 500, which registered a daily loss of 0.48%. At the same time, the Dow lost 0.77%, and the tech-heavy Nasdaq lost 0.64%.
The ride-hailing company's shares have seen a decrease of 6.89% over the last month, not keeping up with the Computer and Technology sector's gain of 0.4% and the S&P 500's loss of 0.97%.
The upcoming earnings release of Uber Technologies will be of great interest to investors. In that report, analysts expect Uber Technologies to post earnings of $1.09 per share. This would mark a year-over-year decline of 64.95%. At the same time, our most recent consensus estimate is projecting a revenue of $14.76 billion, reflecting a 9.6% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.45 per share and a revenue of $57.96 billion, signifying shifts of -34.91% and +11.43%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for Uber Technologies. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.12% increase. At present, Uber Technologies boasts a Zacks Rank of #3 (Hold).
From a valuation perspective, Uber Technologies is currently exchanging hands at a Forward P/E ratio of 21.18. This signifies a premium in comparison to the average Forward P/E of 16.04 for its industry.
One should further note that UBER currently holds a PEG ratio of 5.79. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Internet - Services industry was having an average PEG ratio of 1.55.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 196, putting it in the bottom 21% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Uber Technologies, Inc. (UBER): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).