Earnings To Watch: Uber (UBER) Reports Q2 Results Tomorrow

Kayode Omotosho /
2022/08/01 5:03 am EDT
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Ride sharing and on demand delivery service Uber (NYSE: UBER) will be reporting results tomorrow before market open. Here's what to look for.

Last quarter Uber reported revenues of $6.85 billion, up 136% year on year, beating analyst revenue expectations by 12.3%. It was a very strong quarter for the company, with an impressive beat of analyst estimates and an exceptional revenue growth. The company reported 115 million paying users, up 11.6% year on year.

Is Uber buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Uber's revenue to grow 86.9% year on year to $7.34 billion, slowing down from the 105% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.05 per share.

Uber Total Revenue

The analysts covering the company have had mixed opinions about the business heading into the earnings, with revenue estimates seeing four upward and three downward revisions over the last thirty days. The company missed Wall St's revenue estimates four times over the last two years.

Looking at Uber's peers in the consumer internet segment, some of them have already reported Q2 earnings results, giving us a hint of what we can expect. Roku delivered top-line growth of 18.4% year on year, missing analyst estimates by 5% and Twitter reported revenue decline of 1.15% year on year, missing analyst estimates by 11.9%. Roku traded down 26.9% on the results, and Twitter was down 3.88%. Read our full analysis of Roku's results here and Twitter's results here.

Investors in the consumer internet segment have had steady hands going into the earnings, with the stocks down on average 1.87% over the last month. Uber is up 3.46% during the same time, and is heading into the earnings with analyst price target of $46.6, compared to share price of $23.34.

One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.

The author has no position in any of the stocks mentioned.