13318

Uber (UBER) To Report Earnings Tomorrow: Here Is What To Expect


Radek Strnad /
2022/10/31 4:45 am EDT
Add to Watchlist

Ride sharing and on demand delivery service Uber (NYSE: UBER) will be reporting results tomorrow before market hours. Here's what investors should know.

Last quarter Uber reported revenues of $8.07 billion, up 105% year on year, beating analyst revenue expectations by 9.48%. It was a very strong quarter for the company, with exceptional revenue growth and an impressive beat of analyst estimates. The company reported 122 million paying users, up 20.7% 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 67.6% year on year to $8.12 billion, in line with the 72.2% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.06 per share.

Uber Total Revenue

The analysts covering the company have been growing increasingly bearish about the business heading into the earnings, with revenue estimates seeing eight downward revisions over the last thirty days. The company missed Wall St's revenue estimates three times over the last two years.

Looking at Uber's peers in the consumer internet segment, some of them have already reported Q3 earnings results, giving us a hint of what we can expect. Snap delivered top-line growth of 5.71% year on year, missing analyst estimates by 0.91% and Pinterest reported revenues up 8.15% year on year, exceeding estimates by 2.68%. Snap traded down 21.5% on the results, and Pinterest was up 15.3%. Read our full analysis of Snap's results here and Pinterest's results here.

Investors in the consumer internet segment have had steady hands going into the earnings, with the stocks up on average 1.8% over the last month. Uber is up 1.79% during the same time, and is heading into the earnings with analyst price target of $45.90, compared to share price of $27.20.

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.