Uber (UBER) Stock Forecast & Price Target

Uber Technologies demonstrated strong financial performance in the fourth quarter, achieving a gross bookings growth of 22.5% year-over-year, totaling $54.1 billion, which not only surpassed consensus estimates but also exceeded management's guidance. This growth was driven by impressive outperformance in both the mobility segment, which grew by 20.4%, and the delivery segment, which saw a 26.4% increase, indicating robust consumer demand across its platforms. Moreover, the company is forecasting continued growth momentum, with anticipated gross bookings growth of 21.4% to 24.9% year-over-year in the first quarter, supported by its expanding service offerings and a healthy consumer environment.

The outlook for Uber Technologies's stock is negatively impacted by management's expectations of non-GAAP EPS in the first quarter of 2026 falling short of market expectations, estimated between $0.65 and $0.72, which is approximately 6% below the anticipated $0.73. Additionally, projected EBITDA is also expected to be below expectations, with a forecast of $2.37 billion to $2.47 billion, indicating a quarter-over-quarter decline in adjusted EBITDA. Lastly, the reclassification of driver payments due to a tax law change in the UK, coupled with a forecasted decrease in mobility revenue margins by approximately 350 basis points, further contributes to the adverse financial outlook for the company.