US earnings: Uber and Lyft in focus
On Tuesday, Uber Technologies is forecast to publish earnings with revenue expected to come in at $9.54 billion.
Over the past few weeks, analysts have grown increasingly bullish on the stock, some of them upping their price target to $60 or higher. Uber's competitor, Lyft, is also due to report on Wednesday. Besides earnings, investors will be looking particularly at the groups active-rider growth. To compete with Uber, Lyft had to lower its prices, potentially affecting the top line.
(AI Video Transcript)
Uber Technologies
The US earnings season is almost over, but there are still a couple of big companies yet to announce their results. One of them is Uber Technologies which is expected to release its earnings on Tuesday.Analysts predict that Uber will report earnings of $0.07 per share. This is a significant improvement compared to the $0.18 loss they experienced in the same quarter last year. Investors are feeling optimistic about Uber's stock, with some even raising their price target to $60 or higher. This positive outlook has led to a boost in Uber's shares, and they recently had their best weekly performance since May.
Lyft
On the other hand, Lyft, Uber's main competitor, is not having such a great time. Lyft is set to release its earnings on Wednesday, and investors are curious to see how the company's active rider growth is doing. Lyft had to reduce its prices to compete with Uber, and this might have affected its overall revenue. Analysts are projecting earnings of $0.15 per share for Lyft, which is a 50% increase from the same quarter last year. Furthermore, they forecast revenue to be around $1.14 billion.
Uber & Lyft
To put it simply, Uber is expected to have a better quarter compared to last year, and investors are feeling more positive about their stock. On the other hand, Lyft is facing challenges due to competition from Uber and the need to lower their prices. It will be interesting to see how both companies perform and how their stocks are affected by their earnings reports.
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