UBER
Uber Technologies Inc
TMT, Industrial/Transportation
02/28/2021
Presented
| Date | 02/23/2021 |
| Price | $56.00 |
| Market Cap | $103.67B |
| Ent Value | $95.14B |
| P/E Ratio | N/A |
| Book Value | $5.08 |
| Div Yield | 0% |
| Shares O/S | 1,851.32M |
| Ave Daily Vol | 21,332,720 |
| Short Int | 3.79% |
Current
| Price | $83.20 |
| Market Cap | $174.80B |
| Uber Technologies, Inc. operates as a technology platform for people and things mobility. The firm offers multi-modal people transportation, restaurant food delivery, and connecting freight carriers and shippers. It operates through the following segments: Rides, Eats, Freight, Other Bets and ATG and Other Technology Programs. The Rides segment refers to products that connect consumers with Rides Drivers who provide rides in a variety of vehicles, such as cars, auto rickshaws, motorbikes, minibuses, or taxis. The Eats segment allows consumers to search for and discover local restaurants, order a meal, and either pick-up at the restaurant or have the meal delivered. The Freight segment leverages proprietary technology, brand awareness, and experience revolutionizing industries to connect carriers with shippers on its platform, and gives carriers upfront, transparent pricing and the ability to book a shipment. The Other Bets segment consists of multiple investment stage offerings. The ATG and Other Technology Programs segment primarily responsible for the development and commercialization of autonomous vehicle and ridesharing technologies, as well as Uber Elevate. The company was founded by Oscar Salazar Gaitan, Travis Kalanick and Garrett Camp in 2009 and is headquartered in San Francisco, CA. |
Publicly traded companies mentioned herein: Delivery Hero SE (DHER GR), Uber Technologies Inc (UBER)
Highlights
The presenter is long shares of Uber Technologies Inc (UBER), the leading global ride-sharing platform and a key player in the food delivery space. From his analysis of individual local markets, he believes investors underappreciate the stickiness and the moat of the ride-sharing business on a local market basis. COVID-19 has revealed how attractive the food delivery business is, what growth rates can potentially be, and a clear path to EBITDA profitability. These factors have prevented UBER from receiving the multiple he believes it deserves based on its growth rates, asset-light structure, TAM, and theoretical network effects. He values the food delivery business at an EV of $40B, ride-sharing at an EV of $115B, other minorities at an EV of $13B, and freight at an EV of $1B to get to a price target of ~$88/share or ~57% upside from the current price of ~$55/share.
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