Bank of America Securities analyst Justin Post has maintained their bullish stance on UBER stock, giving a Buy rating on March 3.
Justin Post has given his Buy rating due to a combination of factors that highlight Uber’s strategic advancements and potential for growth. The recent launch of Waymo’s autonomous vehicles (AVs) in Austin, exclusively through Uber, marks a significant development in Uber’s partnership strategy. This collaboration is expected to enhance Uber’s service offerings and drive high utilization rates, despite initial supply limitations. As Waymo plans to expand its operations in Austin, Uber’s ability to report strong key performance indicators (KPIs) could foster optimism for further AV partnerships, positively impacting the stock.
Moreover, Uber’s scale and recent advancements in AI technology position it well to attract investments from original equipment manufacturers (OEMs) in the AV space. The company’s strategy to offer utilization guarantees and potentially invest in its own AVs could lead to multiple new partnerships in the coming year. Although competition from Tesla in Austin is anticipated, the impact on Uber’s demand and financials is expected to be limited. These strategic initiatives and market dynamics underpin Justin Post’s Buy rating for Uber Technologies.
Post covers the Communication Services sector, focusing on stocks such as Alphabet Class A, Meta Platforms, and Snap. According to TipRanks, Post has an average return of 22.8% and a 68.28% success rate on recommended stocks.
In another report released on March 3, BTIG also reiterated a Buy rating on the stock with a $90.00 price target.