Uber launch a step to unlock $100B airport TAM, says BMO Capital

After Uber (UBER) said it is launching UberX Share at airports, allowing customers to share a trip with another person and save up to 25% compared with UberX, and incremental Reserve capabilities, BMO Capital analyst Brian Pitz said airport rides currently generate $10B in annual bookings. With a potential total addressable market, or TAM, of $100B, the firm believes Uber is well positioned to capture incremental adoption and to expand into suburban markets given its scale and use cases across different price points. Suburban trips should help mobility adoption in the U.S. reach 15% versus 10% at the end of 2023, unlocking a portion of $13B of gross bookings, added the analyst, who has an Outperform rating on Uber shares.