Uber Technologies (NYSE:UBER) will expand into India. What’s the next stop on Uber’s itinerary? It’s hard to even keep track of all the positive reports about Uber Technologies. We heard Uber controls over 50% of the ride-sharing market in “every major region in which it operates.” We’re assigning UBER stock an “A” grade today.
We also found out that Uber Technologies is being added to the Dow Jones Transportation Average. No matter how you slice it, the signs point to powerful, positive momentum for Uber and, potentially, for UBER stock.
UBER Stock Rides Higher
Uber Technologies have gained value during the past year, and in 2024 so far. Clearly, the market is confident about Uber’s future prospects.
That confidence is justified, as Uber’s financial figures point to top-line growth. During 2023’s fourth quarter, Uber’s revenue increased 15% year over year to $9.9 billion. The company’s gross bookings grew 22% YOY to $37.6 billion.
Not only that, but Uber inaugurated its first-ever share-repurchase program. This is a major news item, as buybacks can reduce a company’s circulating share count, thereby possibly propping up the stock price to a certain extent.
It’s also a sign of the management’s confidence that Uber is prepared to repurchase as much as $7 billion of the company’s common stock. So, we can add this development to the list of positive news items for Uber Technologies.
Uber Seeks Rapid Expansion in India
What’s the next frontier for Uber Technologies? It might be the vastly populated nation of India. Already, Uber is testing out “prepaid-item pickup from local stores in India,” according to a TechCrunch report.
Make no mistake about it; Uber isn’t just randomly testing the waters in India. The company is prepared to ambitiously enter this vast market. According to a Reuters report, Uber is “exploring offerings such as intercity bus and metro rail ticket bookings in India.”
Along with bus services, Bloomberg observed that Uber is considering offering scooter and motorbike services in India. Notably, Uber Technologies signed a memorandum of understanding with the Open Network for Digital Commerce, an India-based state-backed program. This move signals Uber’s serious intentions to tap into India’s transportation industry.
UBER Stock: Hop In and Fasten Your Seat Belt
Today, we’ve presented multiple bullish news items about Uber Technologies. This company isn’t just a domestic ride-share leader; Uber has expansive, multinational ambitions.
Besides, Uber’s revenue growth and share-buyback program enhance the bullish argument for UBER stock. Therefore, we’re confidently giving the stock an “A” grade, and we encourage you to conduct your due diligence on Uber Technologies.
On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.
