Daniel Pronk on $UBER (Nov 4, 2026)
UBER's report looked strong—bookings +20%, operating income +38%, EPS +35%, revenue +10% (+18% old basis)—and Q4 guidance is ~20% revenue growth and +34% EPS. A 16 forward P/E and 14.6 price/free cash flow are low for 20% growth, so it looks cheap if this continues. The speaker is still not a buyer: autonomous-driving adoption and greater Waymo/Tesla competition make the long-term business too uncertain, and he lacks confidence.
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Fortinet, ServiceNow, and finally we will finish the discussion with Uber.
Okay, let's move on to the last stock in this video , which is Uber. The stock is now down about 28% from its all-time high and has seen a pretty big correction. However, it is responding positively after the earnings report released this morning and the stock is up 7% today at the time of recording this video.
So, as always, let's take a look at Uber's earnings results. Here we can see that bookings have increased by 20% year-on-year.
Operating income increased by 38%, which is very good. Earnings per share also rose 35%, and Uber said it has achieved booking growth of more than 20% for five consecutive quarters , which is quite strong.
So, at first glance, this is actually a really good report for Uber. Moving on to the next screenshot, it contains many operational or business highlights. And here we see that the number of trips has increased by 16% year-on-year to 4.1 billion.
Monthly active customers increased by 14% and the number of trips per customer increased by 2%. That is , Uber is continuously attracting more customers and customers are using Uber more.
This is obviously very good for business. However, revenue only increased by 10%, but that's because the business has changed the way it shows its revenue over the past year. If it were on the same basis as before, its revenue would have increased by 18%.
GAAP operating income also increased by 30%. Operating cash flow was 2.6 billion and free cash flow was 2.5 billion. So, all in all, again , this seems like a very good report for Uber.
In their fourth- quarter guidance, they said they expect revenue growth of about 20% in the fourth quarter and a further 34% increase in earnings per share. So, their results were strong and it looks like their fourth quarter results will be pretty good as well.
Uber's forward price-to-earnings ratio is just 16 and price-to-free cash flow is trading at around 14.6. These are quite low multiples for a business growing at a rate of 20%.
And if Uber continues like this , I think the stock is pretty cheap right now. However, I am not a buyer of Uber stock. As I've said before on my channel , I don't know what Uber's business will be like in the long term as autonomous driving becomes more commonplace, and I think it will become more popular.
And I don't know what the business will be like when Waymo and Tesla start competing more. And ultimately, I don't have enough confidence to invest in this stock.
Another thing is, I'm a concentrated investor, so I don't want to buy a few shares of Uber just for fun.