UBER - Bull of the Day: Uber Technologies Inc. | Benzinga
Uber Technologies, Inc. (NYSE: UBER) posted its first full-year profit as a public company in 2023 by expanding its ride-hailing and delivery businesses while streamlining its operations at every turn.
Wall Street rewarded Uber by sending its stock to new all-time highs in February, soaring 130% over the last 12 months.
Uber shares have cooled off to trade at attractive levels for long-term investors given its impressive outlook in businesses it transformed from niche apps for people in select cities into a $50 billion-a-year behemoth.
A Transformational 2023
Uber posted fourth-quarter profit of $1.43 billion, including a $1 billion benefit from its equity investments. The ride-hailing firm reported $652 million of income from operations vs. a loss of $142 million in the fourth quarter of 2022. Uber's Q4 operating income also surged by $258 million quarter-over-quarter.
On top of that, Uber's Q4 free cash flow hit $768 million vs. a negative cash flow of -$303 million in the final quarter of 2022. This came after Uber posted its first-ever quarterly operating profit in the second quarter of last year.
CEO Dara Khosrowshahi called 2023 an "inflection point" proving Uber can "continue to generate strong, profitable growth at scale."
Uber spent the last several years cutting jobs and streamlining its operations, always pivoting toward profitable expansion amid a wild ride for its business that saw ride-hailing briefly fade during Covid and food delivery soar. The company's strength in its core mobility and delivery segments are offsetting struggles in its much smaller freight unit.
Image Source: Zacks Investment Research
Uber's results over the last several years highlight that people are back to living their pre-pandemic lives in full force. Crucially, the ...