UBER - Uber's Upward Trajectory Improved Margins and Ad Revenue To Continue - BofA Analyst Raises Forecast | Benzinga
BofA Securities analyst Justin Post maintained Uber Technologies Inc (NYSE:UBER) with a Buy and raised the price target from $68 to $73.
The re-rating reflects a slightly higher 3.5x Mobility P/S multiple (vs. 3.0x prior), given improving margin expectations, ad growth, and global share gains.
The analyst noted that Uber outperformed the NASDAQ in 2023 by nearly 80pts (up 120% vs. 43%) and outperformed peers.
Multiple expansion fueled upside, with forward EV/Sales up from 1.3x to 2.8x today.
Also Read: Uber Bids Farewell to Drizly Alcohol Delivery Service in Major Business Strategy Shift
Looking forward, Post noted Uber as offering one of the best 3-5 years growth profiles in the Internet sector, with potential for mid-to-high teen bookings growth and 30% EBITDA growth as margins increase from ...