Uber Is Due for a Rally as Fundamentals Improve
The ride-share and delivery company has gained market share while boosting its profit margins, but most investors are ignoring its fundamental strengths.
Overview
Amid a rising stock market, Uber (NYSE: UBER) is down by about 8% year to date, but the company's fundamentals reflect a different reality. It is the leader in the ride-hailing industry, and it continues to gain market share. Furthermore, its valuation has become more compelling due to the prolonged slide it has been experiencing since last autumn.
A stock's price should not continue to drop as the company's underlying fundamentals improve. Eventually, a rally should take shape, and Uber has a few catalysts that could bring it back into the green this year.
Image source: Getty Images.
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Originally published at www.fool.com.
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