FILE PHOTO: A screen displays the logo of the company is Uber Technologies, Inc. at the date of the initial public OFFERING on the New York Stock Exchange (NYSE) in New York, New York, USA, on 10 May 2019. REUTERS/Brendan McDermid/File Photo
(Reuters) – Shares of Uber Inc has also declined from 10% in early trading on Friday after the drive from service and missed most of Wall Street’s targets in its quarterly report, and, in stark contrast to the cheery songs of the AMERICAN arch-rival Lyft Inc., a day earlier.
None of the Wall Street brokers that cover the stock changed their recommendations on Uber, and in the fall, it was about the same as the 8% rise in the shares of the company Lyft on the tracks on Thursday.
The company’s revenue, however, grew only 14%, compared to a nearly 150% jump in costs, leaving the company with more than $5 billion loss, the largest ever.
“In a nutshell, is that there were lots of puts and takes within the quarter, but overall we would characterize the board and coaching as a performance by the Street and expect an A+ coming from the recent IPO of the company,” Wedbush analysts said.
The broader market turmoil of the past few weeks, Uber shares are on the up and folded out to be a rough start to their life at the New York Stock Exchange.
That is reflected lingering doubts about the strength of the company’s long-term business model. However, of the 33 brokers now cover the stock, 21 “buy” or higher rating, 11 have been put on “hold” and one a “sell” rating.
On Friday, the two and reduced their price target for the stock, while the other two will be increased.
Several realtors pointed out in the comments of the Chief Executive Officer, Dara Khosrowshahi, that the customer is in the journey-from business facilitation, and that both Lyft and Uber have been in the construction of a path of the stream of future profits.
“In the short term, bears are pointing to the” chicken and egg ” problem (profit or growth?) must be the day for it… but we’re like the bulls, the chances of a long-term, they are a step on the path to profitability,” Evercore analysts said.
Reporting by Supantha Mukherjee and Jasmine and I are in Bengaluru; editing by Patrick Graham