Better Growth Stock: Uber Technologies vs. Grab Holdings
Back in 2018, Uber Technologies (NYSE: UBER) sold its Southeast Asian business to Grab Holdings (NASDAQ: GRAB), a start-up that bundled various transportation, food delivery, and payment services together into a single "super app." In exchange, Uber received a 27.5% stake in Grab.
Grab subsequently conquered about three-quarters of Southeast Asia's ride-hailing market, according to Blackbox Research, and it went public last December by merging with a special purpose acquisition company (SPAC). Grab's stock opened at $13.06 on its first trading day, but it now trades at less than $3 a share. It quickly lost its luster as investors fretted over its slowing growth, ongoing losses, and high valuations.
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Source Fool.com
