Uber Technologies (NYSE: UBER) is one stock I have long urged investors to avoid. While the ridesharing industry is likely here to stay, high costs made the company a consistent money loser. Consequently, its stock has only experienced modest growth since its initial public offering (IPO) more than four years ago.

However, conditions changed in the second quarter of 2023 when the company reported a profit. With that change, Uber may finally have the fundamentals to take the stock higher.

Uber stock initially surged in May 2019 following its IPO. But as investors took a closer look at the financials, they saw no obvious path to profitability. The stock consistently fell until a pandemic-induced revival took it higher, but it could not sustain those gains in the 2022 bear market.

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Source Fool.com