Ride-Hailing Is Uber's Big Moneymaker, But That Could Change in the Future. Should Investors Care?
If you asked 10 different people what Uber Technologies (NYSE: UBER) does, all 10 would likely say Uber is in the "ride-hailing" business. They'd be right. For investors, though, there's an important footnote worth adding to this answer.
Although personal mobility currently makes up the biggest piece of the company's top and bottom lines, its delivery services unit is coming on strong. There's little doubt this arm is going to play an even bigger role in how the market values Uber stock in the foreseeable future.
They say a picture is worth a thousand words. So, let's start with a picture. The image below plots the comparative revenue growth of Uber Technologies' mobility (people), delivery (food and consumer goods), and freight businesses going back a few years. Ferrying people from point A to point B remains its biggest and fastest-growing unit, but delivery is holding up well and perked up a bit last quarter.
Source Fool.com
Uber Technologies Inc Stock
The stock is an absolute favorite of our community with 56 Buy predictions and no Sell predictions.
With a target price of 78 € there is a positive potential of 20.89% for Uber Technologies Inc compared to the current price of 64.52 €.
