Uber Technologies, Inc. (Uber (UBER)) is having a rough Thursday, with shares down about 3.5% as risk appetite fades across the market. The Nasdaq is off 0.11% and the S&P 500 has slipped 0.26%, so it's not just Uber — but the stock's higher-beta profile means it's feeling the pain a bit more than the averages.
The pullback comes despite a pretty solid week for the company. On the earnings front, Uber reported first-quarter revenue of $13.20 billion, up 14% year over year. That was a hair below the $13.29 billion analysts were looking for, but adjusted earnings of $0.72 per share topped the $0.70 consensus. So, a mixed bag, but not a disaster.
Looking ahead, Uber guided for second-quarter gross bookings between $56.25 billion and $57.75 billion, which would represent constant-currency growth of 18% to 22%. On the bottom line, they see adjusted earnings of $0.78 to $0.82 per share, right around the $0.79 analysts expected. Nothing too shocking there.
Analysts Are Still Bullish
Despite the slight revenue miss, Wall Street is sticking with Uber. The stock carries a Buy rating with an average price target of $105.60, according to data from MarketDash. That's about 38% above where shares are trading today. This week alone, three major firms raised their targets:
- Truist Securities: Buy, raised to $112.00 (May 7)
- Wells Fargo: Overweight, raised to $102.00 (May 7)
- Piper Sandler: Overweight, raised to $105.00 (May 7)
So the analyst community is pretty comfortable with Uber's story, even if the market is in a sour mood today.
Ulta Beauty Joins Uber Eats
In other news, Uber and Ulta Beauty, Inc. (Ulta Beauty (ULTA)) announced Wednesday that more than 1,500 Ulta Beauty stores are now live on the Uber Eats marketplace. That means customers can order thousands of products from over 600 brands — think makeup, skincare, haircare, and fragrance — for same-day delivery or scheduled delivery. The timing is no accident: Mother's Day is right around the corner.
This is part of Uber Eats' broader push beyond food delivery into retail categories like beauty, electronics, and home improvement. It's a smart move: food delivery margins are thin and competition is fierce, but retail delivery can offer higher average order values and stickier customer relationships. For Ulta, it's a way to meet customers where they already are — scrolling on their phones — and offer instant gratification.
Technical Check: Mixed Signals
Let's talk charts. Uber's stock is currently trading above its short-term moving averages — about 3.5% above the 20-day SMA ($74.94) and 4.5% above the 50-day SMA ($74.18). That suggests the recent bounce from the lows is still intact. But the stock is still 8.8% below the 200-day SMA ($84.96), which keeps the longer-term trend pressure in place.
The picture is a bit of a tug-of-war. The 20-day SMA is above the 50-day SMA, which is a near-term bullish signal. But the death cross from January — when the 50-day fell below the 200-day — is a reminder that any rally could run into overhead supply. Right now, the stock is sitting essentially on top of its 100-day SMA ($76.95), a level that often acts like a line in the sand during choppy consolidations.
For momentum, the MACD is the cleaner read: it's above its signal line and the histogram is positive, pointing to improving momentum versus the prior downswing. In plain English, that means downside pressure is easing, even if the longer-term trend hasn't fully flipped yet.
- Key Resistance: $78.50
- Key Support: $68.50
How Uber Ranks on Value, Growth, and Momentum
MarketDash's Edge scorecard gives us a quick snapshot of Uber's strengths and weaknesses relative to the broader market:
- Value: Neutral (Score: 50.68) — The stock is fairly valued relative to peers.
- Growth: Strong (Score: 87.92) — Indicates robust growth potential.
- Momentum: Weak (Score: 18.93) — Stock is underperforming the broader market.
The verdict: Uber has a growth-heavy profile, but weak momentum suggests it's facing headwinds in the current market environment. Investors may want to keep a close eye on the stock as it navigates these dynamics.
ETF Holdings and Passive Flow Risk
Uber is a significant holding in a few ETFs, which means any big inflows or outflows from those funds could force automatic buying or selling of the stock. Here are the top ETF holders by weight:
- Tremblant Global ETF (TOGA): 4.84% Weight
- Dana Unconstrained Equity ETF (DUNK): 4.60% Weight
- Pacer U.S. Cash Cows Growth ETF (BUL): 4.92% Weight
So if you're watching Uber, it's worth keeping an eye on these ETFs too. They can amplify moves in the stock, for better or worse.
Price Check: Uber shares were down 3.51% at $76.39 at the time of publication on Thursday, according to market data.
