Goldman Sachs Sees Positive Reaction to Uber (UBER) EPS on Solid Metrics

Goldman Sachs analyst Eric Sheridan offered a first take on Uber's (NYSE: UBER) Q2 results and expects investors to react positively as most metrics were "solid."

The analyst commented,"We expect investors to have a positive reaction to Uber’s Q2 ’22 earnings report, as most metrics (in terms of both its reported Q2 metrics and forward commentary) were solid vs expectations. In particular, post last quarter’s commitment by UBER mgmt to deliver on increased profitability, UBER reported Adj EBITDA of $364m (vs a guided range of $240-270m) and guided Q3 Adj EBITDA to a range of $440-470m (vs our current estimate of $379m). In addition, UBER mgmt made broadly positive comments on end demand trends in the Mobility segment (especially Uber for Business and airport rides) and pronounced operating leverage. Looking toward this morning’s conference call, we expect investor focus to remain on a mixture of recovery and post-pandemic growth dynamics across UBER’s businesses (with forward Q3 ’22 gross booking commentary being slightly lower than Street estimates), the broad competitive landscape across its business and mgmt’s view on the end demand environment as the macroeconomic environment remains volatile."

The firm reiterated a Buy rating and $45.00 price target on UBER.

For an analyst ratings summary and ratings history on Uber Inc. click here. For more ratings news on Uber Inc. click here.

Shares of Uber Inc. closed at $24.60 yesterday.

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