Uber: New Street Research starts with 'buy'
(CercleFinance.com) - New Street Research on Thursday initiated its coverage of US ride-sharing giant Uber with a "buy" rating and a 50-dollar target price.
After taking a view on how the company develops, the independent research house concludes with a "clear positive," saying Uber's enterprise value could appreciate by 33% per year over the next 5 years.
However, New Street Research also warns that investors and analysts may focus too much on indicators such as ride per user and profitability in the future, which will all be under pressure in the next year or two.
On balance, New Street Research recommends investors buy the stock, "but for the long term."
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
After taking a view on how the company develops, the independent research house concludes with a "clear positive," saying Uber's enterprise value could appreciate by 33% per year over the next 5 years.
However, New Street Research also warns that investors and analysts may focus too much on indicators such as ride per user and profitability in the future, which will all be under pressure in the next year or two.
On balance, New Street Research recommends investors buy the stock, "but for the long term."
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.