Bank of America Cuts Uber Price Target 14% to $48 After Q4 Miss
Bank of America lowered its Uber price target 14% to $48 from $56 after Q4 revenue of $9.8 billion missed estimates by 3%. The analyst maintained a neutral rating, warning that slowing bookings growth and rising operating costs could pressure margins.
1. Analyst Update
Bank of America reduced its Uber price target to $48 from $56 and kept a neutral rating on the stock after reviewing the company’s latest quarterly results.
2. Earnings Performance
Uber reported Q4 revenue of $9.8 billion, falling short of consensus estimates by roughly 3% as ride bookings growth decelerated across key markets.
3. Cost and Growth Concerns
The analyst cited rising marketing and support expenses alongside slower user growth as reasons for cutting the target, noting potential margin headwinds.
4. Market Implications
The reset underscores caution toward gig-economy operators facing cost pressures, and the neutral stance may temper upside for Uber shares until growth accelerates.