Wedbush analysts have advised investors to exercise incremental caution on Uber as the company prepares to report its fourth-quarter results on February 4. While current consensus estimates for both mobility and delivery segments remain within reach, the firm warned that upside potential is constrained by signs of softening rider demand and ongoing macroeconomic uncertainty. Investor sentiment has cooled since Uber’s third-quarter report, driven by a dearth of near-term catalysts and heightened concerns around autonomous vehicle adoption risk. In particular, the mobility business is viewed as facing downside pressure on gross bookings, creating a more balanced risk-reward profile for investors heading into the print.

Uber and DoorDash recently failed to secure an injunction against New York City’s new tipping law, with U.S. District Judge George Daniels rejecting claims that the requirement to present a minimum suggested tip of 10% at checkout violates the companies’ free speech rights. The law, which took effect on January 26, mandates that delivery platforms prompt customers to tip at the point of sale rather than at delivery, and display recommended tip amounts. City regulators allege that prior app interface changes by the firms deprived delivery workers of more than $550 million in tips. Uber has warned that the mandate may pressure consumer behavior and impact order volumes for local merchants.

In a separate research note, another major brokerage upgraded Uber to a Buy, citing a strong platform moat and sector-leading profitability that should withstand potential autonomous vehicle disruption. The analysts project that robotaxis will account for only 7.5% of global ride-hailing volume by 2030, suggesting that Uber’s core business will remain largely intact through the end of the decade. They highlighted Uber’s growing delivery ecosystem and expanding advertising offerings as additional catalysts for margin expansion over the next several years.