Uber Technologies, Inc. Fundamental Analysis
Uber Technologies, Inc. (UBER) shows strong financial fundamentals with a PE ratio of 17.35, profit margin of 15.91%, and ROE of 33.32%. The company generates $53.3B in annual revenue with strong year-over-year growth of 18.28%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 76.3/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze UBER's fundamental strength across five key dimensions:
Efficiency Score
ExcellentUBER demonstrates superior asset utilization.
Valuation Score
ExcellentUBER trades at attractive valuation levels.
Growth Score
ModerateUBER shows steady but slowing expansion.
Financial Health Score
ExcellentUBER maintains a strong and stable balance sheet.
Profitability Score
ExcellentUBER achieves industry-leading margins.
Key Financial Metrics
Is UBER Expensive or Cheap?
P/E Ratio
UBER trades at 17.35 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, UBER's PEG of -0.58 indicates potential undervaluation.
Price to Book
The market values Uber Technologies, Inc. at 5.99 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 22.35 times EBITDA. This signals the market has high growth expectations.
How Well Does UBER Make Money?
Net Profit Margin
For every $100 in sales, Uber Technologies, Inc. keeps $15.91 as profit after all expenses.
Operating Margin
Core operations generate 11.66 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $33.32 in profit for every $100 of shareholder equity.
ROA
Uber Technologies, Inc. generates $14.26 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Uber Technologies, Inc. produces operating cash flow of $10.04B, showing steady but balanced cash generation.
Free Cash Flow
Uber Technologies, Inc. generates strong free cash flow of $9.72B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $4.77 in free cash annually.
FCF Yield
UBER converts 6.67% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
17.35
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.58
vs 25 benchmark
P/B Ratio
Price to book value ratio
5.99
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.74
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.64
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.07
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.33
vs 25 benchmark
ROA
Return on assets percentage
0.14
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How UBER Stacks Against Its Sector Peers
| Metric | UBER Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 17.35 | 37.32 | Better (Cheaper) |
| ROE | 33.32% | 993.00% | Weak |
| Net Margin | 15.91% | 5975589423.00% | Weak |
| Debt/Equity | 0.64 | 0.41 | Weak (High Leverage) |
| Current Ratio | 1.07 | 116.24 | Neutral |
| ROA | 14.26% | -297552.00% (disorted) | Strong |
UBER outperforms its industry in 2 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Uber Technologies, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
292.57%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
225.13%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
409.28%
Industry Style: Growth, Innovation, High Beta
High Growth