After a bad IPO and falling stock price, we might finally be seeing a bottom at the end of the year. Overall, UBER had a very disappointing year, not to mention license problems in London and cases of sexual assaults. As 2020 starts big investors will be looking to invest in cheaper stocks and hold for the year. After a big sell this year, UBER looks attractive as a cheap investment. Of course, there is a chance that the stock could become even cheaper before investors jump in, but there are always stocks in the beginning of the year that start rallying.
Current price target of big banks and hedge funds ranges between $26 and $64, giving the median of $44. So, stock expected to jump almost 50% from its current price.
Average revenue expected to grow from $14.16 billion in 2019 to $18.51 billion in 2020.
EPS still expected on the negative side but significantly less. Current estimate is -2.34 for 2020. This year the estimate is -6.59.
On the technical side, currently trying to break through the trend line and 200SMA. A break to the upside can be traded but small risk as we are still not forming new highs, which means sellers are stronger for now. The break of level $30 is a better confirmation for a long trade. We have evidence for a long position if we get confirmation. Of course, a lot depends on the fundamentals but technicals show promise.