Melius Downgrades Uber Inc. (UBER) to Sell

Melius analyst Conor Cunningham downgraded Uber Inc. (NYSE: UBER) from Hold to Sell with a price target of $73.00.

The analyst comments "Downgrading Uber to Sell from Hold (UBER; PT $73). Uber is very clearly the leader in global rideshare and delivery. But given that position, Uber has the most risk from increased competition. Uber has attempted to position itself as the demand aggregator for new AV entrants, with announced partnerships and investments as new tech ramps. Even with Uber's position, AV competition is set to rise in 2026 and beyond, which could erode returns whether Uber partners or not. Uber's current valuation screens as cheap, but also assumes steadystate growth with no discernible impact from a competitive threat. We will see, but if growth were to moderate and / or further standalone expansion announcements from the likes of Waymo and Tesla were to come in the US market, there is certainly risk that doesn't seem fully appreciated in the market today."

For an analyst ratings summary and ratings history on Uber Inc. click here. For more ratings news on Uber Inc. click here.

Shares of Uber Inc. closed at $82.86 yesterday.

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