A recent discussion by Jim Cramer has once again highlighted the potential of Uber Technologies, Inc. (NYSE:UBER), especially in light of its impressive growth this year. Cramer noted during a caller’s inquiry that despite the stock’s 45% increase so far, he believes its potential for growth is significant, suggesting it could soar much higher over the upcoming years.
Uber has been making substantial strides in the transportation and delivery sectors, recording noteworthy figures in its latest financial reports. The company achieved gross bookings of $44.2 billion, marking an 18% increase year-over-year, and saw revenue growth of 20% to $12 billion. Additionally, its adjusted EBITDA rose by 44% to $1.8 billion, driven by strong demands in both its Mobility and Delivery divisions. With free cash flow reaching $1.7 billion, Uber has exceeded its financial targets and is positioning itself for continued growth as it ventures into the realm of autonomous vehicles.
While Uber ranks 6th on Cramer’s list of discussed stocks, the article suggests that the focus may shift toward AI stocks, which are perceived to offer higher returns with less risk. This perspective invites investors to explore alternatives in the AI sector, which could provide lucrative opportunities alongside Uber’s promising trajectory.
Overall, Uber’s robust performance and potential for future gains make it a noteworthy player in the investment landscape, while also encouraging a broader look at emerging sectors like AI.