Many stock analysts are skeptical the money-losing transportation pioneer will ever become profitable
Uber reported its first earnings as a public company Thursday after the U. S. stock market closed. It wasn’t pretty: The company lost $1 billion on $3.1 billion in revenue during the first three months of 2019. Shares initially fell about 1% on the news.
Analysts are still skeptical that the money-losing ride-hail pioneer will ever become profitable, and for good reason: Uber lost $3 billion in 2018 and had predicted a loss of around $1 billion for the first quarter in a Securities and Exchange Commission filing before its May IPO.
Despite all the red ink, the company was valued at a whopping $75 billion when it went public in May, with shares priced at $45. They fell 7.6% on the first day of trading, however, and have drifted toward about $40 a share since.
Uber has acknowledged that there are bumps along its unpaved road to profitability.
