Analyst Ratings January 22, 2026

TD Cowen Upholds Buy Rating for Uber Amid Promising Growth Trajectory

Analysts emphasize robust gross bookings and EBITDA expansion as Uber prepares for Q4 earnings

By Derek Hwang UBER
TD Cowen Upholds Buy Rating for Uber Amid Promising Growth Trajectory
UBER

TD Cowen has reaffirmed its Buy recommendation for Uber Inc. with a price target of $114, highlighting expected strong Q4 results and guidance. The firm projects significant growth in gross bookings and EBITDA driven by momentum in Mobility and Delivery services. Other analysts echo confidence in Uber’s fundamentals despite challenges in autonomous vehicle technology, while strategic partnerships like Kroger's delivery expansion with Uber Eats reinforce Uber's market position.

Key Points

  • TD Cowen maintains Buy rating on Uber with a $114 price target, anticipating strong Q4 gross bookings and EBITDA growth.
  • Analysts project 20.1% year-over-year increase in Q4 gross bookings, backed by solid performance in Mobility and Delivery segments.
  • Multiple firms uphold positive outlooks for Uber despite ongoing autonomous vehicle technology uncertainties, highlighting robust fundamentals and strategic partnerships.
  • Kroger's partnership with Uber Eats and Postmates enables broad expansion of same-day grocery delivery, showcasing Uber's growing footprint in delivery services.

TD Cowen has once again affirmed its Buy rating on Uber Inc. (NYSE: UBER), setting a price target at $114 per share. This target suggests notable potential upside compared to the current trading price of approximately $84.84. The assessment aligns closely with the wider analyst community’s average rating of 1.55, signifying a strong buy consensus, and targets ranging broadly from $73 to $150.

The brokerage forecasts that Uber’s fourth-quarter gross bookings will reach $53.1 billion, marking a 20.1% increase compared to the same quarter a year ago. This projection is consistent with consensus expectations and is underpinned by sustained growth in both the Mobility and Delivery segments. Over the past twelve months, Uber has demonstrated impressive momentum, achieving an 18.25% rise in revenue.

Anticipations for Uber’s fourth-quarter earnings before interest, taxes, depreciation, and amortization (EBITDA) are equally optimistic. TD Cowen is projecting growth of 33.9% year-over-year, slightly surpassing the midpoint of management’s guidance range. The projected EBITDA expansion is attributed to rising revenues and the company’s growing advertising division. Recent data points to Uber generating $5.29 billion in EBITDA over the trailing twelve months, along with solid earnings per share reported at $7.80 diluted.

In its forward-looking analysis, TD Cowen has modestly increased its forecasts for first-half 2026 Mobility gross bookings. This update reflects expectations for reduced growth in insurance costs year-on-year, which should support incremental gains within the Mobility segment.

Following their thorough examination of Uber’s operational performance and outlook, TD Cowen has maintained both its Buy rating and the $114 price target.

Additional perspectives from other financial institutions reinforce the positive sentiment surrounding Uber. Guggenheim has reiterated its Buy rating and raised its price target to $135. Guggenheim views the forthcoming earnings release as an opportunity for investors to refocus on Uber’s core strengths rather than the ongoing debates regarding autonomous vehicle technology. Bernstein also sustains an Outperform rating with a price target set at $115, displaying confidence in Uber’s valuation amid prevailing concerns in autonomous vehicle development.

Conversely, KeyBanc Capital Markets recently adjusted its price target downward to $105 from $110, adopting a more cautious stance due to uncertainties tied to the autonomous vehicle sector. In contrast, BTIG echoes an optimistic view with a Buy rating and price target of $100, highlighting Uber as a compelling growth story within the consumer Internet industry.

Separately, Uber’s partnerships are expanding. Kroger Co. has enhanced its delivery offerings by teaming up with Uber Eats and Postmates, enabling customers to utilize on-demand and same-day grocery delivery services from nearly 2,700 Kroger locations nationwide. Through these alliances, consumers can access a broad assortment of products across Kroger’s retail brands, including Ralphs and Fred Meyer, via these digital platforms. This strategic move underscores Uber’s versatile market presence and adapts to evolving consumer preferences.

Combined, these developments illustrate a positive outlook for Uber as it leverages diverse revenue streams, strategic partnerships, and solid operational momentum going forward.

Risks

  • Uncertainty surrounding the future development and impact of autonomous vehicle technology poses valuation risks for Uber.
  • Potential fluctuations in insurance cost growth could affect future Mobility segment profitability.
  • Market volatility and competition in the consumer Internet and delivery sectors may influence Uber’s revenue growth trajectories.

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