Will Uber go public in 2017?
Investors are anxious awaiting their chance to own shares of one of the biggest companies yet to go public.
Uber began as a San Francisco startup but quickly became the biggest IPO in years. It is a car-for-hire service that uses smartphone technology to connect Uber drivers and riders. Its smartphone app takes care of everything – from hailing a ride to payment.
In December 2008, Travis Kalanick and Garrett Camp could not get a cab in Paris. The idea of Uber was born. Three months later, in March of 2009, they built the first version of their idea called “UberCab.”
UberCab allowed users to tap a button on their smartphone app and get a ride. At first, the cost was more expensive than a cab, but San Francisco techies preferred the simplicity of ordering a car through the push of a button.
UberCab shortens its name to Uber in order to further differentiate itself from the taxicab industry. Afterward, Uber goes international, expands across the United States and continues to accumulate funding.
In 2011, Uber secured $11 million Series A funding and $32 million Series B funding. Two years later, Uber closed a humongous $258 million investment Series C funding, which increased Uber’s valuation to $3.76 billion.
Uber went public on the New York Stock Exchange NYSE in May 2019. Uber IPO prices started at $45 a share. However, Uber share prices fell to $41.57 by the end of the day, leaving a cumulative loss of $655 million.
There is no argument that Uber is a tech giant that dominates the ridesharing industry. However, Uber stock poses a number of red flags that have analysts concerned.
Despite the billions of dollars in investments over the years, Uber’s IPO has been less than impressive. They began trading under challenging market conditions, with the Dow Jones Industrial Average falling more than 300 points. Ultimately, Uber ended its first day on the public exchange down more than 7%.
Uber’s IPO in May 2019 also came after Lyft’s debut in March 2019. They received more scrutiny from the SEC than Lyft during the IPO process, drawing attention to their adjusted financial numbers.
Uber also faces its fair share of legal battles. Its ridesharing business model was called into question in June 2015, when the California Labor Commission ruled that an Uber driver is an employee. Such rulings may mean more expensive trips for consumers and affect Uber’s bottom line.
Fortunately for Uber, The U.S. National Labor Relations Board rules that Uber drivers are independent contracts, not employees in May 2019. Unfortunately, this may not be the end of this debate.
In recent years, Uber has also been confronted with scandals and controversies, including sexual harassment, a data breach as well as a #DeleteUber campaign. 2017 was a tumultuous year for Uber as a reorganization of leadership, which included replacing Uber’s CEO.
Analysts continue to hold an uncertain view of Uber as investors question profitability. Many investors are weathering the storm as autonomous cars are gearing up to hit the roads, potentially solving the issue of human labor. Of course, this could also result in higher insurance costs and potential lawsuits.
Nonetheless, for now, Uber is a household name with impressive statistics of 17 million trips per day in 65 countries.
By Jack Delaney, Associate Editor, Money Morning -
Will Uber go public in 2017?
Investors are anxious awaiting their chance to own shares of one of the biggest companies yet to go public.
By Diane Alter, Contributing Writer, Money Morning -
Uber Movement is a new tool released by the ride-sharing app that officials say will improve traffic.
Unveiled Sunday, Uber Movement could help reduce travel times and improve the flow of traffic.
Here are some details about the new tool, and why the company is releasing it to the public...
By Money Morning News Team, Money Morning -
The Uber IPO valuation has hit $66 billion and could continue to climb.
The ride-hailing app has completely disrupted the transportation industry.
Here's how Uber reached such a lofty valuation and what it means for investors...
By Money Morning News Team, Money Morning -
The list of Uber investors continues to grow before the company's inevitable IPO.
Tech leaders to finance giant have invested in the ride-hailing app.
Here's a look at who has invested in Uber, as well as what to expect from the Uber IPO...
By Money Morning News Team, Money Morning -
By Money Morning News Team, Money Morning -
If you can't find more information on the Uber stock symbol, that's because the company hasn't filed an official IPO date.
Lead underwriters have to be in place for Uber to go public and get a stock symbol.
By Money Morning News Team, Money Morning -
"Should I invest in Uber after the IPO" is one of the most common questions we've received.
Although there's no set date, the Uber IPO will be one of the most-hyped public offerings in years.
That's why we break down everything you need to know about the Uber IPO, right here...
By Money Morning Staff Reports, Money Morning -
There's no doubt that everyone on Wall Street wants to get their hands on Uber stock.
After all, the company could reach a valuation of $100 billion before it goes public.
By Jack Delaney, Associate Editor, Money Morning -
Wall Street wants a piece of Uber stock badly.
And after the company made a $680 million purchase to improve its self-driving car technology, the demand has only increased.
By Jack Delaney, Associate Editor, Money Morning -
There's no official date, but when the Uber IPO date is set, investors will have their calendars marked.
Wall Street is eagerly awaiting what would be the hottest IPO of the year.
By Jack Delaney, Associate Editor, Money Morning -
Before the Uber IPO, CEO Travis Kalanick is throwing in the towel on UberChina.
The ride-hailing service is being bought by rival Didi Chuxing.
By Jack Delaney, Associate Editor, Money Morning -
Investors are anxiously waiting to get their hands on the Uber IPO.
The ride-hailing service already has a massive valuation at $66 billion, and Uber is one of the most exciting tech companies not publicly traded.
By Diane Alter, Contributing Writer, Money Morning -
Ahead of the still unknown Uber IPO date, the leading car-hailing firm just raised another $1.15 billion.
Uber has been stockpiling cash amid increasing regulatory and competitive pressures.
Here's what it means for the upcoming IPO...
By Jack Delaney, Associate Editor, Money Morning -
The Uber IPO is one of the most talked about events on Wall Street, and investors can't wait to get their hands on Uber stock.
And after the ride-hailing service just secured a $3.5 billion investment from Saudi Arabia, it seems like there's no stopping this transportation disruptor.
By Diane Alter, Contributing Writer, Money Morning -
The Uber IPO took a massive hit from a major competitor today with Apple Inc.'s (Nasdaq: AAPL) announcement it's investing $1 billion in Didi Chuxing, Uber's biggest ride-sharing competitor in China.
Uber appeared to shrug off the news, but the development is troubling for the ride-sharing app.
Here's what you need to know...