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Uber Technologies, Inc.'s (NYSE:UBER) Profit Outlook

Uber Technologies, Inc. (NYSE:UBER) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Uber Technologies, Inc. develops and operates proprietary technology applications in the United States, Canada, Latin America, Europe, the Middle East, Africa, and the Asia Pacific. The US$45b market-cap company posted a loss in its most recent financial year of US$496m and a latest trailing-twelve-month loss of US$6.3b leading to an even wider gap between loss and breakeven. Many investors are wondering about the rate at which Uber Technologies will turn a profit, with the big question being “when will the company breakeven?” In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.
According to the 40 industry analysts covering Uber Technologies, the consensus is that breakeven is near. They expect the company to post a final loss in 2023, before turning a profit of US$1.3b in 2024. The company is therefore projected to breakeven around 2 years from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 82%, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.
earnings-per-share-growth
earnings-per-share-growth
Given this is a high-level overview, we won’t go into details of Uber Technologies' upcoming projects, though, bear in mind that by and large a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.
 

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a decade of negative profits to gain market share. Now that cheap rides are over with, they will continue to bleed money while losing market share.
Agreed; any fool can sell lots of something if they use someone else's money to pay for selling it at a loss. I could do a roaring trade by going down to Best Buy, buying all their TVs and then selling them brand new at half price in the parking lot.
 

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2019 Reproduction 1860s era Stage Coach, Vintage Italian Leather Saddle, A-36 stainless horse shoes
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Are they saying they are going to be profitable in 2 years?

I’m still waiting for them to be profitable by 2016.

Another promise of turning a profit down the road and no sign of it happening.
 
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