Uber (UBER 0.92%) posted its first-quarter earnings report on May 6. Its revenue rose 14% year over year to $13.2 billion, narrowly missing analysts' estimates by $60 million. Yet it's still growing rapidly: its gross bookings grew 25% to $53.7 billion, its monthly active platform consumers (MAPCs) rose 17% to 199 million, and its total trips climbed 20% to 3.04 billion.
Uber's adjusted EPS rose 44% to $0.72 and exceeded the consensus forecast by three cents. Those headline numbers seem solid, but is its stock worth buying this year?
Image source: Uber.
What happened to Uber over the past year?
Over the past year, Uber's MAPCs and trips grew at a steady rate as its growth in gross bookings (the total delivery of all trips and deliveries booked on its platform) accelerated.
|
Metric |
Q1 2025 |
Q2 2025 |
Q3 2025 |
Q4 2025 |
Q1 2026 |
|---|---|---|---|---|---|
|
MAPCs Growth (YOY) |
14% |
15% |
17% |
18% |
17% |
|
Trips Growth (YOY) |
18% |
18% |
22% |
22% |
20% |
|
Gross Bookings Growth (YOY) |
14% |
17% |
21% |
22% |
25% |
|
Revenue Growth (YOY) |
14% |
18% |
20% |
20% |
14% |
Data source: Uber Technologies. YOY = Year-over-year.
That acceleration was driven by its mobility segment's growing user base, more frequent trips per user, its suburban expansion in several cities, and its overseas growth. Uber Eats' delivery business also continued to expand with more grocery and retail delivery features.
Uber One, its subscription-based platform, also reached 50 million subscribers in the first quarter -- up from 30 million members at the end of 2024. Uber claims its subscribers spend three times as much as non-members, creating a flywheel of robust growth.
It's also expanding its higher-margin advertising business with sponsored restaurant listings, merchant promotions, and in-car and in-app ads. In other words, Uber is evolving from a ride-hailing and delivery platform into a local commerce, logistics, and advertising platform.
NYSE: UBER
Key Data Points
Is Uber's stock headed higher?
For the second quarter, Uber expects its gross bookings to grow 18% to 22% year over year in constant currency terms (20% to 24% in reported terms) as its adjusted EPS rises 31% to 38%.
For the full year, analysts expect its revenue and adjusted EPS to rise 12% and 36%, respectively. Those are impressive growth rates for a stock that trades at 22 times forward earnings. Uber has also stayed profitable on generally accepted accounting principles (GAAP) since 2023, so economies of scale are clearly kicking in as it expands its ecosystem.
High oil prices have weighed down Uber's stock this year, but its business is flourishing, and its stock still looks reasonably valued. Therefore, I believe it's still worth buying as a long-term investment this year -- even if it stagnates for a few more quarters.
