Uber Slumps Over 5% on Tepid Outlook: ETFs in Focus

Uber reported better-than-expected revenue in its fourth-quarter earnings report on Feb. 4 before market open, but softer profit guidance for the current period weighed on sentiment. Shares fell about 5% following the announcement.Inside the ResultsUber reported mixed fourth-quarter 2025 results, wherein earnings missed the Zacks Consensus Estimate while revenues surpassed the mark. Quarterly earnings per share (EPS) of 71 cents missed the Zacks Consensus Estimate of 79 cents and declined 77.8% year over year.Higher taxes and initiatives aimed at offering more affordable rides to attract users and increase bookings weighed on profitability. Uber reported 202 million monthly active platform consumers during the fourth quarter, up 18% year over year.Total revenues of $14.3 billion outpaced the Zacks Consensus Estimate of $14.2 billion. The top line jumped 20.1% year over year on a reported basis and 19% on a constant currency basis.Mobility and Delivery Drive GrowthUber’s mobility segment, which includes its ride-hailing platform, generated revenue of $8.2 billion, up about 18% year over year on a constant currency basis. Delivery revenue climbed 29% to $4.9 billion. Analysts were expecting mobility revenue of $8.3 billion and delivery revenue of $4.72 billion, according to StreetAccount, as quoted on CNBC.Gross Bookings Beat ExpectationsUber reported gross bookings of $54.1 billion for the quarter, exceeding the average analyst estimate of $53.1 billion, according to StreetAccount, as mentioned on CNBC.Delivery Business: A Key Growth DriverThe company’s strongest revenue growth came from its delivery business, which has expanded beyond restaurants into groceries and retail. Partnerships with OpenTable, Shopify, and several retail brands outside the country contributed to expansion.UBER’s 1Q26 GuidanceFor the first quarter, gross bookings are expected to rise at least 17% year over year to between $52 billion and $53.5 billion.Adjusted EPS is expected to be in the range of $0.65-$0.72, reflecting year-over-year growth of 37% at the midpoint. The Zacks Consensus Estimate is pegged at 76 cents per share.ETF Impact Uber is heavy on exchange-traded funds (ETFs) like Roundhill UBER WeeklyPay ETF UBEW, iShares US Transportation ETF IYT, Roundhill Robotaxi, Autonomous Vehicles & Technology ETF CABZ and Pathfinder Focused Opportunities ETF PFOE. UBEW lost 7.1% on Feb. 4, IYT gained 1.5%, CABZ lost 1.8% and PFOE was off 0.5% on the day. Boost Your Portfolio with Our Top ETF InsightsZacks' exclusive Fund Newsletter delivers actionable information, top news and analysis, as well as top-performing ETFs, straight to your inbox every week.Don’t miss out on this valuable resource. It’s free!Get it now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report iShares U.S. Transportation ETF (IYT): ETF Research ReportsThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks