|Bid||0.00 x 1100|
|Ask||0.00 x 900|
|Day's Range||142.25 - 145.82|
|52 Week Range||42.24 - 154.80|
|Beta (3Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||130.25|
Earlier this month, I wrote a bullish article on Uber (NYSE:UBER) stock. My thesis was simple. The Uber IPO was a dud because of short-term timing issues.Source: Shutterstock Those timing issues won't hang around forever. Once they pass - and they will pass quickly - investors will shift their focus to the long-term growth outlook of Uber. That long-term growth outlook is quite robust. As a result, once the Street begins focusing on the company's fundamentals, Uber stock will become a winner. * 7 Safe Stocks to Buy for Anxious Investors That has already happened. Uber stock dropped 20% below the Uber IPO price just a few days after the IPO. But, over the past ten days, Uber stock has rallied back to levels not far below the Uber IPO price.InvestorPlace - Stock Market News, Stock Advice & Trading TipsUber stock has rallied as timing issues faded and investors became more interested in growth stocks again.For several reasons, the strength of Uber stock will continue. Those reasons are outlined below. The Growth Trade Is BackFrom a macro perspective, growth stocks are back in favor, and that will help Uber stock price head higher.The Uber IPO occurred at a bad time. Investors were shying away from growth stocks amid rising international trade tensions. Their concern was that new tariffs, if in place for a long time, would simultaneously slow U.S. economic growth and raise prices and inflation. Higher prices would force the Fed to come off the sidelines and hike rates. In a slowing economy with rising rates, growth stocks don't do well.But the market has quickly moved past those issues. Concerns about trade were overstated, as many of the tariffs imposed by President Trump have grace periods and delays, implying that both sides still want to get a deal done soon. Meanwhile, the U.S. economy really isn't slowing by much, as first-quarter sales and earnings have been way stronger than expected. Additionally, inflation remains muted, so the Fed will stay on the sidelines.In other words, we are still in the midst of a strong economy with muted inflation. That environment is a dream combination for growth stocks. As a result, growth stocks will remain in favor, and that will help Uber stock price. Employees Won't Sell Uber StockAn important determinant of the performance of stocks that have recently gone public is insider sentiment. Specifically, skeptics often think that insiders use IPOs to unload shares to public investors, so that the insiders can sell their shares at favorable prices. Insider selling, in turn, pressures stocks, ultimately causing them to head lower.That may have happened to Uber stock during its first few days of trading. It's tough to tell. But the important thing is that the phenomenon probably won't last much longer.According to a survey by Blind, nearly 80% of Uber's employees believe that Uber stock is undervalued, while only 8% think it is overvalued. Employees own a great deal of Uber stock. There are lock-up periods and other restrictions which will prevent them from selling some of their shares anytime soon. But the fact that only 8% of employees think Uber stock is overvalued implies that, at these levels, there won't be much insider selling pressure.Without that insider selling pressure, buyers should remain in control of Uber stock price. Profitability Concerns Are OverstatedThe biggest knock against Uber stock is the amount of red on the company's income statement. The company generates billions of dollars in net losses every year, and its cash burn rate hasn't really improved all that much. Plus, it's facing big-time competition in the ride-sharing market, and that competition ultimately caps how high Uber's margins can go.But these profitability concerns are overstated.Here's a long list of stocks from the past few years which were all unprofitable at the time of their IPOs: Shopify (NYSE:SHOP), Square (NYSE:SQ), Roku (NASDAQ:ROKU), MongoDB (NASDAQ:MDB), and Okta (NASDAQ:OKTA). All of those stocks are up by tremendous amounts since their IPOs, mostly because their margins have risen as their businesses have grown, and, as a result, they are either already producing or are on the verge of producing sizable profits.Uber will be no different. Its gross margins are positive and climbing. Its operating-spending rate is falling and will continue to drop as its business grows. Thus, as Uber's gross margin rate rises and its operating-spending rate falls, it's only a matter of time before Uber becomes profitable. Uber's Long-Term Growth Opportunity Is TremendousThe biggest reason to buy and hold Uber stock for the long run is that this company is just scratching the surface of its global-growth potential.Uber is the global ride-sharing king. But ride-sharing currently accounts for only a few percentage points of global vehicle-based transportation. Current trends imply that ride-sharing should eventually become at least 20%- 30% of the global vehicle-based transportation market. A few of those current trends are as follows: * The coordinated economy. Read more about it here. * There are simply too many cars on the road. Population growth and urbanization will only aggravate traffic headaches. Lowering the volume of cars on the road through ride-sharing services simply makes sense, and will make transportation more convenient. * Ride-sharing can expand into new vertical markets, including transportation of goods and food. * The goods and food transportation verticals are primed for tremendous growth, thanks to the increased popularity of ordering food and clothes from home.All in all, the ride-sharing economy should grow by leaps and bounds over the next several years. Uber is the leader of multiple vertical markets within the global ride-sharing economy. As long as the company maintains this leadership position (and it should because of its unparalleled liquidity network effects), then Uber should continue to grow rapidly over the longer term, boosting Uber stock price in the process. The Bottom Line on Uber StockThe Uber IPO was a dud because of macro economic worries. Those concerns have faded. Now Uber stock is in the early stages of a long-term uptrend. If you bought the dip of Uber stock, hold onto it. If you didn't buy the dip previously, look to purchase the shares on any further weakness. This stock will be a long-term winner.As of this writing, Luke Lango was long UBER, SHOP, SQ, ROKU, MDB, and OKTA. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Safe Stocks to Buy for Anxious Investors * 4 Tech Stocks Looking Vulnerable * Should You Buy, Sell, Or Hold These 7 Hot IPO Stocks? Compare Brokers The post 4 Reasons to Buy Uber Stock on Weakness appeared first on InvestorPlace.
While trade war hobgoblins may continue to haunt stocks this summer, we must consider the possibility that the recent market drop was a ruse. And by ruse, I mean a temporary pullback designed to scare the children before the market powers to new heights. In any case, there are still plenty of strong stocks to buy.Indeed, some escaped the market jitters with uptrends intact and new highs in reach. One recurring theme of the best stocks to buy on my watchlist is software. Today's trio of breakouts all hail from the same sector and industry. They boast growth metrics that Wall Street has been rewarding with big-league gains, and I see no reason why the gravy train won't continue.If anything, the recent turmoil has allowed sweet-looking bullish patterns to develop in these names providing lower risk entries for new trades.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks to Sell Before They Tank Your Portfolio Let's take a closer look at some notable software stocks to buy now. Shopify (SHOP) Click to Enlarge Source: ThinkorSwim 2019 is turning into a banner year for Shopify (NASDAQ:SHOP). The Canadian-born e-commerce company is up 96% year-to-date and boasts one of the best looking price trends on the planet. Last month's earnings announcement threw gasoline on the fire, sparking a resurgence in momentum.Last week's pullback was met by aggressive buyers at the rising 20-day moving average. The three-day follow through we've seen since has been relentless. And this morning's jump is pushing SHOP stock to a new record high.Throw it all together, and SHOP remains one of the best stocks to buy on the Street. If the price tag gives you pause, then consider using bull call spreads such as the July 270/290, which you can buy for around $9. MongoDB (MDB) Click to Enlarge Source: ThinkorSwim MongoDB (NASDAQ:MDB) scored one of the cleanest looking breakouts in the market yesterday. It cleared the descending trendline that has defined its behavior for the past two months. The resistance breach signals MDB stock is done resting and is ready to rise anew.The gap and run following its March earnings release shows buyers are willing to chase the stock at any price. It takes some serious firepower to push a $100 stock to $155 stock in a little over a week. And if yesterday's pop and this mornings follow through is any indication, I think we're going to see another strong push to new highs. * Top 7 Dow Jones Stocks of 2019 -- So Far Implied volatility is juiced for MDB options so if you're using derivative for your bet, try bull puts. You can sell the Jun 130/125 bull puts for $1.25 credit. Okta (OKTA) Click to Enlarge Source: ThinkorSwim Okta (NASDAQ:OKTA) is a San Francisco-based cloud software company that is up 73% year-to-date. Its shares barely budged during last week's market plunge, and it is breaking to record highs as I type. It has a long history of rewarding breakout buyers, and I suspect this morning's resistance breach will prove no different.With rising 200-day, 50-day and 20-day moving averages, bulls are dominating across all time frames. And volume patterns are largely supporting higher prices with many accumulation days in recent months.Don't overthink this one. The case for higher prices is solid. The next earnings announcement looms on May 30 and is the big X-factor that could disrupt what is otherwise a textbook bullish chart.As of this writing, Tyler Craig didn't hold a position in any of the aforementioned securities. Check out his recently released Bear Market Survival Guide to learn how to defend your portfolio against market volatility. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 10 Stocks to Sell Before They Tank Your Portfolio * Top 7 Dow Jones Stocks of 2019 -- So Far * 5 Low-Priced, High-Potential Tech Stocks to Buy Compare Brokers The post 3 Software Stocks to Buy As They Soar Higher appeared first on InvestorPlace.
The moves come about two months after Reuters reported that the company had hired bankers as it prepared to go public in an IPO and just ahead of the annual DataStax Accelerate conference next week.
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Alibaba's (BABA) fourth-quarter fiscal 2019 results are likely to be driven by strength in core e-commerce business. However, trade tensions and competition remain concerns.
Vishay Intertechnology's (VSH) first-quarter 2019 results are likely to be driven by portfolio strength and strong demand conditions in Americas.
TripAdvisor's (TRIP) first-quarter results are likely to benefit from strong product portfolio and strength in non-hotel business.
Etsy's (ETSY) first-quarter results are likely to benefit from strengthening its platform ecosystem. However, uncertainty regarding global consumer spending remains a concern.
Cognizant Technology Solutions (CTSH) first-quarter 2019 results hurt by sluggish performance of Financial Services and Healthcare segments.
MongoDB (NASDAQ: MDB) has entered an agreement to buy Realm, the company behind the Realm mobile database and Synchronization Platform, for $39 million in cash. What Happened The acquisition is expected ...