Uber Earnings Impact and Sector Read-Through

Uber beats on growth but stock drops on profit hit and cautious tone

Summary:

Uber reported strong Q3 growth (revenue up 20% YoY; gross bookings $49.7B) and guided Q4 bookings above Street. But operating profit missed due to a $479M legal/regulatory charge and management flagged that autonomous investments are years from profitability. Shares fell despite the top-line beat.

Winners

Travel Platforms (read-through from robust mobility demand and record trip volumes)

• $BKNG (Booking Holdings) - travel demand proxy tends to benefit when mobility/ride trends are strong.

• $EXPE (Expedia Group) - similar read-through as consumers spend on transport + trips.

Reason: Uber’s highest trip growth since 2023 signals healthy consumer movement and travel activity.

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