Uber Technologies Inc. (UBER) shares dropped significantly in pre-market trading on Wednesday, plunging 5.69%. The ride-hailing giant's stock was under pressure ahead of its fourth-quarter earnings report, scheduled for release before the market open.
Analysts are expecting Uber to report earnings of 50 cents per share on revenue of $11.77 billion, according to estimates. While revenue is projected to have grown around 18% year-over-year, net income is anticipated to have declined by 27% to $1.04 billion.
Investors appear concerned about Uber's path to profitability and growth prospects. The company has faced increasing competition in the ride-sharing space, including from autonomous vehicle companies like Waymo and Tesla. There are lingering doubts about the timeline and public adoption of autonomous vehicles, which could both present opportunities and risks for Uber.
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