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Uber (NYSE: UBER) closed up 5% Wednesday at $ 45 a share, trading for the first time since its launch on May 10 at its original price.
The stimulus comes one day after the end of the lean period for the dozens of investment banks that subscribed Uber's IPO. That is, Uber's share price has risen since a number of positive purchase ratings and analyst reports were released this week.
Uber raised $ 8.1 billion in early May, reaching an initial market capitalization of about $ 70 billion. Uber's IPO was seen by many as a failure, after its stock price was not published on the first trading day, opening at a paltry price of $ 42 each. Uber was previously valued at $ 72 billion by venture capitalists after collecting billions of dollars in 10 years.
Over the past four weeks, Uber's share price has remained relatively stable, fluctuating between $ 40 and $ 43 per share.
In his first note on the company, Raymond James analyst Justin Patterson wrote that Uber would be a leader in the "off-line period" and set him a $ 50 course goal.
"Unlike traditional Internet companies, Uber is a digital application driving offline behavior," said Patterson of CNBC. "This raises costs in the early years, but probably creates a more defensible position in the long run."
In addition, Uber released its first earnings report last week, reporting losses of $ 1 billion in the first quarter of 2019 for a $ 3.1 billion business. The figures were in line with expectations, with analysts forecasting an adjusted net loss per share of 76 cents on a profit of about $ 3.1 billion.
"Earlier this month, we took an important step toward becoming a public company. We are now focusing on our strategy to become a one-stop shop for local transportation and commerce, "said Uber chief Dara Khosrowshahi. in a statement regarding the profits of the company. "In the first quarter, the engagement on our platform was higher than ever, with an average of 17 million trips per day and a gross annualized takeover rate of $ 59 billion."
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