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Uber afaik runs at a relative high loss at the moment. You'll find a bunch of articles on this topic by searching for their last quarters report. As far as I u
by c0balt 5y ago
Uber afaik runs at a relative high loss at the moment. You'll find a bunch of articles on this topic by searching for their last quarters report.
As far as I understandincrease in interest rates could make them running at a profit hard/ very unlikely in the future because covering high-interest loans will become hard. Further, it potentially could limit their cashflow, which impacts growth etc.
Many other factors, such as new investemnts or a decrease in individual travel, could influence this too of course. Though for a growth-centric company a limit on credit seems to be one of the harshest limitations.
- weatherlite 5y agoAlso, high interest rate means investors can invest by buying bonds (and earning the interest) instead of investing in high risk growth companies. It's basically bad for stocks in general and particularly for growth stocks.