Part 9/10:
Evaluating Uber's valuation amid these shifts is crucial. Currently, Uber's stock trades at about 20 times its free cash flow, which some analysts argue is reasonable, especially considering the company's growth trajectory. However, caution is warranted amid the changing competitive landscape. Investors and analysts alike are encouraged to consider the effect that new market entrants like Waymo and Tesla could have on Uber’s long-term growth and profitability potential.
While Uber’s business model remains intact for now, the evolving competition from autonomous vehicles introduces uncertainty. The careful consideration of this competitive environment may suggest a more conservative approach to evaluating Uber's future valuation.