Research Market strategy
By Swissquote Analysts
Published on 08.11.2023
Morning news

Uber Sales Rise as Bookings Grow 21% and Ride-Hailing Revenue Jumps 33%

Topic of the day

Uber Technologies reported third-quarter revenue below Wall Street expectations on Tuesday, but earnings above the consensus call. Uber (ticker: UBER) reported third-quarter earnings of 10 cents a share on revenue of $9.29 billion. Analysts surveyed by FactSet were expecting the ride-share company to post earnings of 7 cents a share on revenue of $9.54 billion. In the same period last year, Uber posted a loss of 61 cents a share on revenue of $8.34 billion. The company also reported third-quarter gross bookings of $35.3 billion, above Wall Street estimates of $34.6 billion and an increase of 21% from last year’s $29.1 billion. “Our relentless focus on improving the product experience for both consumers and drivers continued to power profitable growth,” Chief Executive Dara Khosrowshahi said in a press release. The company’s ride-hailing, or mobility segment, saw revenue jump 33% from the prior year to $5.1 billion as trip volumes increased. The delivery segment, or Uber Eats, revenue gained 6% year over year. Freight revenue, however, declined 27% from the prior year to $1.3 billion.

Swiss stocks

The Switzerland market ended slightly down on Tuesday after stocks swung between gains and losses amid alternate bouts of buying and selling right through the day's session. Investors largely made their moves, tracking quarterly earnings updates. The benchmark SMI, which moved in a very tight range, ended with a loss of 5.72 points or 0.05% at 10,571.03. The index touched a low of 10,567.45 and a high of 10,617.44. Sonova ended 1.82% down. Swisscom settled lower by 0.89%. Richemont, Geberit, Swiss Life Holding and Zurich Insurance Group lost 0.4 to 0.6%. UBS Group gained 1.83% after reporting stronger-than-expected client inflows and progress in meeting cost-saving goal. Logitech International climbed 2.06%. Sika, Givaudan and Partners Group gained 0.5 to 0.62%. In the Mid Price Index, Dufry, AMS, Julius Baer and VAT Group lost 2.2 to 2.8%. Meyer Burger Tech, Adecco and Clariant declined 1.4 to 1.7%, while Helvetia ended lower by 0.81%. Shares of Watches of Switzerland Group soared 12.5% after the luxury watch retailer reported higher revenues in its second quarter and said it expects to more than double sales and profits by fiscal 2028. Georg Fischer, Temenos Group and SIG Combibloc gained 1.3 to 1.5%, Schindler Ps advanced 1.1%, while Schindler Holding, Belimo Holding, Swatch Group and Flughafen Zurich posted moderate gains.

International markets


European stocks closed lower on Tuesday amid concerns about global economic slowdown, and continued uncertainty about the outlook for interest rates. The pan European Stoxx 600 ended down 0.16%. The U.K.'s FTSE 100 edged down 0.1% and France's CAC 40 drifted down 0.39%. Germany's DAX crept up 0.11%, while Switzerland's SMI ended 0.05% down. Among other markets in Europe, Austria, Belgium, Finland, Greece, Ireland, Norway, Portugal, Poland, Sweden and Turkiye closed weak. Denmark, Iceland and Russia ended higher, while Netherlands and Spain closed flat. In the UK market, Anglo American and Antofagasta ended down 3.7% and 3.2%, respectively. Glencore, BP, Centrica, Rio Tinto, Royal Dutch Shell, Hikma Pharmaceuticals and Standard Chartered lost 1.6 to 2.2%. Associated British Foods rallied more than 7% after reporting a 5% increase in annual profit and declaring a special dividend. Persimmon climbed 6% after raising its guidance for new home completions. Barratt Developments, Natwest Group, Croda International, The Sage Group, Segro, Just Eat, CRH, Taylor Wimpey, Experian, JD Sports Fashiion, Next, Carnival and Easyjet gained 1.5 to 3%. In the German market, Daimler Truck Holding ended more than 4% down. Fresenius Medical Care, BMW, Continental, Deutsche Bank, Mercedes-Benz, Volkswagen, Allianz and Porsche lost 0.7 to 1.7%. Deutsche Boerse surged nearly 4%. Vonovia and SAP gained 2.5% and 2.3%, respectively. Puma, Zalando, Infineon, Merck and Qiagen advanced 1 to 1.6%. In Paris, Edenred declined more than 4%. Renault ended lower by about 3.4%, while Unibail Rodamco, TotalEnergies, Alstom, Stellantis, AXA, ArcelorMittal, BNP Paribas and WorldLine lost 1 to 2%.

United States

Wall Street’s winning streak continued Tuesday, with shares of technology firms and companies that depend on discretionary consumer spending lifting major stock indexes. The Nasdaq Composite led the way, climbing 0.9%, in its eighth straight daily gain and its longest streak in two years. The tech-heavy index is now up 30% on the year. The S&P 500 and Dow Jones Industrial Average extended their runs of consecutive daily gains to seven. The S&P 500 rose 0.3% to bring its year-to-date climb to 14%. The Dow Jones added 0.2%, or about 57 points, to nudge its 2023 gain to 3%. Microsoft added 1.1% to close at a fresh all-time high of $360.53. Up 50% on the year, it has a market cap now at $2.68 trillion, second only to Apple, which rose 1.4% to end Tuesday with a stock-market value of $2.83 trillion. Todd Gervasini, founder and chief investment officer at Wakefield Asset Management, said he’s positioning the Denver firm’s clients for an eventual narrowing of the performance gap between the tech giants and the rest of the stock market. Corporate earnings reports continued to help fuel the rally. Investors cheered quarterly results from window and door maker Jeld-Wen Holding, up 18%, and software firm Datadog shot up 28%. Planet Fitness shares gained 13% after it said 110,00 net new members flooded its gyms in the summer quarter and that it was testing raising its base monthly membership rate to $15, from $10 in some markets. Cybersecurity firm Gen Digital paced the S&P 500, rising 8.5%, after quarterly sales topped analysts’ estimates.


The East Asian and Australian stock exchanges were mostly down in late trading on Wednesday. The HSI in Hong Kong and the Shanghai Composite both lost 0.3 per cent. Government agencies are promising adjustments to legislation in order to boost investor confidence. Meanwhile, traders prefer economic stimuli after the previous day's weak export data, according to reports.


U.S. treasurys also continued to rally. The yield on 10-year notes fell to 4.57%, down from 4.662% Monday and 5% last month. Yields fall as prices rise.


Dt. Bank lowers the Solvay target to EUR 124 (130) – Buy
JPM lowers the Aroundtown target to EUR 2.35 (2.90) / Neutral – Trader
Dt. Bank lowers the Diageo target to 2,750 (2,950) p – Sell

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