Top 5 Stocks to Buy According to Billionaire Steve Cohen

2. Uber Technologies, Inc. (NYSE:UBER)

Point72 Asset Management’s Stake Value: $491,029,000 

Percentage of Point72 Asset Management’s 13F Portfolio: 2.15%

Number of Hedge Fund Holders: 143

Uber Technologies, Inc. (NYSE:UBER), a mobility-as-a-service provider headquartered in California, is one of the best stocks to buy according to billionaire Steve Cohen. Point72 Asset Management owns almost 11 million Uber Technologies, Inc. (NYSE:UBER) shares, worth $491 million, representing 2.15% of the firm’s total investments. 

In the third quarter of 2021, 143 hedge funds were bullish on Uber Technologies, Inc. (NYSE:UBER), up from 135 funds in the prior quarter. Brad Gerstner’s Altimeter Capital Management is the biggest Uber Technologies, Inc. (NYSE:UBER) stakeholder, with 24.5 million shares worth over $1 billion. 

On November 4, Uber Technologies, Inc. (NYSE:UBER) posted earnings for the third quarter. The company announced a loss per share of $0.07, beating estimates by $0.08. Revenue over the period equaled $4.85 billion, increasing 54.84% year-over-year, topping estimates by $435.63 million.

JPMorgan analyst Doug Anmuth lowered the price target on Uber Technologies, Inc. (NYSE:UBER) to $68 from $72 and kept an Overweight rating on the shares on December 15. Heading into 2022, the analyst believes the internet group is in a stronger position than pre-pandemic levels amid increased digitization of the economy.

Here is what Tollymore Investment Partners has to say about Uber Technologies, Inc. (NYSE:UBER) in its Q3 2021 investor letter:

“Today disruptors are not typically seeking to replace incumbents entirely. Rather, they break the links in the customer journey, in doing so better aligning monetisation with value creation and minimizing externalities. For example, Uber broke the link between hailing a taxi. Uber is a specific example of a business model innovation which separated asset use from ownership. This is hardly a novel idea; it’s called renting. Rental models lend themselves to assets which are expensive and durable, and where usage is infrequent.”