Rosenblatt sees Uber as having strong long-term growth potential as AI becomes more widely used in software development.
- Rosenblatt set a $100 price target for Uber and sees the recent stock decline as an attractive entry point.
- The firm views autonomous vehicles as a longer-term concern while expecting Uber’s core businesses to support sustainable growth.
- Uber is rapidly adopting AI agents for software development, with over 70% of pull requests involving AI.
Uber Technologies Inc. (UBER) stock moved higher overnight after Rosenblatt initiated coverage with a ‘Buy’ rating, calling Uber a “durably compounding platform” and seeing roughly 32% upside. The bullish view comes as Uber increasingly integrates AI into software development, with AI agents involved in more than 70% of pull requests.
Rosenblatt Sees 32% Upside In Uber
Rosenblatt set a $100 price target for Uber, suggesting the stock could rise about 32% from its latest closing price. The firm believes Uber’s recent stock weakness has created a good buying opportunity for investors who expect steady growth over time.
One of the biggest questions surrounding Uber involves the potential impact of autonomous vehicles on its business model. Rosenblatt views that debate as a longer-term issue rather than an immediate threat to the company’s financial performance.
The firm said several factors could help Uber grow in the coming years, support steady growth and strengthen its core businesses, including ride-hailing, food and grocery delivery. Earlier this month, Uber Japan said it is partnering with Hinomaru Kotsu to manage its Tokyo robotaxi pilot, set to launch later this year.
Additionally, Pony AI and Uber plan to deploy more than 2,000 robotaxis across Europe, expanding their partnership beyond Zagreb to four additional cities, with plans to enter the Middle East.
Uber Technologies stock inched 0.3% higher overnight, ahead of Tuesday, after a 4% drop in the regular session.
Uber’s AI Agents Are Taking Over Software Work
Last week, Uber said in a blog post that it is rapidly shifting from traditional developer workflows toward an AI-driven software operation, with autonomous agents increasingly handling coding, testing, debugging and other engineering tasks.
More than 70% of Uber's pull requests now involve AI agents, while engineers have created more than 3,600 specialized agent skills. The company is also processing over 30,000 agent-skill executions each day, highlighting how quickly AI has moved into routine software work.
From February through August, weekly active users of Uber's AI offerings increased sevenfold across both technical and nontechnical employees. Uber said its efficiency efforts have reduced AI usage costs. With the model held constant to isolate optimization gains, the company recorded an almost 34% drop in cost per 1,000 requests from its peak.
UBER Stock: Retail View
On Stocktwits, retail sentiment around the stock remained in ‘bearish’ territory.
A user said, “$UBER sitting right in the buy zone. Gross bookings still >20% growth, Delivery Hero deal, and AV partnerships expanding to more cities. Good on scale and cash generation but risky on AV margin dilution and competition.”
UBER stock has declined 7% year-to-date.
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