Nordea Investment Management Boosts Stake in Uber Technologies by 105.9%

Nordea Investment Management AB has significantly increased its investment in Uber Technologies, Inc. by acquiring an additional 2,807,967 shares, representing a boost of 105.9% during the second quarter of 2023. According to the firm’s latest 13F filing with the Securities and Exchange Commission, Nordea now holds a total of 5,459,829 shares, valued at approximately $506.6 million.

This acquisition positions Nordea Investment as a notable stakeholder, with its holdings accounting for around 0.26% of Uber’s total shares. The move follows a broader trend among institutional investors, with several hedge funds adjusting their stakes in Uber as well.

Other Institutional Investors Adjust Holdings

Brighton Jones LLC increased its stake by 3.4% in the fourth quarter, now owning 74,460 shares worth $4.5 million after acquiring an additional 2,474 shares. Similarly, Revolve Wealth Partners LLC raised its holdings by 65.0%, bringing its total to 15,563 shares, valued at $939,000, after adding 6,129 shares. Bison Wealth LLC also expanded its share count by 20.3%, now holding 3,792 shares valued at $229,000.

GAMMA Investing LLC made a dramatic increase, raising its holdings by 319.6% in the first quarter, now owning 22,753 shares worth $1.7 million. Wealth Enhancement Advisory Services LLC also increased its stake by 44.4%, owning 217,196 shares valued at $15.8 million.

Institutional investors collectively own 80.24% of Uber’s stock, reflecting strong confidence in the ride-sharing company.

Insider Transactions and Stock Performance

In related news, Uber’s CEO, Dara Khosrowshahi, sold 150,000 shares of the company on September 22, 2023, at an average price of $100.48, generating a total of $15.1 million. Following this transaction, Khosrowshahi holds 982,544 shares, valued at approximately $98.7 million, marking a 13.24% reduction in his ownership.

Additionally, CFO Prashanth Mahendra-Rajah sold 2,750 shares on September 16, 2023, for $273,405. After this sale, he holds 22,528 shares, valued at around $2.2 million, representing a 10.88% decline in his stake.

Over the past three months, insider transactions have resulted in the sale of 601,821 shares, totaling $58.7 million. Currently, insiders own 3.84% of the company’s stock.

Uber’s shares opened at $92.47 on Friday, reflecting a 2.2% decrease. The company has experienced a one-year low of $59.33 and a high of $101.99. With a market capitalization of $192.84 billion, Uber also boasts a PE ratio of 15.75 and a beta of 1.48.

Analysts recently provided positive earnings results, with Uber reporting $0.63 earnings per share (EPS) for the last quarter, exceeding the consensus estimate of $0.61 by $0.02. The company generated revenue of $12.65 billion, surpassing expectations of $12.45 billion, and marking an 18.2% increase compared to the previous year.

As analysts predict an EPS of 2.54 for the current fiscal year, Uber Technologies continues to strengthen its position across its three operational segments: Mobility, Delivery, and Freight, connecting consumers with various transportation options globally.

This strategic investment by Nordea and other institutional entities underscores a growing confidence in Uber’s long-term business prospects as the company navigates the evolving landscape of the ride-sharing and delivery services market.