11 Best Gig Economy Stocks to Buy According to Hedge Funds

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

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Uber Technologies, Inc. (NYSE:UBER) offers ride-sharing and ride-hailing services through its platform. The company has the largest market share in its sector and massively supports the gig economy. The company maintains a strong position in the global and U.S. ride-hailing markets, sharing over 25% of the global market and a massive 76% share in the U.S. market. Uber’s massive network of over 171 million users and its large pool of drivers solidifies its position as a market leader.

On February 6, Cantor Fitzgerald analyst Reni Benjamin maintained an Overweight rating on UBER shares with a price target of $80. The analyst maintained this rating following the company’s strong results in Q4 2024. Uber Technologies, Inc. (NYSE:UBER) reported a significant rise in its Gross Bookings, which posted a year-over-year growth of 18% to $44.2 billion. The company’s Q4 2024 revenue reached $12 billion, exceeding the analyst estimate of $11.76 billion, driven by record demand in both the Mobility and Delivery segments. In addition to that, a remarkable increase of 122% year-over-year in FCF reflects Uber’s strong cash generation capabilities.

While we acknowledge the potential of UBER to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than UBER but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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