12 Best Stocks Under $100 to Buy According to Hedge Funds

2. Uber Technologies Inc. (NYSE:UBER)

Share Price as of April 22: $72.92

Number of Hedge Fund Holders: 166

Uber Technologies Inc. (NYSE:UBER) develops and operates proprietary technology applications in the US, Canada, Latin America, Europe, the Middle East, Africa, and the Asia Pacific. It operates through three segments: Mobility, Delivery, and Freight. The company was formerly known as Ubercab Inc. and changed its name to Uber Technologies Inc. in February 2011.

The company’s progress in the AV space, particularly its partnership with Waymo, positions it well for the future of transportation. Jefferies analyst John Colantuoni recently kept a Buy rating on the stock with a price target of $90. Similarly, Needham and TD Cowen also previously gave the company Buy ratings with respective price targets of $90 and $88.

Analysts believe in the competitive advantage of the company, especially its strategic position in the global mobility and delivery markets, as well as its lower wait times. During Q4 2024, Uber Technologies Inc. (NYSE:UBER) grew its gross bookings by 18% year-over-year. This resulted in the revenue growing 20% during the same time to reach $12 billion.

Hardman Johnston Global Equity Strategy remains bullish on the company while acknowledging the current macroeconomic headwinds. The firm stated the following regarding Uber Technologies Inc. (NYSE:UBER) in its Q4 2024 investor letter:

“During the quarter, we initiated three new positions in Lennar Corporation, Bank of America Corp., and Uber Technologies, Inc. (NYSE:UBER). Uber is a leading platform company that facilitates ride-hailing, food delivery, and freight booking services, which each represent large and underpenetrated markets. Uber is active in more than 10,000 cities and approximately 70 countries globally, and Uber is a market leader with more than 65% market share in nearly all ride-sharing regions in which it operates. Uber should continue to benefit from secular tailwinds, product innovation, expansion, and network effects. The cross-selling of the Uber One membership program should drive both loyalty and engagement. International markets represent half the business and continue to be an important growth driver. Overall, we see sustained healthy topline growth for the company over the next three years with some insulation to global economic trends.”