We recently published a list of 10 Hottest Mega-Cap Stocks So Far in 2025. In this article, we are going to take a look at where Uber Technologies (NYSE:UBER) stands against other hottest mega-cap stocks so far in 2025.
Many mega-cap stocks have started 2025 with a bang and we’ll be taking a closer look into each of them to learn why they’ve performed so well already.
If you skim the trends in the past two years, it should be clear that it’s worthwhile to look into mega-cap stocks that have gained a lot already. Investors who defied the conventional wisdom and doubled down on the mega-cap stocks last year have outperformed the benchmark index by a wide margin.
We used a stock screener and sorted public companies — those tagged by the screener as trading in the U.S. — with a market capitalization above $100 billion by their year-to-date (YTD) gains.
Will lightning strike again this year and take these stocks even higher by the end of 2025? It’s not rational to paint all these companies with the same brush, so let’s dive into the nitty gritty of each mega-cap stock in this list.
A close up view of a hand holding a smartphone, using a ride sharing app.
Uber Technologies (UBER)
- YTD Total Return: 8.06%
Uber Technologies (NYSE:UBER) has been a rollercoaster ride in the post-pandemic era. It ended 2024 down 2% due to a decline that started in October. The small recovery since then is mainly the reason why it is on this list.
This recovery is due to the announcement of a $1.5 billion accelerated share repurchase program. Uber Technologies (NYSE:UBER) has also partnered with Nvidia to use AI-based simulation to develop autonomous driving technology faster. The partnership with Nvidia also sparked a short-term uptick.
Analysts remain broadly optimistic now. Wolfe Research recently raised Uber’s price target to $92, pointing to “pivotal product growth dynamics” in 2025. Others see an even bigger runway: “The analysts’ sentiment trends are positive, indicating a 40% rise in Uber shares over the next year,” wrote MarketBeat contributor Thomas Hughes, who attributes the bullish view to Uber’s ability to drive “accelerating earnings growth and FCF.”
Several major brokerages — including Bank of America, Citigroup, and Goldman Sachs — have also added the stock to their high-conviction growth lists for 2025.
Overall, UBER ranks 4th on our list of hottest mega-cap stocks so far in 2025. While we acknowledge the potential of UBER as an investment, our conviction lies in the belief that some 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.
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Disclosure: None. This article is originally published at Insider Monkey.
