Uber Technologies Inc (UBER) made a rally that resulted in an all-time high (ATH) following the completion of their acquisition of Postmates, a private enterprise. This acquisition has improved the already successful and giant company.
On the other hand, UBER has miserably failed in its home delivery enterprise.
New UBER Venture
The Postmates acquisition was first announced in the month of July and it was unexpected that the deal will be sealed before the first quarter in the approaching year of 2021.
Nonetheless, the Department of Justice provided a green signal to UBER in the month of November following the reversal of the law with the help of the voters in California. This forced the free and individual drivers to take up the designation of being employed by the company.
There is some sort of mystery regarding the payment procedure by Uber or if the payment remains to be completed that was advertised to be $2.65 billion for the transaction of all-stock.
The company is yet to announce their subordinate offering, however, the estimates for the month of July is approximately 84 million shares that will be required for complete equity.
The consensus of Wall Street issued a rating of “strong-buy”. None of the analysts have recommended that the shareholders must close their existing positions and then shift to the side-lines.
The target prices of UBER are presently ranging between $41 low and a high of $65 and the stock will be opening during the session of Thursday with a target of $53 median price.
The stock of Uber has gained after the drivers have continued through with the independent contractors.