RBC Capital analysts provided a review of Uber Technologies, Inc. (NYSE:UBER) following their quarterly driver supply analysis, which yielded more positive indications for the company than negative.
Their findings indicate the company expanded its pick-up time advantage vs. Lyft (a tailwind for conversion), it maintained a driver compensation advantage vs. Lyft and its driver utilization continued showing better improvement vs. Lyft (a possible encouraging output of up-front pricing).
According to the analysts, their thesis of Uber’s structural advantage making it their pick in the space remains intact and incrementally, they like the risk/reward for Uber on Lyft potentially reducing focus on certain loss-making markets in order to achieve better profitability.