Uber stock achieved a major milestone (of sorts) on Wednesday: its stock closed at its IPO price of $45 for the first time since the offering nearly a month ago. (At one point the stock actually rose above the IPO level—shock—to $45.66). The rally followed a deluge of positive Wall Street analyst research reports earlier this week. CNBC reported on Tuesday that of 25 analysts, all thought the stock was a buy or a hold—none saw it as a sell. Given how low the stock is trading relative to earlier expectations, that’s not a surprise. But for Uber, it counts as good news. And some of the analysts were particularly upbeat: Cowen & Co, for instance, put a target price on Uber of $58. Score one for Uber’s investor relations team.
It likely helps that the market, after jitters in recent weeks over Trump’s trade wars, has recovered somewhat thanks to signals that the Fed might cut interest rates. That can’t be the full story though, as the Nasdaq is down 4.3% since the Uber offering while the stock is up from its first day of trading, when it closed at $41.60. Other positive signs may have been news that Uber is now using its main app to drive business at Uber Eats. Whatever the cause, Uber still has a long way to go to justify the once-sky high hopes of private investors.