Seeking Alpha: Wall Street analysts are optimistic about Uber’s ‎future

The American “Seeking Alpha” website revealed the optimism of Wall Street analysts about the future of the American ride-hailing company Uber.

The report considered that it is possible that the rules announced by the Department of Labor recently on the classification of drivers will have little impact in the near term for Uber. Although the company still faces significant hurdles in achieving sustainable profit growth.

The consensus forecast on Wall Street is favorable, but analysts have always been very optimistic about Uber’s future.

According to the report, a battle is currently underway over the status and rights of temporary workers, and Uber is one of the companies whose results are of great importance. Uber and other temporary work companies rely on the ability to classify their workers as independent contractors rather than employees, which significantly reduces costs, taxes and regulatory oversight for companies. The report notes that it is unlikely that the new rules proposed by the Department of Labor will have immediate consequences for Uber, but the share price took a major hit in the course of these reports. Uber stock closed at $27.53 on Monday, October 10, but fell to nearly $23 on Tuesday, as the market tried to address potential changes to its business models. Uber stock ended the week at $24.71, down 10% from Monday’s closing price.

Last month, a Needham analyst confirmed a “buy” rating for Uber shares and set a target price of $52.00.

Goldman Sachs, in a report released on September 12, also renewed its buy rating for Uber stock with a $45.00 target price.