Uber price target lowered to $122 from $124 at Stifel

Stifel analyst Mark Kelley lowered the firm’s price target on Uber (UBER) to $122 from $124 and keeps a Buy rating on the shares. The firm notes Q3 core topline results were solid though EBITDA came in a little light, a trend mirrored in the Q4 guide. Management’s thoughts that autonomous vehicles won’t be profitable in the next few years likely disappointed some investors, which when paired with a new guidance philosophy and commentary to focus on annual profitability, Stifel believes long-term ROIC is now likely to become a much greater focus for investors. The firm still thinks Uber will be a long-term winner in autonomous vehicles, and is encouraged by positive commentary around the company’s other initiatives.