UBS Bank has increased its price target for Uber Technologies Inc. to $114, indicating a positive outlook on the rideshare and food delivery company.

The stock has risen by 15% in the last three months due to strong market momentum and renewed investor interest following a recent Tesla robotaxi event that refocused attention on Uber.

David Lefkowitz, head of U.S. equities at UBS Global Wealth Management, highlights potential drivers for Uber's growth, including expected interest rate cuts by the Federal Reserve.

UBS emphasizes Uber's role as a significant provider of consumer demand and sees a path to achieving the upper end of its mid-term EBITDA guidance, driven by the expansion of Uber One and platform synergies.

Uber's expansion into ridesharing and food delivery has positioned it as a leading player in both sectors, which have substantial growth potential.

UBS analysts have revised their earnings estimates for 2024 and 2025 upwards, indicating that Uber is currently in a phase where it is advisable to buy, with further growth expected in the future.