Jim Cramer Says The Time Is Right To Start A Position In Uber

CNBC’s Jim Cramer said on Monday that he loves Uber, suggesting that the investment case for the ride-hailing and food-delivery service company now holds more positives than negatives.

“You’ve been blessed to me to take a small position in Uber; you can buy more on the weakness if the stock rebounds if Nasdaq likes to test its lows too,” he said. “Mad Money” said the presenter.

“Just remember, I expect the investor meeting a month from now to be a huge positive catalyst,” added Cramer, referring to the event. scheduled for 11 a.m. ET on February 10. It will come the day after Uber releases its fourth-quarter and full-year financial results.

Cramer admits that Uber isn’t necessarily a good fit for main shopping theme for 2022, i.e. investing in companies that produce tangible goods and generate real profits. However, he said he believes Uber’s “pivot to profitability is happening at the right time” given the possibility that the Federal Reserve will raise interest rates.

“I told you to avoid stocks that trade at multiples of sales, not earnings,” says Cramer. because the Uber’s ride-hailing business as people travel more and go out for fun following the Covid-related slowdown.

Uber Eats’ success in the pandemic It also looks more sustainable, says Cramer, citing reduced competition in the app-based food delivery market.

“Uber isn’t a loser. You still have regulatory risks and omicron risks. If the omicrons persist, that could hinder ride-sharing recovery, but I think they do. We’ve reached a point where the positives now outweigh Cramer’s say.

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