The so-called FANG group — four beloved tech behemoths that have led much of the bull market — should welcome a new member to the club, and that stock is Uber, according to highly ranked tech analyst Mark Mahaney of RBC Capital Markets.
Mahaney introduced the acronym "FANGU," adding Uber, his top idea in the sector, to Facebook, Amazon, Netflix and Google's parent Alphabet. He sees more than 50% upside to Uber's stock from current levels, betting on "very large market opportunities" and a path to profitability.
The ride-hailing company on Thursday reported a narrower-than-expected quarterly loss and said it will deliver a first-ever quarterly profit by the end of the year. Shares of Uber surged more than 6% in premarket trading Thursday, bringing their gain this year to almost 30%.