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SPOT vs. UBER: A Head-to-Head Stock Comparison

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Here’s a clear look at SPOT and UBER, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

SPOT’s market capitalization stands at 142.48 billion USD, while UBER’s is 199.48 billion USD, indicating their market valuations are broadly comparable.

With betas of 1.66 for SPOT and 1.39 for UBER, both stocks show similar sensitivity to overall market movements.

SymbolSPOTUBER
Company NameSpotify Technology S.A.Uber Technologies, Inc.
CountryLUUS
SectorCommunication ServicesTechnology
IndustryInternet Content & InformationSoftware - Application
CEODaniel G. EkDara Khosrowshahi
Price709.15 USD95.39 USD
Market Cap142.48 billion USD199.48 billion USD
Beta1.661.39
ExchangeNYSENYSE
IPO DateApril 3, 2018May 10, 2019
ADRNoNo

Historical Performance

This chart compares the performance of SPOT and UBER by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

SPOT vs. UBER: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

SPOT

22.57%

Internet Content & Information Industry

Max
42.68%
Q3
9.10%
Median
3.28%
Q1
-14.17%
Min
-26.11%

In the upper quartile for the Internet Content & Information industry, SPOT’s Return on Equity of 22.57% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

UBER

69.55%

Software - Application Industry

Max
59.01%
Q3
17.85%
Median
4.73%
Q1
-10.56%
Min
-52.94%

UBER’s Return on Equity of 69.55% is exceptionally high, placing it well beyond the typical range for the Software - Application industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

SPOT vs. UBER: A comparison of their ROE against their respective Internet Content & Information and Software - Application industry benchmarks.

Return on Invested Capital

SPOT

15.89%

Internet Content & Information Industry

Max
31.34%
Q3
14.95%
Median
3.03%
Q1
-6.25%
Min
-25.52%

In the upper quartile for the Internet Content & Information industry, SPOT’s Return on Invested Capital of 15.89% signifies a highly effective use of its capital to generate profits when compared to its peers.

UBER

18.41%

Software - Application Industry

Max
35.07%
Q3
9.72%
Median
0.76%
Q1
-8.68%
Min
-34.12%

In the upper quartile for the Software - Application industry, UBER’s Return on Invested Capital of 18.41% signifies a highly effective use of its capital to generate profits when compared to its peers.

SPOT vs. UBER: A comparison of their ROIC against their respective Internet Content & Information and Software - Application industry benchmarks.

Net Profit Margin

SPOT

7.19%

Internet Content & Information Industry

Max
39.11%
Q3
15.31%
Median
4.00%
Q1
-6.97%
Min
-36.95%

SPOT’s Net Profit Margin of 7.19% is aligned with the median group of its peers in the Internet Content & Information industry. This indicates its ability to convert revenue into profit is typical for the sector.

UBER

27.07%

Software - Application Industry

Max
48.14%
Q3
16.07%
Median
1.83%
Q1
-9.60%
Min
-45.64%

A Net Profit Margin of 27.07% places UBER in the upper quartile for the Software - Application industry, signifying strong profitability and more effective cost management than most of its peers.

SPOT vs. UBER: A comparison of their Net Profit Margin against their respective Internet Content & Information and Software - Application industry benchmarks.

Operating Profit Margin

SPOT

10.51%

Internet Content & Information Industry

Max
42.92%
Q3
15.51%
Median
2.63%
Q1
-6.98%
Min
-18.41%

SPOT’s Operating Profit Margin of 10.51% is around the midpoint for the Internet Content & Information industry, indicating that its efficiency in managing core business operations is typical for the sector.

UBER

8.49%

Software - Application Industry

Max
51.67%
Q3
15.35%
Median
1.79%
Q1
-12.42%
Min
-45.17%

UBER’s Operating Profit Margin of 8.49% is around the midpoint for the Software - Application industry, indicating that its efficiency in managing core business operations is typical for the sector.

SPOT vs. UBER: A comparison of their Operating Margin against their respective Internet Content & Information and Software - Application industry benchmarks.

Profitability at a Glance

SymbolSPOTUBER
Return on Equity (TTM)22.57%69.55%
Return on Assets (TTM)9.19%23.26%
Return on Invested Capital (TTM)15.89%18.41%
Net Profit Margin (TTM)7.19%27.07%
Operating Profit Margin (TTM)10.51%8.49%
Gross Profit Margin (TTM)30.97%39.58%

Financial Strength

Current Ratio

SPOT

1.48

Internet Content & Information Industry

Max
7.37
Q3
3.97
Median
2.42
Q1
1.67
Min
0.33

SPOT’s Current Ratio of 1.48 falls into the lower quartile for the Internet Content & Information industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

UBER

1.02

Software - Application Industry

Max
5.09
Q3
2.84
Median
1.70
Q1
1.12
Min
0.04

UBER’s Current Ratio of 1.02 falls into the lower quartile for the Software - Application industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

SPOT vs. UBER: A comparison of their Current Ratio against their respective Internet Content & Information and Software - Application industry benchmarks.

Debt-to-Equity Ratio

SPOT

0.34

Internet Content & Information Industry

Max
0.55
Q3
0.49
Median
0.14
Q1
0.03
Min
0.00

SPOT’s Debt-to-Equity Ratio of 0.34 is typical for the Internet Content & Information industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

UBER

0.51

Software - Application Industry

Max
1.85
Q3
0.77
Median
0.18
Q1
0.05
Min
0.00

UBER’s Debt-to-Equity Ratio of 0.51 is typical for the Software - Application industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

SPOT vs. UBER: A comparison of their D/E Ratio against their respective Internet Content & Information and Software - Application industry benchmarks.

Interest Coverage Ratio

SPOT

19.61

Internet Content & Information Industry

Max
26.56
Q3
12.92
Median
3.11
Q1
-5.03
Min
-16.11

SPOT’s Interest Coverage Ratio of 19.61 is in the upper quartile for the Internet Content & Information industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

UBER

7.65

Software - Application Industry

Max
39.23
Q3
8.55
Median
1.48
Q1
-14.59
Min
-39.97

UBER’s Interest Coverage Ratio of 7.65 is positioned comfortably within the norm for the Software - Application industry, indicating a standard and healthy capacity to cover its interest payments.

SPOT vs. UBER: A comparison of their Interest Coverage against their respective Internet Content & Information and Software - Application industry benchmarks.

Financial Strength at a Glance

SymbolSPOTUBER
Current Ratio (TTM)1.481.02
Quick Ratio (TTM)1.481.02
Debt-to-Equity Ratio (TTM)0.340.51
Debt-to-Asset Ratio (TTM)0.170.21
Net Debt-to-EBITDA Ratio (TTM)-1.800.81
Interest Coverage Ratio (TTM)19.617.65

Growth

The following charts compare key year-over-year (YoY) growth metrics for SPOT and UBER. These metrics are based on the companies’ annual financial reports.

Revenue Growth

SPOT vs. UBER: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

SPOT vs. UBER: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

SPOT vs. UBER: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

SPOT

0.00%

Internet Content & Information Industry

Max
8.40%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SPOT currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

UBER

0.00%

Software - Application Industry

Max
3.66%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

UBER currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

SPOT vs. UBER: A comparison of their Dividend Yield against their respective Internet Content & Information and Software - Application industry benchmarks.

Dividend Payout Ratio

SPOT

0.00%

Internet Content & Information Industry

Max
112.27%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SPOT has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

UBER

0.00%

Software - Application Industry

Max
81.09%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

UBER has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

SPOT vs. UBER: A comparison of their Payout Ratio against their respective Internet Content & Information and Software - Application industry benchmarks.

Dividend at a Glance

SymbolSPOTUBER
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio

SPOT

106.32

Internet Content & Information Industry

Max
56.51
Q3
39.89
Median
18.31
Q1
10.09
Min
0.08

At 106.32, SPOT’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Internet Content & Information industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

UBER

16.25

Software - Application Industry

Max
194.31
Q3
98.56
Median
51.87
Q1
22.76
Min
1.02

In the lower quartile for the Software - Application industry, UBER’s P/E Ratio of 16.25 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

SPOT vs. UBER: A comparison of their P/E Ratio against their respective Internet Content & Information and Software - Application industry benchmarks.

Forward P/E to Growth Ratio

SPOT

5.80

Internet Content & Information Industry

Max
4.26
Q3
2.09
Median
0.83
Q1
0.47
Min
0.01

SPOT’s Forward PEG Ratio of 5.80 is exceptionally high for the Internet Content & Information industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.

UBER

0.83

Software - Application Industry

Max
15.44
Q3
6.57
Median
2.78
Q1
0.55
Min
0.00

UBER’s Forward PEG Ratio of 0.83 is within the middle range of its peers in the Software - Application industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

SPOT vs. UBER: A comparison of their Forward PEG Ratio against their respective Internet Content & Information and Software - Application industry benchmarks.

Price-to-Sales Ratio

SPOT

7.51

Internet Content & Information Industry

Max
10.83
Q3
6.47
Median
2.35
Q1
0.97
Min
0.66

SPOT’s P/S Ratio of 7.51 is in the upper echelon for the Internet Content & Information industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

UBER

4.40

Software - Application Industry

Max
23.49
Q3
11.14
Median
5.62
Q1
2.84
Min
0.33

UBER’s P/S Ratio of 4.40 aligns with the market consensus for the Software - Application industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

SPOT vs. UBER: A comparison of their P/S Ratio against their respective Internet Content & Information and Software - Application industry benchmarks.

Price-to-Book Ratio

SPOT

19.84

Internet Content & Information Industry

Max
12.17
Q3
6.35
Median
2.86
Q1
0.91
Min
0.02

The P/B Ratio is often not a primary valuation metric for the Internet Content & Information industry.

UBER

9.08

Software - Application Industry

Max
21.03
Q3
10.49
Median
6.36
Q1
2.89
Min
0.12

The P/B Ratio is often not a primary valuation metric for the Software - Application industry.

SPOT vs. UBER: A comparison of their P/B Ratio against their respective Internet Content & Information and Software - Application industry benchmarks.

Valuation at a Glance

SymbolSPOTUBER
Price-to-Earnings Ratio (P/E, TTM)106.3216.25
Forward PEG Ratio (TTM)5.800.83
Price-to-Sales Ratio (P/S, TTM)7.514.40
Price-to-Book Ratio (P/B, TTM)19.849.08
Price-to-Free Cash Flow Ratio (P/FCF, TTM)46.4425.62
EV-to-EBITDA (TTM)73.3527.90
EV-to-Sales (TTM)7.334.53