In line with its efforts to expand in the lucrative self-driving vehicle market, Uber Technologies UBER and Hyundai Motor Group-backed Motional launched a new robotaxi service in Las Vegas. The robotaxi service has been launched using the Hyundai Ioniq 5.
At launch, the service will be offered at select locations along Las Vegas Boulevard. These include rideshare pickup areas at Resorts World Las Vegas and Encore at Wynn Las Vegas, as well as Westgate Las Vegas Resort & Casino. Service will also be available curbside in Downtown Las Vegas and across the Town Square shopping district near the airport, with plans to gradually expand coverage.
Passengers requesting UberX, Uber Electric, Uber Comfort or Uber Comfort Electric may be paired with a Motional robotaxi at no extra charge. If matched, riders will receive a notification and can choose either to accept the robotaxi or switch to a traditional ride. As soon as the robotaxi arrives, riders can unlock the vehicle and begin their journey directly through the Uber app. Once inside, audio prompts will remind passengers to close the doors and fasten their seat belts.
The IONIQ 5 robotaxi, specifically designed for ride-hailing and built for dependable driverless performance, is the result of collaboration between Motional and Hyundai Motor Group. It is among the first SAE Level 4 autonomous vehicles to receive certification under the U.S. Federal Motor Vehicle Safety Standards. In the initial phase, each Motional robotaxi will include a safety operator seated behind the wheel to monitor road conditions. A fully driverless version — without any human operator — is expected to be introduced by the end of the year.
In the United States, Uber already provides robotaxi access in cities like Austin, Phoenix, Dallas and Atlanta via Alphabet’s GOOGL Waymo network. Alphabet’s Waymo is a force to be reckoned with in the evolving and lucrative space. Through its Waymo arm, Alphabet already has commercial operations in several cities across the United States.
Uber’s AV ambitions are gaining real-world traction through scalable, cross-market deployments. While macro risks and regulatory scrutiny remain, Uber’s ability to scale both core businesses (mobility and delivery) and emerging automation initiatives positions it well for long-term growth. Uber is focused on unlocking growth in suburban and low-density markets.
The company teamed up with the Chinese company, WeRide WRD, late last year, to launch robotaxi passenger rides in Dubai on its app. The companies partnered with the country’s Roads and Transport Authority to launch the Dubai robotaxi service. Following the launch, WeRide robotaxis are accessible through the Uber app in areas like Umm Suqeim and Jumeirah, two of Dubai’s most popular tourist districts near public beaches. Uber and WeRide’s robotaxi launch in Dubai came soon after the launch in another UAE city, Abu Dhabi.
UBER’s Share Price Performance, Valuation and Estimates
Shares of UBER have declined in double digits over the past six months. Courtesy of the downbeat performance, UBER’s shares have underperformed the Zacks Internet-Services industry over the same time frame.
6- Month Price Comparison
Image Source: Zacks Investment Research
From a valuation standpoint, UBER trades at a 12-month forward price-to-sales of 2.57X. UBER is inexpensive compared with its industry.
The Zacks Consensus Estimate for full-year 2026 and 2027 has been declining in the past 60 days.
Image Source: Zacks Investment Research
UBER's Zacks Rank
UBER currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They include
Stock #1: A Disruptive Force with Notable Growth and Resilience
Stock #2: Bullish Signs Signaling to Buy the Dip
Stock #3: One of the Most Compelling Investments in the Market
Stock #4: Leader In a Red-Hot Industry Poised for Growth
Stock #5: Modern Omni-Channel Platform Coiled to Spring
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.
See Our Newest 5 Stocks Set to Double Picks >>Alphabet Inc. (GOOGL) : Free Stock Analysis Report
WeRide Inc. (WRD) : Free Stock Analysis Report
Uber Technologies, Inc. (UBER) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
