Uber vs. Lyft IPO: The Race to Go Public

Uber and Lyft are both revving up for two of the most anticipated IPOs of 2019. In three rounds, we look at which company will be a better bet for investors.

Don’t miss a WSJ video, subscribe here: http://bit.ly/14Q81Xy

More from the Wall Street Journal:
Visit WSJ.com: http://www.wsj.com
Visit the WSJ Video Center: https://wsj.com/video

On Facebook: https://www.facebook.com/pg/wsj/videos/
On Twitter: https://twitter.com/WSJ
On Snapchat: https://on.wsj.com/2ratjSM

You might be interested in

Comment (85)

  1. Uber has a fantastic product but faces a huge amount of regulatory pressure in Europe. Before I invest in them I’d need assurances that TfL (transport for london) will grant a license to operate indefinitely.

  2. I'd much rather be an investor in Lyft, since Uber is way overvalued (relative to Lyft). Many of the Uber investors bought on at the much higher valuation, with Uber's total company value hardly going up over the last 3+ years.

    Either way, both are bleeding money pretty badly with no signal that they can stop it, so I'd ultimately pass on both as an actual investment.

  3. My personal observation from using both, Uber drivers almost always complain about the company, in contrast to Lyft drivers who are 95% of the time are happier with the company.

  4. Tesla and other self driving startups and even Automakers can crush uber if they want to . They can manufacture self driving vehicles and put them in their own network there by making money for themselves and also increasing their valuation rather than building and selling a self driving car to an app like uber.
    Tesla Network is a great oppurtunity if Tesla was able to product 10 million vehicles per year and allocate like 1 million vehicles to the tesla network in the long run , tesla will make uber obsolete . This will be a great business model for electric automakers as electric cars are cheaper to maintain as well.

  5. How can companies that are LOSING money go public… that logically sounds like fraud to me. Good luck IPO investors… the real winners are the VCs and private investors.

  6. Right out of the gate, Lyft offers a larger runway for returns because they are a smaller company without the massive valuation of Uber. Since both of these companies are still in a growth- at- all- costs phase, investors will flock to the company that can grow their top line at a higher multiple. Both are fantastic companies, but the long term winner will come from who can turn an autonomous fleet of vehicles into a profitable model. On that note, watch out for Waymo (Google).

  7. I don't understand how they're not profitable. They have no real capital costs, they're simply an app that functions as a middle man and takes a ridiculous percentage of the fares.

  8. If I was an early investor in either of these two companies I would want to go public as well.I'd want to be cashed out before the market realized that both companies are unsustainable. The volatility of these two stocks will be a traders dream.

  9. Although in my three+ years completing nearly 10,000 trips for Uber and Lyft, I have come to believe that both companies have dramatically short-changed and deceived their drivers, Uber is the company that has made the most significant difference in the way drivers are treated, and just as significantly, in the development of their passenger apps. Lyft passengers, for example, still know almost nothing about their drivers, just the opposite of the Uber passenger app. And Uber has worked hard on it's own mapping system, where Lyft has to rely on only Google maps or the silly Waze system. Sorry, GM, but Uber is winning this race.

  10. Uber's BIG investments in self-driving cars, bikes, drone delivery and robots are very risky because those are businesses without a proven market, no market experience and are guaranteed to cost LOTS more than anticipated. Remember in the early 1980's when Coleco was voted "Company of the Year" by Wall Street when they were producing the fantastically profitable Donkey Kong and Cabbage Patch Kids and then tried to create the Adam Computer for the new personal computer market. Long story short, Coleco "Bet The Company" on the Adam Computer and it never worked properly with its tape drive instead of hard drive. Result: Coleco went bankrupt and is out of business. Stick with what you know and do it better than everybody else at an affordable price.



Your email address will not be published.