Buy Uber shares - how to invest in Uber shares in South Africa

How to buy Uber shares?

Uber is an American technology company developing an app of the same name for smartphones. After the initial issue of shares on May 10, 2019, the company's capitalization amounted to 69 billion US dollars, instead of 76 billion before the initial public offering.

The original name of the company is UberCab. The company was founded by Travis Kalanick and Garrett Camp in San Francisco in 2009. Uber provides intermediary services for taxis and passengers, customers and food companies. Today this public company is represented in about 10,000 cities and 100+ countries of the world.

Besides intermediary services, the company's portfolio includes other products: 

  • Uber for Business - corporate travel service;
  • Uber Health - travel for patients of hospitals, nursing homes; 
  • Uber Works is a temporary employee search service (in beta mode);
  • Uber Technologies Group - a division that develops and implements unmanned technologies in the automotive industry;
  • Uber Air is an air taxi service (scheduled to launch in 2023);
  • Uber Eats - Home delivery of groceries.

Uber's IPO has become one of the largest in history and the largest in the United States since 2014. The company expected to sell 180 million shares at a price of $ 44 to $ 50 and raise about $ 10 billion in revenue. However, the IPO results were below these expectations. If the price of a share was $ 45 on the day it went public, then the next morning it dropped to $ 42. The market valuation of the taxi service was at $ 69 billion.

Since the IPO, Uber's share price has undergone significant changes. The latest data shows that the company has managed to increase its revenues. Its revenue was $ 14 billion in 2019.

How to buy Uber stocks?
How to buy Uber stocks?

How to invest in Uber shares?

All operations on purchase and sale of shares are carried out only through special intermediaries - brokers. They have a license to trade securities on behalf of the customers, acting within the rules and requirements of the exchange. The broker charges a commission for its work, which depends on the type of activity and the tariff plan. 

There are several ways to make money on Uber stocks:

  • trading through a broker;
  • investments through investment funds;
  • investment through a private manager;
  • futures and options trading;

The stock market, in contrast to the currency market, is characterized by relative stability of positions, significant fluctuations can occur only in times of crisis. Therefore, even if your investment portfolio includes a large number of shares of different companies, you should not expect any profits in the short term. Moreover, your actions are associated with significant risks of capital loss due to stock price falling.

Online trading is the most popular method of investing in securities. It consists in buying Uber shares for the purpose of their subsequent resale at a better price.The main benefit is that you do not necessarily need to become a shareholder. You can trade financial derivative instruments with shares as an underlying asset. 

But to achieve variable income, an investor should have certain knowledge, experience, the ability to carry out fundamental analysis of the market, correctly evaluate the economic situation and forecast price fluctuations.

How to invest in Uber shares?
How to invest in Uber shares?

Uber shares Investment Platform

Uber shares are traded on the NYSE stock exchange. An individual investor can reach it only via an online broker. The latter must have the appropriate license. Before choosing a broker, be sure to check: 

  • Its licenses.
  • Work experience.
  • What stock exchanges it works with.
  • Check if you can buy or sell Uber shares on these stock exchanges.
Share purchase platform
Share purchase platform

How to start investing in Uber shares?

Brokerage companies differ in the speed of order execution, the range of traded instruments and tools for market analysis. Reputable brokers also provide leverage - the ability to borrow from a broker. Choose the broker that best suits your requirements. Consider which exchanges and financial instruments you need access to, what minimum amount you are ready to invest, how you can replenish your account and make trades. Clarify the terms of service and information support. Pay attention to what commission the broker takes. If you are a novice investor, ask if the broker is conducting training courses and providing a demo account.

How to register?

The registration procedure is fully automated. You will only have to enter a user name, password and email. Modern brokers have very intuitive site design, and you will be guided through all necessary steps for fast and convenient registration. Some platforms allow users to use their social network accounts to reach a trading terminal.

Registration on an investment platform
Registration on an investment platform

How to open a demo account?

Many traders dream to learn to trade profitably. The theoretical knowledge can be obtained from different sources, but no textbook will give you practical experience. 

In order not to lose all the money in the first deals, you should open a demo account and try to trade on it. 

Thus you will operate with virtual money but the trading environment will be maximally close to real trading. Almost all brokers provide free access to a demo account after the registration.

How to open a real account?

If you feel you have enough skills to test real trading, you should activate a real account. It may be necessary to go through the verification procedure, it usually happens in the format of downloading scans of ID documents and photos. Then a trader should follow the instructions and top up the account. You can start trading when money is on your account.

Real account to invest in Uber
Real account to invest in Uber

How to fund a deposit?

As modern brokers accept traders from around the world they try to make life easier for all of them and provide multiple channels for deposit replenishing. Usually, you will be able to transfer money from a bank account, a bank card and various e-wallets.

Minimum deposit amount

All online platforms require you to replenish your account with a minimum sum. This sum is not fixed and varies from platform to platform. If you are a beginner, do not start trading on the platforms that ask to invest big sums. There are enough brokers that will provide you with access to a trading terminal for only $10.

Payment methods for investment
Payment methods for investment

How to withdraw money?

You can withdraw funds from the account at any time. You only need to send a request for it, specifying the required amount and choose the channel of withdrawing money. The most popular method is a bank card or electronic wallet. The money will be transferred to the account number that the customer specified when concluding the contract. If you change the details, you must inform the broker about it.

Security of Uber share Investments

All investors are hoping for the continuous growth of shares, but the fundamental analysis does not always work. The market can react to various factors (news, rumors, reports, technical signals), and it is impossible to predict which event will affect stocks.  

Uber`s shares information
Uber`s shares information

How safe is it to invest in Uber shares?

Stock trading is a very complicated process even if it looks technically simple. Shares of different companies including Uber are constantly changing in price: many of those who once invested a few hundred dollars in a startup, today have become millionaires. And the opposite situation is also possible – when a company falls in the ratings and goes bankrupt, its shares may not be worth anything. You should be well-versed in fundamental analysis to make profitable investments.

Is it safe to invest in Uber shares online?

Today, there are dozens of brokerage companies in the world, offering their help in online trading. It is better for beginners to choose a reputable broker, with clearly defined rules and a transparent trading system. The trader's preferences may change in the future, so it is better to initially choose a reliable broker that provides access to the largest range of exchanges and assets. This will allow you to try your hand at other tools in the future without having to change brokers.

How to safely invest in Uber shares online?

It is not advisable to risk your funds without some investigation. The plan of actions is simple enough.

  • Read how famous investors achieved their success. It is always good to have some examples from real life. You can always find a hint for yourself.
  • Determine your budget. There are no restrictions here. You can start with two hundred dollars in your pocket, although professionals recommend starting with at least $ 2000-5000 in your account. It is important that you invest only free funds, that you can lose without any obligations in the worst situation.
  • Study the financial market. If you want to buy shares of a specific company, the first step is to analyze the financial situation of the company and compare it with the performance of other companies in this sector, identifying potential risks.
  • Correctly distribute funds. Follow the advice of prosperous investors and find several sources of profit. The best approach is to invest in long term projects of stable companies. It is advisable to form a portfolio of shares so that it consists of 5-20 companies from different countries and industries.
  • Open a brokerage account. The broker will provide you with access to the required exchanges.
  • You will be able to find the required shares in the trading terminal.
  • Follow company news and reinvest profits and dividends, expand the portfolio. After a few years, you can increase your capital several times.

My investments in Uber shares are protected

The first and foremost task of each trader is to find a reliable broker that can be fully trusted. All reputable brokers have licenses from world-known financial regulators. Many of these authorities make brokers participate in a funds insurance program that guarantees compensation to traders in case the broker goes bankrupt. 

FAQ:

Can you buy Uber shares?

Everybody can become an investor. But individuals have no access to stock markets. Therefore, all the process is coordinated by online brokers that act as intermediaries between stock exchanges and traders.

Experts say investors are now looking to invest in growth stocks in the technology sector, and Uber has fair chances to increase stock quotes. But you should always remember that the income on shares is not guaranteed. Even a conservative investor who invests in steadily growing, high-yielding companies is not protected from risks.

Individuals can buy Uber shares via an online brokerage platform. Once you activate an account by replenishing your balance with a minimum deposit, you will be able to place an order for stocks under the ticker UBER.

Currently, one Uber shares price is $ 58.58. 

It is possible to buy even one Uber share via an online broker. 

No dividend yield is on Uber shares. Technically, this is justified by the fact that all profits go to active growth and expansion of the company.

You can buy shares of any company including Uber from any location. The only requirement to find a broker that is licensed can provide brokerage services in South Africa.

Since IPO, Uber shares have gone through several ups and downs. The pandemic caused the considerable drop of shares. But at the same time, it gave a boost to subsequent stock growth.

In the beginning of 2020, amidst the outbreak of the coronavirus pandemic, Uber shares fell to their historical minimum - $13.71. But fortunately, the company could quickly recover since then.

Tech stocks saw the biggest gains till the end of 2020 as the coronavirus pandemic spiked demand for technology solutions for remote work, learning and online entertainment. All tech companies started to be the main focus on investors, and Uber was no exception.

SIMPLE AND RELIABLE
MONEY WITHDRAWAL
Neteller
Skrill
Mastercard
Visa
FNB
Capitec
Nedbank
ABSA
Standart Bank
Webmoney
Payguru