New to stock market investing? Get to know the key principles of investing in order to become better equipped to make your first move – which could be buying, selling, and trading shares of Uber. This page, combined with our other educational articles, will help you learn how to trade stocks like Uber successfully to make a profit.
If you feel you’re ready to get started, click the links below. If you still need more time to study up and grow your investment knowledge, keep reading.
Buy Uber stock, right now
The links below direct you to trusted brokers who can help you buy Uber stocks right away. Buying and holding shares is a long term approach with the aim of building profits over time.
Trade Uber stock, right now
Trading shares is a strategy focused on quicker returns than buying shares; you’re trying to make money faster by trading more frequently, as you would when day trading or swing trading. Follow the links below to take you to the best trading platforms out there for Uber stock.
How to buy Uber stock in 7 simple steps
It’s important to understand the basic principles of investing before you buy, sell, or trade shares of any stock. Here are seven key lessons to follow:
- Get to know the company. Uber is the world’s largest rideshare company, and has expanded to food delivery and other services. Once you understand Uber’s history and business model, you’ll have a clearer idea of whether you want to buy the stock, and what you think its true value is.
- Learn the basics. To become a successful investor, it’s vital that you learn key investment principles, as well as the terminology that goes with those principles. Our educational courses on investing and trading will teach you everything you need to know to get started and become a knowledgeable investor.
- Decide if you want to be share-dealing or trading. Share-dealing refers to the practice of buying a stock, then holding on for a while in a quest for big gains. When share-dealing there are two ways to make money: selling at a higher price than your buy price, or collecting dividends – assuming the stock you own issues dividends and you hold on long enough for the dividend to arrive. Trading shares is a shorter-term approach. When trading shares of Uber, you want to know how to read its stock chart. When you’re opening and closing trades within a span of a few days or a couple of hours, this form of technical analysis is more likely to help your chances of success than fundamental analysis of the future plans and value of the company would.
- Set a budget. When you start investing, do so with a smaller budget. This way you can learn the ropes and build a foundation without risking too much money. We recommend something like a £1,000 budget for people just starting out. Uber trades around $28 per share, so you can buy about 44 shares with that starting amount. As you gain experience and grow your capital, a bigger budget (£10,000, or even £25,000 and up) will allow you to buy more shares, or even start attempting more advanced trading strategies. Bigger budgets make frequent transaction costs easier to swallow, which in turn higher-frequency trading such as day trading a more palatable approach.
- Choose a broker. Look for an online broker that offers a strong reputation, an easy-to-use platform, and low transaction costs. We’ve reviewed lots of online brokers for you so you can select which one best suits your investment requirements.
- Check how the stock market is performing. In a bull market, most stocks go up. In a bear market, most stocks go down. In general you want to keep it simple: follow the broad market’s trend and your chances for success will improve.
- Make your first investment. You’ve researched how Uber does business and analysed Uber’s stock chart and the company’s fundamentals. You’ve established your investing budget, found an online broker that works for you, and confirmed market conditions currently favour investors. You’ve done the hard part, now the easy bit: log into your online brokerage account, type in Uber’s ticker symbol (UBER), check that the bid and ask prices for the stock are in a range you like, then buy.
Ways to invest in Uber
You can buy or trade shares of Uber online in a bunch of different ways, but there are two main categories you need to be aware of when it comes to investing in stocks: share-dealing and CFD trading.
When share-dealing you are buying shares in the hopes of holding them long-term, riding the peaks and troughs of the stock market and ideally seeing the value of your shares increase in value over the long term.
- Pros: Share-dealing can deliver impressive returns if you can manage to hold onto a winning stock and ride out stock market fluctuations. Share-dealing also means you don’t have to worry about keeping up-to-date with every blip in a company’s stock chart, as your focus is much more future-based.
- Cons: When you buy and hold a stock for a long time, you’re tying up your capital. This makes it tougher to pursue other investment opportunities as and when they arise. If Uber’s stock starts plunging after you buy it, you’ll also need to consider cutting losses, rather than trying to buy, hold, and hope.
A CFD (contract for difference) is an investment derivative that lets you speculate on the price movement of an investment asset – such as shares of Uber, commodities, forex, or other investment vehicles. CFD trading entails owning a contract for the asset in question; unlike when share-dealing, you do not own the asset itself.
- Pros: CFD trading enables you to trade with leverage, which means you only have to put down a small percentage of the total trade value, with your CFD broker covering the rest and allowing you to make larger trades with less capital. As a result, trading with leverage produces a much bigger profit if your prediction on which way the asset you’re trading will move proves to be correct.
- Cons: CFD trading increases your risks as well as your potential rewards, because the size of your loss will equally be multiplied if you’re wrong about which way the market moves. CFD trading means you lose stock voting rights, and the dividends that come with companies that issue dividends. This is because you only own a contract for the stock, and not the stock itself. Also, if you leave a CFD position open for more than a day, you’ll pay overnight fees.
Check out all of our online guides, educational courses, and news articles for much more information and analysis. If you’re ready to buy, sell, or trade shares of Uber, click the links above.
How to buy, sell, and trade Uber shares for beginners
Here are some basic concepts to know when buying, selling, and trading shares of Uber, or any other stock:
Online brokerage firms allow you to buy shares quickly and inexpensively. Buying shares means you’re trying to hold for a longer period of time, ride out the market, and land bigger gains in the long term. In order to buy shares, you’ll need to create an account with an online broker, then log in, type in Uber’s ticker symbol, and buy shares.
Buying and holding through a long-term uptrend tends to yield the biggest gains, if you’ve got the stomach for it. You can also choose to sell more quickly for a smaller profit, either by day trading or just banking profits quickly and moving onto the next trade. Selling can also make sense when a stock starts to fall, as a way to cut your losses and preserve your capital before the value of the stick plunges even further.
When trading shares, you can choose to use a conventional online broker and buy and sell stocks relatively quickly, or a CFD broker for faster trading and access to other tools such as trading with leverage. Leveraged CFD trades produce more volatile results, with both the potential gains or potential losses being much larger. For this reason, we don’t recommend trading with leverage until you have gained some experience of trading stocks and are familiar with technical analysis.
Our top tips for investing in Uber stock
We have a host of educational articles that can take you through every stage of your journey as an investor, but we also like to make this knowledge as accessible as possible. With that in mind, here are the top tips for investing in Uber from the Invezz team.
- Know your budget. Figure out how much money you can lose without it having a drastic effect on your life, then be disciplined and make sure your losses don’t exceed that level. We discuss ways to limit losses a little further below.
- Choose a strategy that works for you. Pick an investment strategy that fits your specific investment goals. Avoid pursuing overly complex investment strategies until you’ve gained more experience and expertise as an investor.
- Stick to an investing plan and don’t react to emotions. Having a sound investment plan beforehand will enable you to make calm, intelligent decisions instead of letting emotions such as fear and greed cause you to panic and act rashly when the market suddenly moves.
- When market conditions change, be ready to change course. If a bear market begins, consider selling your stocks, or at least trimming the size of your holdings. When a bear market ends and a new uptrend begins, that’s when you can look to buy back in. Again the key is not to react emotionally – take a rational look at the behaviour of the market and act accordingly.
- Learn from your mistakes. It’s not just beginners that make mistakes, even the experts call things wrong sometimes. The important thing is that you learn from your mistakes. Review your trades to figure out what went wrong. That way, you’ll be better prepared not to fall into the same trap next time.
What should I consider before buying, selling, or trading Uber stock?
Before investing in any company’s stock, you need to make sure you have a coordinated plan and have considered everything that needs to be addressed. Here’s a quick run-through of what you need to bear in mind.
- Budget size. If you have a smaller budget (£1,000), a buy-and-hold strategy with an online broker saves you money on transaction costs, which can add up quite quickly if you don’t have a huge budget to begin with. If you have a bigger budget (say, £10,000 or more), more trading strategies and more trading platforms start to make sense, including day trading with a conventional broker, or CFD-brokered trading.
- Risk management. Using stop-loss orders will help you protect your capital, so you hold onto money for future trades. Say you buy shares of Uber at $28 per share. In that case, you can put in a stop-loss order at $25.20, which means that your broker will automatically sell your shares if their value dips to this price, limiting the size of your potential loss at 10%.
- Market conditions. When a bear market starts, cash or bonds are safer bets than buying growth stocks. In a bull market, you’re better positioned to buy Uber shares. Make sure to act with, and not against the market.
- Know your investment goals. The best way to achieve your goals is to know what they are. Day trading and swing trading are faster-moving trading approaches, which can deliver gains in a matter of days, hours, or even minutes. Buying and holding shares can work out great, if you pick the right stock and hold for a long time. It all depends on what you want to do, but pick a strategy and stick to it.
- Follow emerging trends. You need to stay on top of the news when investing in a company like Uber. Having already disrupted the taxi industry in many countries, Uber’s challenge will be to keep evolving its technology and lobbying more nations to allow its services. Uber’s ability to hold off Lyft and other rivals will also play a big role in their future success.
What is Uber?
Based in San Francisco, Uber is a leading ride-hailing and food delivery service provider. In its most recent reported fiscal year, Uber reported $11.3 billion in revenue, but with an operating loss of more than $3 billion. For more information on Uber, including stock charts, live prices, and in-depth analysis, visit our page on Uber’s stock price.
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