Bill Ackman Bets Big on Uber with $2 Billion Stake, Stock Surges

Billionaire hedge fund manager Bill Ackman has placed a massive $2 billion bet on Uber Technologies, sending the ride-hailing giant’s stock soaring.

Ackman’s investment firm, Pershing Square Capital Management, has acquired approximately 30.3 million shares, representing about 1% of Uber’s market capitalization.

The announcement, made earlier today, sparked an almost 10% surge in Uber’s stock price, reaching its highest level since October 2024.

Ackman, known for his bold investment moves, praised Uber’s transformation under CEO Dara Khosrowshahi, calling it “one of the best managed and highest quality businesses in the world.”

Uber’s Profitability Attracts Heavyweight Investors

Uber has been on an impressive turnaround journey since Khosrowshahi took over in 2017.

The company, once infamous for its cash burn, has evolved into a profitable and cash-generative business. Ackman emphasized that Uber’s stock remains undervalued, offering “a massive discount to its intrinsic value.”

Interestingly, Ackman credited actor Edward Norton for introducing him to Uber. Norton, an early investor in the company, was the first-ever Uber passenger in Los Angeles.

Market Reacts to Ackman’s Bold Move

Investors responded enthusiastically to the news, with analysts speculating that Ackman’s backing could bring long-term stability and confidence to Uber’s stock.

With ride-hailing demand rebounding post-pandemic and Uber expanding its services beyond transportation, many see this investment as a strong endorsement of the company’s future potential.

Uber has yet to officially comment on Ackman’s investment, but market watchers are already viewing this as a pivotal moment in the company’s growth story.

With Ackman’s stamp of approval and Uber’s continued expansion into new revenue streams, the ride-hailing giant appears to be on the fast track to long-term success.

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