Uber Technologies Inc (UBER) WACC Analysis

As of June 10, 2025, Uber Technologies Inc (UBER) carries a Weighted Average Cost of Capital (WACC) of 8.8%. WACC reflects the blended rate Uber Technologies Inc must pay to both equity and debt holders.

Within that, the cost of equity is 7.8%, the cost of debt is 4.9%, and the effective tax rate is 6.6%.

Breakdown of WACC Components

• Long-term bond rate: 3.9% – 4.4%
• Equity market risk premium: 4.6% – 5.6%
• Adjusted beta: 0.85 – 0.97
• Additional risk adjustment: 0.0% – 0.5%
• Debt-to-equity ratio: 0.05

What It Means for Investors

With a selected WACC of 8.8%, Uber Technologies Inc must ensure any new investment returns exceed this threshold to generate shareholder value. This level reflects a moderate financing cost structure.