Rideshare or ride-hailing has become mainstream and an essential part of many commuter’s lives. In the United States, there exists a duopoly between Uber Technologies Inc. (NYSE: UBER) and Lyft Inc. (NASDAQ: LYFT), with the market share divided around 76% to Uber and 24% to Lyft. While Uber’s domination is evidenced by its underlying stock performance, Lyft is starting to gain some traction thanks to its new CEO, David Risher, who also happened to buy another 13,800 shares on Nov. 15, 2024.
Both Uber and Lyft are in the computer and technology sector, not the transportation sector, as many investors may believe. They don't own the vehicles. Instead, they operate their mobile app platform, which connects and facilitates riders with drivers within their respective networks. Uber’s stock is trading up 17.8% year-to-date (YTD) compared to Lyft’s shares trading up 14.84% YTD. Going into 2025, investors may wonder which of these two stocks may have more upside. Let’s take a look.
