Discounted Cash Flow Analysis - Uber Technologies, Inc.

(Unlevered DCF)
($ in Millions Except Per Share Data)

Uber Technologies, Inc. - DCF Assumptions & Output:

Company Name: Uber Technologies, Inc. Terminal Value - Multiples Method: Terminal Value - Perpetuity Growth Method:
Ticker: UBER
Valuation Date: 2019-05-15 Median Forward EV / EBITDA of Peer Companies:
Current Share Price: $ 41.29 High-Growth Marketplaces: 32.0 x Expected Global GDP Growth: 2.5%
Basic Shares Outstanding: 1,682.500 Mature Marketplaces: 10.6 x
Diluted Shares @ Current Price: 1,835.828 Mature Trucking/Logistics: 8.7 x

Last Fiscal Year End: 2018-12-31 Baseline Terminal EBITDA Multiple: Baseline Terminal FCF Growth Rate:
Effective Tax Rate: 25.0% Upside 8.7 x Upside 2.0%
Initial Discount Rate (WACC): 9.36% Base 6.8 x Base 1.0%
Terminal Discount Rate: 8.75% Downside 6.6 x Downside –
Selected Terminal EBITDA Multiple: 6.8 x Selected Terminal FCF Growth Rate: 1.0%
Scenario: Base
Baseline Terminal Value: $ 65,347 Baseline Terminal Value: $ 65,347
Current Equity Value: $ 75,801 Implied Terminal FCF Growth Rate: 1.0% Implied Terminal EBITDA Multiple: 6.8 x
(-) Cash & Cash-Equivalents: (13,482)
(-) Equity Investments: (14,767) (+) PV of Terminal Value: 11,548 (+) PV of Terminal Value: 11,548
(-) Other Non-Core Assets, Net: (406) (+) PV of Year 20 NOL Balance: - (+) PV of Year 20 NOL Balance: -
(-) Net Operating Losses: (485) (+) Sum of PV of Free Cash Flows: (2,297) (+) Sum of PV of Free Cash Flows: (2,297)
(+) Total Debt & Capital Leases: 6,529 Implied Enterprise Value: 9,250 Implied Enterprise Value: 9,250
(+) Preferred Stock: -
(+) Noncontrolling Interests: - (+) Cash & Cash-Equivalents: $ 13,482 (+) Cash & Cash-Equivalents: $ 13,482
(+) Unfunded Pension Obligations: - (+) Equity Investments: 14,767 (+) Equity Investments: 14,767
(+) Restructuring & Other Liabilities: - (+) Other Non-Core Assets, Net: 406 (+) Other Non-Core Assets, Net: 406
Current Enterprise Value: $ 53,191 (+) Net Operating Losses: 485 (+) Net Operating Losses: 485
(-) Total Debt & Capital Leases: (6,529) (-) Total Debt & Capital Leases: (6,529)
(-) Preferred Stock: - (-) Preferred Stock: -
(-) Noncontrolling Interests: - (-) Noncontrolling Interests: -
(-) Unfunded Pension Obligations: - (-) Unfunded Pension Obligations: -
(-) Restructuring & Other Liabilities: - (-) Restructuring & Other Liabilities: -
Implied Equity Value: 31,861 Implied Equity Value: 31,861

% of Implied Eq. V. from Current BS: 71.0% % of Implied Eq. V. from Current BS: 71.0%

Diluted Shares Outstanding: 1,822.901 Diluted Shares Outstanding: 1,822.901

Implied Share Price from DCF: $ 17.48 Implied Share Price from DCF: $ 17.48
Premium / (Discount) to Current: (57.7%) Premium / (Discount) to Current: (57.7%)

Exercise Exercise Exercise

Type: Number: Price: Dilution: Type: Number: Price: Dilution: Type: Number: Price: Dilution:
Options: 42.900 $ 9.08 33.466 Options: 42.900 $ 9.08 20.613 Options: 42.900 $ 9.08 20.613
Warrants: 0.217 10.44 0.162 Warrants: 0.217 10.44 0.088 Warrants: 0.217 10.44 0.088
RSUs: 115.700 115.700 RSUs: 115.700 115.700 RSUs: 115.700 115.700
Other: 4.000 4.000 Other: 4.000 4.000 Other: 4.000 4.000
Total: 153.328 Total: 140.401 Total: 140.401
 Historical: Projected:
Uber Technologies, Inc. - Key Drivers: Units: FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 25 FY 26 FY 27
Revenue and Contribution Margin for Ridesharing and Uber Eats:
Population in Countries of Operation: M People 4,000.0 4,050.0 4,100.0 4,223.0 4,349.7 4,480.2 4,614.6 4,753.0 4,895.6 5,042.5 5,193.8 5,349.6
Population Growth Rate: % 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

Monthly Active Platform Consumers (MAPCs): M Users 45.0 68.0 91.0 113.8 136.5 160.4 184.4 207.5 228.3 245.4 257.6 267.9
Growth Rate: % 51.1% 33.8% 25.0% 20.0% 17.5% 15.0% 12.5% 10.0% 7.5% 5.0% 4.0%
Upside % 30.0% 27.5% 25.0% 22.5% 20.0% 17.5% 15.0% 12.5% 10.0%
Base % 25.0% 20.0% 17.5% 15.0% 12.5% 10.0% 7.5% 5.0% 4.0%
Downside % 20.0% 17.5% 15.0% 12.5% 10.0% 7.5% 5.0% 4.0% 3.0%

MAPCs % Total Population: % 1.1% 1.7% 2.2% 2.7% 3.1% 3.6% 4.0% 4.4% 4.7% 4.9% 5.0% 5.0%

Annual Trips: M Trips 1,818 3,736 5,220 6,851 8,633 10,650 12,799 15,047 17,297 19,338 21,117 22,840
Annual Trips per MAPC: Trip / User 40.4 54.9 57.4 60.2 63.2 66.4 69.4 72.5 75.8 78.8 82.0 85.2
Growth Rate: % 36.0% 4.4% 5.0% 5.0% 5.0% 4.5% 4.5% 4.5% 4.0% 4.0% 4.0%

Average Bookings per Trip: $ / Trip $ 10.58 $ 9.21 $ 9.54 $ 9.44 $ 9.35 $ 9.26 $ 9.16 $ 9.07 $ 9.07 $ 9.34 $ 9.62 $ 9.87
Growth Rate: % (13.0%) 3.6% (1.0%) (1.0%) (1.0%) (1.0%) (1.0%) 0.0% 3.0% 3.0% 2.5%
Upside % 3.0% 3.0% 3.0% 2.5% 2.5% 2.5% 2.0% 2.0% 2.0%
Base % (1.0%) (1.0%) (1.0%) (1.0%) (1.0%) 0.0% 3.0% 3.0% 2.5%
Downside % (2.0%) (2.0%) (2.0%) (1.0%) (1.0%) 0.0% 3.0% 2.0% 2.0%

Gross Bookings: $M 19,236 34,409 49,799 64,708 80,716 98,588 117,293 136,514 156,923 180,703 203,247 225,328
Growth Rate: % 78.9% 44.7% 29.9% 24.7% 22.1% 19.0% 16.4% 15.0% 15.2% 12.5% 10.9%

Total Serviceable Addressable Market (SAM): $M 3,795,000 3,908,850 4,026,116 4,146,899 4,250,571 4,356,836 4,465,757 4,555,072 4,646,173 4,739,097
Market Growth Rate: % 3.0% 3.0% 3.0% 3.0% 2.5% 2.5% 2.5% 2.0% 2.0% 2.0%
Market Penetration: % 1.3% 1.7% 2.0% 2.4% 2.8% 3.1% 3.5% 4.0% 4.4% 4.8%

Adjusted Net Revenue % Gross Bookings: % 16.5% 20.7% 19.9% 19.5% 19.0% 18.5% 18.0% 17.5% 17.0% 16.5% 16.5% 16.5%

Core Platform Adjusted Net Revenue: $M 3,170 7,136 9,924 12,618 15,336 18,239 21,113 23,890 26,677 29,816 33,536 37,179
Growth Rate: % 125.1% 39.1% 27.1% 21.5% 18.9% 15.8% 13.2% 11.7% 11.8% 12.5% 10.9%

Core Platform Contribution Profit / (Loss): $M $ (755) $ 33 $ 940 $ (379) $ (307) $ (182) $ - $ 239 $ 667 $ 1,491 $ 2,515 $ 3,718
Core Platform Contribution Margin: % (23.8%) 0.5% 9.5% (3.0%) (2.0%) (1.0%) 0.0% 1.0% 2.5% 5.0% 7.5% 10.0%
Upside % (2.0%) (1.0%) 0.0% 1.0% 2.5% 5.0% 7.5% 10.0% 12.5%
Base % (3.0%) (2.0%) (1.0%) 0.0% 1.0% 2.5% 5.0% 7.5% 10.0%
Downside % (3.0%) (3.0%) (2.0%) (1.0%) 0.0% 1.0% 2.5% 5.0% 7.5%
"Other Bets" (Primarily Uber Freight): FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 25 FY 26 FY 27
Uber Freight Revenue: $M $ 1 $ 67 $ 373 $ 1,040 $ 2,142 $ 3,724 $ 5,655 $ 7,969 $ 10,397 $ 12,877 $ 14,680 $ 16,549
Market Penetration: % 0.05% 0.08% 0.16% 0.27% 0.40% 0.55% 0.70% 0.85% 0.95% 1.05%
Upside % 0.10% 0.20% 0.35% 0.50% 0.70% 0.90% 1.05% 1.20% 1.35%
Base % 0.08% 0.16% 0.27% 0.40% 0.55% 0.70% 0.85% 0.95% 1.05%
Downside % 0.07% 0.13% 0.20% 0.28% 0.40% 0.55% 0.70% 0.75% 0.80%

Revenue Growth Rate: % 6600.0% 456.7% 178.8% 106.0% 73.8% 51.9% 40.9% 30.5% 23.9% 14.0% 12.7%

Total Serviceable Addressable Market (SAM): $M 700,000 1,300,000 1,339,000 1,379,170 1,413,649 1,448,990 1,485,215 1,514,920 1,545,218 1,576,122
Market Growth Rate: % 3.0% 3.0% 3.0% 3.0% 2.5% 2.5% 2.5% 2.0% 2.0% 2.0%

Uber Freight Contribution Profit / (Loss): $M $ (1) $ (40) $ (152) $ (312) $ (428) $ (559) $ (565) $ - $ 260 $ 644 $ 1,101 $ 1,655
Contribution Margin: % (100.0%) (59.7%) (40.8%) (30.0%) (20.0%) (15.0%) (10.0%) 0.0% 2.5% 5.0% 7.5% 10.0%
Upside % (30.0%) (20.0%) (10.0%) 0.0% 2.5% 5.0% 7.5% 10.0% 12.5%
Base % (30.0%) (20.0%) (15.0%) (10.0%) 0.0% 2.5% 5.0% 7.5% 10.0%
Downside % (30.0%) (20.0%) (15.0%) (10.0%) (5.0%) 0.0% 2.5% 5.0% 7.5%
Company-Wide Free Cash Flow Projections: FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 25 FY 26 FY 27
Total Adjusted Net Revenue: $M $ 3,171 $ 7,203 $ 10,297 $ 13,658 $ 17,478 $ 21,963 $ 26,767 $ 31,859 $ 37,073 $ 42,693 $ 48,215 $ 53,728
Revenue Growth Rate: % 127.2% 43.0% 32.6% 28.0% 25.7% 21.9% 19.0% 16.4% 15.2% 12.9% 11.4%

Total Segment Contribution Profit / (Loss): $M (756) (7) 788 (691) (735) (741) (565) 239 927 2,135 3,616 5,373
Segment Contribution Margin: % (23.8%) (0.1%) 7.7% (5.1%) (4.2%) (3.4%) (2.1%) 0.7% 2.5% 5.0% 7.5% 10.0%

(-) Unallocated R&D, G&A, & Other Expenses: $M (1,581) (2,594) (2,848) (2,732) (2,622) (2,636) (2,677) (2,549) (2,224) (2,135) (2,411) (2,149)
% Adjusted Net Revenue: % 49.9% 36.0% 27.7% 20.0% 15.0% 12.0% 10.0% 8.0% 6.0% 5.0% 5.0% 4.0%

(-) Depreciation & Amortization: $M (320) (510) (426) (546) (647) (725) (803) (860) (927) (982) (964) (1,075)
% Adjusted Net Revenue: % 10.1% 7.1% 4.1% 4.0% 3.7% 3.3% 3.0% 2.7% 2.5% 2.3% 2.0% 2.0%

(-) Stock-Based Compensation: $M (128) (137) (172) (205) (245) (286) (321) (350) (371) (427) (482) (537)
% Adjusted Net Revenue: % 4.0% 1.9% 1.7% 1.5% 1.4% 1.3% 1.2% 1.1% 1.0% 1.0% 1.0% 1.0%

Normalized Operating Income (EBIT): $M (2,785) (3,248) (2,658) (4,173) (4,248) (4,387) (4,366) (3,521) (2,595) (1,409) (241) 1,612
Normalized Operating Margin: % (87.8%) (45.1%) (25.8%) (30.6%) (24.3%) (20.0%) (16.3%) (11.1%) (7.0%) (3.3%) (0.5%) 3.0%

Beginning NOL Balance: $M 5,100 9,273 13,522 17,908 22,275 25,795 28,390 29,799 30,040
(+) NOLs Created: $M 4,173 4,248 4,387 4,366 3,521 2,595 1,409 241 -
(-) NOLs Used: $M - - - - - - - - (1,612)
Ending NOL Balance: $M 9,273 13,522 17,908 22,275 25,795 28,390 29,799 30,040 28,429

NOL-Adjusted Operating Income: $M (4,173) (4,248) (4,387) (4,366) (3,521) (2,595) (1,409) (241) -

(-) Cash Taxes: $M - - - - - - - - -

Net Operating Profit After Tax (NOPAT): $M (4,173) (4,248) (4,387) (4,366) (3,521) (2,595) (1,409) (241) 1,612

(+) Depreciation & Amortization: $M 320 510 426 546 647 725 803 860 927 982 964 1,075

(+/-) Change in Working Capital: $M 1,072 1,910 891 840 764 673 480 509 521 562 552 551
% Change in Adjusted Net Revenue: % 47.4% 28.8% 25.0% 20.0% 15.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0%

(-) Capital Expenditures: $M (1,629) (821) (558) (683) (821) (944) (1,071) (1,179) (1,298) (1,409) (1,446) (1,612)
% Adjusted Net Revenue: % 51.4% 11.4% 5.4% 5.0% 4.7% 4.3% 4.0% 3.7% 3.5% 3.3% 3.0% 3.0%

Unlevered Free Cash Flow: $M (3,470) (3,659) (3,934) (4,154) (3,330) (2,444) (1,274) (171) 1,626
Growth Rate: % N/A 5.5% 7.5% 5.6% (19.8%) (26.6%) (47.9%) (86.6%) (1051.0%)

Discount Period: # 1 2 3 4 5 6 7 8 9
Discount Rate (WACC): % 9.36% 9.33% 9.29% 9.26% 9.23% 9.20% 9.17% 9.13% 9.10%
Cumulative Discount Factor: # 0.914 0.836 0.765 0.700 0.641 0.587 0.538 0.493 0.452

PV of Unlevered FCF: $M (3,173) (3,061) (3,010) (2,909) (2,135) (1,435) (685) (84) 735

EBITDA: $M $ (3,627) $ (3,602) $ (3,662) $ (3,563) $ (2,660) $ (1,668) $ (427) $ 723 $ 2,686
Growth Rate: % N/A (0.7%) 1.7% (2.7%) (25.3%) (37.3%) (74.4%) (269.4%) 271.4%

Sensitivity Analyses:

Terminal FCF Growth Rate:

1747.8% 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% 1.6% 1.8% 2.0%
Upside
Operating
Scenario: Base
Downside

Terminal EBITDA Multiple:

$ 17.48 6.6 x 6.8 x 7.0 x 7.2 x 7.4 x 7.6 x 7.8 x 8.0 x 8.2 x 8.4 x 8.6 x
Upside
Operating
Scenario: Base
Downside
 Projected:
FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34 FY 35 FY 36 FY 37 FY 38

5,510.1 5,675.4 5,845.6 6,021.0 6,201.6 6,387.7 6,579.3 6,776.7 6,980.0 7,189.4 7,405.1
3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

276.0 284.3 292.8 301.6 310.6 319.9 329.5 339.4 349.6 360.1 370.9
3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%
10.0% 7.0% 5.0% 4.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%
3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%
3.0% 3.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%

5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% 5.0%

24,348 25,956 27,671 29,356 31,144 33,041 35,053 37,187 39,452 41,855 44,404
88.2 91.3 94.5 97.3 100.3 103.3 106.4 109.6 112.8 116.2 119.7
3.5% 3.5% 3.5% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

$ 10.06 $ 10.21 $ 10.37 $ 10.47 $ 10.58 $ 10.68 $ 10.79 $ 10.90 $ 11.00 $ 11.11 $ 11.23
2.0% 1.5% 1.5% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0%
1.5% 1.5% 1.5% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0%
2.0% 1.5% 1.5% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0%
1.5% 1.5% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0%

245,015 265,116 286,867 307,380 329,361 352,913 378,149 405,190 434,165 465,212 498,479
8.7% 8.2% 8.2% 7.2% 7.2% 7.2% 7.2% 7.2% 7.2% 7.2% 7.2%

4,833,879 4,930,556 5,029,167 5,129,751 5,232,346 5,336,993 5,443,732 5,552,607 5,663,659 5,776,932 5,892,471
2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%
5.1% 5.4% 5.7% 6.0% 6.3% 6.6% 6.9% 7.3% 7.7% 8.1% 8.5%

16.5% 16.5% 16.5% 16.5% 16.5% 16.5% 16.5% 16.5% 16.5% 16.5% 16.5%

40,427 43,744 47,333 50,718 54,344 58,231 62,395 66,856 71,637 76,760 82,249
8.7% 8.2% 8.2% 7.2% 7.2% 7.2% 7.2% 7.2% 7.2% 7.2% 7.2%

$ 5,053 $ 5,468 $ 5,917 $ 6,340 $ 6,793 $ 7,279 $ 7,799 $ 8,357 $ 8,955 $ 9,595 $ 10,281
12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0%
12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0%
 FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34 FY 35 FY 36 FY 37 FY 38
$ 18,488 $ 20,497 $ 22,580 $ 23,885 $ 25,232 $ 26,625 $ 27,881 $ 28,993 $ 29,949 $ 30,741 $ 31,355
1.15% 1.25% 1.35% 1.40% 1.45% 1.50% 1.54% 1.57% 1.59% 1.60% 1.60%
1.50% 1.60% 1.70% 1.80% 1.90% 2.00% 2.06% 2.10% 2.13% 2.15% 2.15%
1.15% 1.25% 1.35% 1.40% 1.45% 1.50% 1.54% 1.57% 1.59% 1.60% 1.60%
0.85% 0.90% 0.95% 1.00% 1.05% 1.10% 1.14% 1.17% 1.19% 1.20% 1.20%

11.7% 10.9% 10.2% 5.8% 5.6% 5.5% 4.7% 4.0% 3.3% 2.6% 2.0%

1,607,645 1,639,798 1,672,594 1,706,045 1,740,166 1,774,970 1,810,469 1,846,678 1,883,612 1,921,284 1,959,710
2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%

$ 2,311 $ 2,562 $ 2,823 $ 2,986 $ 3,154 $ 3,328 $ 3,485 $ 3,624 $ 3,744 $ 3,843 $ 3,919
12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0% 15.0%
12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0%
 FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34 FY 35 FY 36 FY 37 FY 38
$ 58,915 $ 64,242 $ 69,913 $ 74,602 $ 79,577 $ 84,855 $ 90,276 $ 95,849 $ 101,587 $ 107,500 $ 113,604
9.7% 9.0% 8.8% 6.7% 6.7% 6.6% 6.4% 6.2% 6.0% 5.8% 5.7%

7,364 8,030 8,739 9,325 9,947 10,607 11,284 11,981 12,698 13,438 14,201
12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%

(2,357) (1,927) (2,097) (2,238) (2,387) (2,546) (2,708) (2,875) (3,048) (3,225) (3,408)
4.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

(1,178) (1,285) (1,398) (1,492) (1,592) (1,697) (1,806) (1,917) (2,032) (2,150) (2,272)
2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%

(589) (642) (699) (746) (796) (849) (903) (958) (1,016) (1,075) (1,136)
1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0%

3,240 4,176 4,544 4,849 5,172 5,516 5,868 6,230 6,603 6,988 7,384
5.5% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5%

28,429 25,188 21,013 16,468 11,619 6,447 931 - - - -

- - - - - - - - - - -
(3,240) (4,176) (4,544) (4,849) (5,172) (5,516) (931) - - - -
25,188 21,013 16,468 11,619 6,447 931 - - - - -

- - - - - - 4,937 6,230 6,603 6,988 7,384

- - - - - - (1,234) (1,558) (1,651) (1,747) (1,846)

3,240 4,176 4,544 4,849 5,172 5,516 4,634 4,673 4,952 5,241 5,538

1,178 1,285 1,398 1,492 1,592 1,697 1,806 1,917 2,032 2,150 2,272

519 533 567 469 497 528 542 557 574 591 610
10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0% 10.0%

(1,767) (1,927) (2,097) (2,238) (2,387) (2,546) (2,708) (2,875) (3,048) (3,225) (3,408)
3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0%

3,170 4,066 4,412 4,572 4,874 5,195 4,273 4,271 4,510 4,757 5,013
95.0% 28.3% 8.5% 3.6% 6.6% 6.6% (17.7%) (0.0%) 5.6% 5.5% 5.4%

10 11 12 13 14 15 16 17 18 19 20
9.07% 9.04% 9.00% 8.97% 8.94% 8.91% 8.88% 8.84% 8.81% 8.78% 8.75%
0.414 0.380 0.349 0.320 0.294 0.270 0.248 0.227 0.209 0.192 0.177

1,313 1,545 1,538 1,462 1,431 1,400 1,058 972 943 914 886

$ 4,419 $ 5,461 $ 5,943 $ 6,341 $ 6,764 $ 7,213 $ 7,673 $ 8,147 $ 8,635 $ 9,138 $ 9,656
64.5% 23.6% 8.8% 6.7% 6.7% 6.6% 6.4% 6.2% 6.0% 5.8% 5.7%
WACC Analysis - Uber Technologies, Inc.
($ in Millions Except Per Share Data)

Discount Rate Calculations - Assumptions: Cost of Debt - Calculations:

Risk-Free Rate: 2.63% 2016 Senior Secured Term Loan: 6.1% $ 1,124
Equity Risk Premium: 5.96% 2018 Senior Secured Term Loan: 6.2% 1,493
Pre-Tax Cost of Debt: 8.75% 2023 Senior Note: 7.7% 500
Cost of Preferred Stock: 15.00% 2026 Senior Note: 8.1% 1,500
Careem Convertible Notes: 13.7% 1,700
Capital Leases: 8.0% 212

High-Growth Marketplace Companies - Unlevered Beta Calculation: Projected Financial Metrics & Multiples:
Levered Preferred Equity Unlevered Revenue EBITDA EV / EV /
Name Ticker Beta Debt % Debt Stock % Preferred Value % Equity Tax Rate Beta Growth Margin Revenue EBITDA
Shopify Inc. SHOP 1.57 $ 104 0.4% $ - – $ 28,218 99.6% 25.0% 1.57 41.0% 4.3% 18.2 x NM
ANGI Homeservices Inc. ANGI 1.64 367 4.6% - – 7,654 95.4% 25.0% 1.58 20.8% 21.1% 5.8 x 27.3 x
Zillow Group, Inc. ZG 1.22 1,104 12.8% - – 7,548 87.2% 26.9% 1.10 77.3% 2.0% 3.2 x NM
Etsy, Inc. ETSY 0.97 377 5.1% - – 7,069 94.9% 25.0% 0.93 31.3% 24.7% 9.1 x 36.7 x
Grubhub Inc. GRUB 1.17 434 7.1% - – 5,702 92.9% 25.0% 1.11 35.2% 18.5% 4.4 x 23.9 x
CarGurus, Inc. CARG 0.68 60 1.4% - – 4,330 98.6% 25.0% 0.67 27.2% 10.7% 6.9 x 64.8 x

Median: 1.20 $ 372 4.8% $ - – $ 7,308 95.2% 25.0% 1.10 33.2% 14.6% 6.3 x 32.0 x

Mature Marketplace Companies - Unlevered Beta Calculation: Projected Financial Metrics & Multiples:
Levered Preferred Equity Unlevered Revenue EBITDA EV / EV /
Name Ticker Beta Debt % Debt Stock % Preferred Value % Equity Tax Rate Beta Growth Margin Revenue EBITDA
eBay Inc. EBAY 1.23 $ 9,975 23.7% $ - – $ 32,072 76.3% 25.0% 1.00 1.6% 34.4% 3.5 x 10.1 x
Cars.com Inc. CARS 0.91 689 31.4% - – 1,508 68.6% 25.7% 0.68 (2.6%) 30.3% 3.4 x 11.1 x
Shutterstock, Inc. SSTK 1.19 58 3.9% - – 1,407 96.1% 23.0% 1.15 10.1% 17.3% 1.8 x 10.6 x

Median: 1.19 $ 689 23.7% $ - – $ 1,508 76.3% 25.0% 1.00 1.6% 30.3% 3.4 x 10.6 x

Mature Trucking and Logistics Companies (NON-Rail) - Unlevered Beta Calculation: Projected Financial Metrics & Multiples:
Levered Preferred Equity Unlevered Revenue EBITDA EV / EV /
Name Ticker Beta Debt % Debt Stock % Preferred Value % Equity Tax Rate Beta Growth Margin Revenue EBITDA
Old Dominion Freight Line, Inc. ODFL 1.42 $ 114 1.0% $ - – $ 11,744 99.0% 25.7% 1.41 6.2% 26.4% 2.7 x 10.2 x
J.B. Hunt Transport Services, Inc. JBHT 1.07 1,401 11.9% - – 10,389 88.1% 23.6% 0.97 7.9% 14.6% 1.3 x 8.7 x
Knight-Swift Transportation Holdings Inc. KNX 0.99 981 15.5% - – 5,365 84.5% 23.9% 0.87 0.5% 19.6% 1.2 x 6.0 x
Landstar System, Inc. LSTR 1.16 159 3.6% - – 4,262 96.4% 22.3% 1.13 (3.7%) 8.6% 0.9 x 10.8 x
Schneider National, Inc. SNDR 1.46 498 12.7% - – 3,413 87.3% 26.2% 1.32 5.5% 12.9% 0.7 x 5.0 x
Ryder System, Inc. R 1.70 7,350 69.8% - – 3,186 30.2% 26.3% 0.63 7.7% 24.5% 1.2 x 4.7 x
Avis Budget Group, Inc. CAR 1.93 17,264 87.3% - – 2,501 12.7% 26.5% 0.32 1.5% 8.7% 2.1 x 23.8 x
Werner Enterprises, Inc. WERN 1.22 133 5.5% - – 2,294 94.5% 24.9% 1.17 4.6% 19.3% 0.9 x 4.8 x
Hertz Global Holdings, Inc. HTZ 1.84 18,770 92.7% - – 1,476 7.3% 11.0% 0.15 2.5% 5.8% 2.0 x 35.2 x

Median: 1.42 $ 981 12.7% $ - – $ 3,413 87.3% 24.9% 0.97 4.6% 14.6% 1.2 x 8.7 x
Uber Technologies, Inc. - Levered Beta & WACC Calculation for High-Growth Marketplace Companies:
Unlevered Preferred Equity Levered
Ticker Beta Debt % Debt Stock % Preferred Value % Equity Tax Rate Beta
Current Capital Structure: UBER 1.10 $ 6,529 7.9% $ - – $ 75,801 92.1% 25.0% 1.18
"Optimal" Capital Structure: UBER 1.10 3,966 4.8% - – $ 78,365 95.2% 25.0% 1.15

Cost of Equity Based on Comparables, Current Capital Structure: 9.64%

Cost of Equity Based on Comparables, "Optimal" Capital Structure: 9.46%

WACC = Cost of Equity * % Equity + Cost of Debt * (1 - Tax Rate) * % Debt + Cost of Preferred Stock * % Preferred Stock

WACC, Current Capital Structure: 9.39%

WACC, "Optimal" Capital Structure: 9.32%

Average WACC Produced by All Methods: 9.36%

Uber Technologies, Inc. - Levered Beta & WACC Calculation for Mature Marketplace and Transportation Companies:
Unlevered Preferred Equity Levered
Ticker Beta Debt % Debt Stock % Preferred Value % Equity Tax Rate Beta
Current Capital Structure: UBER 0.98 $ 6,529 7.9% $ - – $ 75,801 92.1% 25.0% 1.05
"Optimal" Capital Structure: UBER 0.98 10,488 12.7% - – 71,843 87.3% 25.0% 1.09

Cost of Equity Based on Comparables, Current Capital Structure: 8.87%

Cost of Equity Based on Comparables, "Optimal" Capital Structure: 9.13%

WACC = Cost of Equity * % Equity + Cost of Debt * (1 - Tax Rate) * % Debt + Cost of Preferred Stock * % Preferred Stock

WACC, Current Capital Structure: 8.69%

WACC, "Optimal" Capital Structure: 8.81%

Average WACC Produced by All Methods: 8.75%