The shares fell 7.6 percent to $37, the company’s lowest close ever. The previous low was on May 13 at $37.10. Since it first started trading publicly in May, Uber has lost almost 20 percent of its value from its IPO price of $45 per share.
The company blamed the Q2 results on stock-based compensation costs, and the company said it had a per share loss of $4.72 on $3.17 billion of revenue. Both those numbers were below estimates.
CEO Dara Khosrowshahi said that the losses were “once-in-a-lifetime.” Investors are still unsure whether the company, or ride-hailing services in general, can be profitable. Lyft has also shed value, falling 4.9 percent on Monday (Aug. 12).
Early Uber investor Bradley Tusk said that Uber needs to be more competitive.
“They’ve got to be that A-to-Z for transportation,” Tusk said. “Whether you’re getting yourself to A-to-B on a bike, scooter, or a car, bus, whether furniture being shipped on a truck, or a burrito from a messenger, they’ve got to be the default for all of that.”
On Friday (Aug. 9), Khosrowshahi said Uber almost acquired premium food delivery service Caviar but ultimately decided against it.
“We took a look at Caviar. It’s a great brand,” Khosrowshahi said in an interview. “It wasn’t the right deal for us.”
Square sold Caviar to DoorDash instead, for $410 million on Aug. 1. Square originally purchased Caviar in 2014 for $44 million.
Khosrowshahi noted that Uber Eats would focus on growth instead of acquisitions.
“The Eats market continues to be very competitive,” he said.
He added he’s not worried that turning down Caviar will have any effect on future potential acquisitions.
“We’re Uber,” he said. “Everyone wants to talk to us.”