Uber's Q1 earnings reveal a major red flag: despite 25% higher gross bookings and 20% more trips in mobility, revenue was flat year-over-year (0% growth in constant currency), indicating the company is forced to lower prices to compete in a price-sensitive market. This suggests consumer weakness and margin compression in the core mobility business, with growth only coming from the higher-margin delivery segment.

Uber's impressive Q4 2023 earnings beat ($0.66 EPS vs $0.17 expected) was largely driven by $1 billion in unrealized mark-to-market gains on equity holdings (Aurora, Didi, Grab) rather than core business operations ($652M), meaning two-thirds of reported profit came from paper gains. Author argues this unsustainable profit source will cause Uber to significantly miss future earnings when these holdings decline or stabilize in value.

GME is undervalued compared to other overvalued tech companies like Uber and Snap that have massive losses; GME generated $6.5bn revenue in 2020 with near-breakeven losses while trading at only $3.4bn market cap, making it a better fundamental buy than heavily-hyped digital-only companies with bleeding losses.