Why Quint Tatro Likes Uber And Lyft

On CNBC’s "Trading Nation," Quint Tatro of Joule Financial said he likes the recent report by UBS on Uber Technologies, Inc. UBER and Lyft, Inc. LYFT.

Tatro commented that Uber is going to see an increase in margins with ride-sharing movement getting back online. For those concerned about spread of new variants, the company has a huge delivery business, which is doing "exceptionally well," he said. Tatro added that he likes both names here.

UBS named Uber a top pick, initiating coverage on the stock with a Buy rating and announcing a price target of $80. UBS also initiated coverage of Lyft with a Buy rating and $60 price target, implying 50.8% upside.

Price Action: Uber shares, which are down around 25% since the start of the year, gained 5.8% to close at $38.12 on Thursday. Shares of Lyft climbed 7.7% to settle at $41.15.