Get Paid 13% A Year To Hold UBER Stock You Already Own

Get Paid 13% A Year To Hold UBER Stock You Already Own

Here is a way to get paid a real income now on your Uber shares, cash you keep no matter what, in exchange for agreeing to sell at a higher price if the stock gets there.

Uber Technologies (UBER) has been a frustrating stock to own lately, trading about $70.36 a share and underperforming the broader market over the past year. In fact, the stock currently sits about 30% below its 52-week high. For shareholders waiting for the company's ambitious plans to translate into a higher stock price, there is a way to generate a meaningful cash income from your shares right now, paid upfront, which you keep regardless of what happens next.

13% annualized income on UBER shares you already own, with 14% of upside room, by selling a covered call.

• You own (or buy) 100 shares of UBER near today's price of $70.36.
• Sell one call option on UBER expiring 6/17/2027, with a strike price of $80, about 14% above today.
• Collect roughly $795 in premium up front per contract (each contract covers 100 shares), which you keep no matter what the stock does.
• That premium is about 12.9% annualized on the $7,036 of stock, income you earn just for holding.
• If UBER finishes above $80, your shares are called away at $80. Counting the premium, your total return works out to about 29% annualized, but you give up any gains above the strike.

Two Outcomes, You Keep The Income Either Way

If UBER finishes below $80 on 6/17/2027, the call expires worthless, and you keep the full $795 premium and all your shares. That is about 11% over 321 days, income earned just for holding, and you are free to sell another call.

If UBER finishes above $80, your 100 shares are called away at $80. You still keep the $795 premium, and counting it your total gain works out to about 25% over the holding period (about 29% annualized), a healthy exit. The cost of the trade is that any gain above $80 is no longer yours. And if the stock instead falls, you keep the premium but still ride the shares down, cushioned only slightly.

So the whole trade comes down to one thing: how much of that upside are you really likely to give up, and would you be content to sell at that higher price?

Before You Sell That Call, Know What You Are Capping

The bull case, and the potential upside you would be capping, is that the business is executing crisply. Management points to strong underlying growth, with gross bookings up 21% year-over-year in the latest quarter, and a rapidly expanding Uber One membership program. With over 50 million members who spend 3x more than other users, this loyal base could become a powerful engine for cross-selling new services and driving future profits. Add to that the company's capital-light strategy to become the go-to network for autonomous vehicles, and you have a narrative for significant long-term growth.

On the other hand, the stock's sluggish performance reflects genuine investor concerns about long-term threats that could limit that upside. As analysts on the company's earnings call highlighted, the rise of dedicated autonomous players like Waymo poses a direct competitive risk. An even bigger question is whether future personal AI agents from tech giants could intercept the customer relationship, turning Uber into a commoditized, low-margin utility. These are not small risks, and they help explain why some investors are hesitant to price in all of that blue-sky potential today.

Ultimately, this trade isn't a verdict on whether Uber will dominate the world of robotaxis. It's a pragmatic decision about whether you would be content to exit your position at a healthy, defined profit. The key thing to watch is the execution of its platform strategy. If Uber can keep growing its high-value Uber One membership and successfully layer on new offerings, it strengthens the case that its ecosystem is a durable advantage.

Find The Covered-Call Income On Your Holdings

You may not own UBER, but you almost certainly own something that could be paying you. Our Covered Call Finder lets you type in a stock, or a few, and instantly see the income a covered call could generate on each, then dial the strike up or down with a slider to balance more income against more upside. It is the quickest way to see what the names in your own portfolio could pay.

Where This Income Trade Fits A Bigger Plan

A covered call turns one stock you own into income, but the premium and the downside still come from a single company in a single corner of the market. Durable results come from owning quality across sectors, so that no one name, and no one theme, decides how your year goes.

That is what the Trefis High Quality (HQ) Portfolio is built for: about 30 high-quality businesses spread across sectors, each chosen on the full weight of its fundamentals rather than a single setup, then sized and re-balanced with discipline. It has a track record of outpacing a benchmark that combines the three major indices - the S&P 500, S&P Mid-cap, and Russell 2000. Write calls for income on the names you like, on top of a diversified core that does not lean on any one company or theme.