DoorDash (DASH) AI Stock Analysis

• Market Cap: $91.09B
• Dividend Yield: N/A
• Average Volume (3M): 4.37M
• Price to Earnings (P/E): 281.1
• Beta (1Y): 1.67
• Revenue Growth: 23.35%
• EPS Growth: N/A
• Country: US
• Employees: 23,700
• Sector: Communication Services
• Sector Strength: 90
• Industry: Internet Content & Information
• EPS (TTM): 0.44
• Shares Outstanding: 398,681,300
• 10 Day Avg. Volume: 4,278,019
• 30 Day Avg. Volume: 4,374,279
• PEG Ratio: -0.08
• Price to Book (P/B): 2.68
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 863.45
• Enterprise Value/Market Cap: 0.18
• Enterprise Value/Revenue: 0.40
• Enterprise Value/Gross Profit: 3.09
• Enterprise Value/Ebitda: 9.79
• 1Y Price Target: $218.64
• Price Target Upside: 0.39% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 26

• Rating: 76 Outperform
• Price Target: $249.00 ▲(14.33%Upside)

DoorDash's overall score of 76 reflects strong financial performance, robust growth prospects, and positive earnings sentiment. The technical analysis supports a bullish outlook, though caution is advised due to high valuation and overbought technical indicators. Strategic expansions and successful financial management underpin the company's promising future, albeit with risks related to valuation and market expectations.

Positive Factors

Advertising Growth

There is ample runway to improve advertising monetization, and if DoorDash can increase advertising penetration, it would equate to an incremental $1.8bn in advertising revenue.

International Expansion

The prospective purchase of Deliveroo would allow DoorDash seamless entry into 10 new geographies, reducing the marketing intensity required to establish a footprint organically in Western Europe.

Market Leadership

DoorDash is currently the market leader in restaurant delivery and continues to expand into adjacent categories and markets such as grocery, convenience, alcohol, general retail, and home improvement.

Negative Factors

Competitive Pressure

The competitive environment also continues to grow, with the Uber Eats + Instacart partnership adding additional delivery verticals.

Profitability Challenges

Grocery gross margin remains dilutive, and the impact on volume is not yet clear, posing a challenge to profitability.

Valuation Concerns

Despite these positives, shares are considered fairly valued at the moment, with a more positive outlook likely on a pullback.

DoorDash Business Overview & Revenue Model

Company Description

DoorDash, Inc. operates a logistics platform that connects merchants, consumers, and dashers in the United States and internationally. It operates DoorDash and Wolt marketplaces, which provides an array of services that enable merchants to solve mission-critical challenges, such as customer acquisition, delivery, insights and analytics, merchandising, payment processing, and customer support; DashPass and Wolt+, a membership products; and offers DoorDash Drive and Wolt Drive, a white-label delivery fulfillment services; DoorDash Storefront that enables merchants to offer consumers on-demand access to e-commerce; and Bbot, which offers merchants digital ordering and payment solutions for in-store and online channels. The company was formerly known as Palo Alto Delivery Inc. and changed its name to DoorDash, Inc. in 2015. DoorDash, Inc. was incorporated in 2013 and is headquartered in San Francisco, California.

How the Company Makes Money

DoorDash generates revenue primarily through commissions and fees from its marketplace platform. The company charges restaurants a commission fee for using its platform, which can vary based on factors such as location and service tier. Additionally, DoorDash earns money from delivery and service fees charged to consumers, as well as subscription fees from its DashPass service, which offers consumers benefits like reduced delivery fees for a monthly charge. The company also partners with businesses to provide marketing and advertising solutions, enabling them to increase their visibility on the platform. Strategic partnerships with businesses in the convenience and grocery sectors further expand DoorDash's revenue streams, solidifying its position in the competitive on-demand delivery market.

DoorDash Financial Statement Overview

Summary

DoorDash demonstrates strong financial performance with rapid revenue growth, improving profitability, and robust cash flow generation. The company's financial stability is supported by a strong equity base and manageable debt levels. Continued focus on profitability and cash management will be key to sustaining this positive trajectory.

Income Statement

DoorDash's income statement shows strong revenue growth and improving profitability. The TTM revenue growth rate is impressive, and the company has transitioned from negative EBIT and net income to positive figures. The gross profit margin remains robust, reflecting efficient cost management.

Balance Sheet

The balance sheet reflects a solid equity base with a manageable debt-to-equity ratio. The equity ratio indicates a strong asset base supported by equity. However, the company remains reliant on equity financing, which could pose a risk if market conditions change.

Cash Flow

The cash flow statement shows positive trends with a strong operating cash flow and substantial free cash flow. The free cash flow growth rate is noteworthy, indicating efficient capital management. The operating cash flow to net income ratio suggests healthy cash generation relative to reported profits.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
11.24B	10.72B	8.63B	6.58B	4.89B	2.89B
	Gross Profit
5.39B	5.18B	4.05B	3.00B	2.55B	1.52B
	EBIT
180.00M	-38.00M	-579.00M	-1.03B	-452.00M	-436.00M
	EBITDA
793.00M	523.00M	-68.00M	-663.00M	-293.00M	-306.00M
	Net Income Common Stockholders
339.00M	123.00M	-558.00M	-1.37B	-468.00M	-461.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
5.82B	5.34B	4.08B	3.52B	3.76B	4.86B
	Total Assets
13.57B	12.85B	10.84B	9.79B	6.81B	6.35B
	Total Debt
527.00M	536.00M	522.00M	511.00M	399.00M	617.00M
	Net Debt
-3.97B	-3.48B	-2.13B	-1.47B	-2.10B	-3.73B
	Total Liabilities
5.18B	5.04B	4.03B	3.02B	2.14B	1.65B
	Stockholders Equity
8.39B	7.80B	6.81B	6.75B	4.67B	4.70B
Cash Flow		Free Cash Flow
1.88B	2.03B	1.35B	21.00M	455.00M	93.00M
	Operating Cash Flow
2.21B	2.13B	1.67B	367.00M	692.00M	252.00M
	Investing Cash Flow
-532.00M	-444.00M	-342.00M	-300.00M	-2.05B	-192.00M
	Financing Cash Flow
-208.00M	-204.00M	-752.00M	-375.00M	-483.00M	4.00B

DoorDash Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 217.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DASH, the sentiment is Positive. The current price of 217.8 is above the 20-day moving average (MA) of 208.55, above the 50-day MA of 193.81, and above the 200-day MA of 174.61, indicating a bullish trend. The MACD of 6.72 indicates Negative momentum. The RSI at 63.39 is Neutral, neither overbought nor oversold. The STOCH value of 77.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DASH.

DoorDash Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DASH	76 Outperform	$91.09B	281.08	4.41%	―	23.35%	―
YELP	71 Outperform	$2.37B	17.56	19.74%	―	5.93%	29.17%
Z	66 Neutral	$17.21B	―	-1.72%	―	14.96%	49.24%
ZG	64 Neutral	$17.21B	―	-1.72%	―	14.96%	49.24%
Sector *	61 Neutral	$14.79B	5.90	-3.99%	6.20%	2.67%	-30.30%
SEAT	51 Neutral	$375.05M	25.25	-1.00%	―	0.82%	-102.72%
KIND	51 Neutral	$627.45M	―	-18.77%	―	12.01%	35.71%

DoorDash Corporate Events

DoorDash Closes $2.75 Billion Convertible Notes Offering

On May 30, 2025, DoorDash announced the closing of its $2.75 billion private offering of 0% convertible senior notes due 2030, sold to qualified institutional buyers. The proceeds, approximately $2.72 billion after fees, will enhance strategic flexibility, fund a convertible note hedge to mitigate share dilution, and support general corporate purposes, including potential acquisitions and stock repurchases.

The most recent analyst rating on (DASH) stock is a Hold with a $120.00 price target. To see the full list of analyst forecasts on DoorDash stock, see the DASH Stock Forecast page.

DoorDash Increases Convertible Notes Offering to $2.5 Billion

On May 27, 2025, DoorDash announced the pricing of its $2.5 billion convertible senior notes due 2030, an increase from the initially planned $2.0 billion. This strategic capital raise aims to enhance DoorDash’s financial flexibility, with part of the proceeds allocated to hedge transactions to mitigate share dilution. The offering is expected to settle on May 30, 2025, and includes an option for initial purchasers to buy additional notes. This move is likely to impact DoorDash’s market positioning by providing resources for potential acquisitions and share repurchases, while also influencing the market price of its Class A common stock.

The most recent analyst rating on (DASH) stock is a Hold with a $120.00 price target. To see the full list of analyst forecasts on DoorDash stock, see the DASH Stock Forecast page.

DoorDash Announces Acquisition of Deliveroo for £2.9 Billion

On May 6, 2025, DoorDash announced a final cash offer to acquire Deliveroo, valuing the company at approximately £2.9 billion. The acquisition, expected to close in Q4 2025, will be executed via a court-sanctioned scheme of arrangement under the UK Companies Act. Deliveroo shareholders will receive 180 pence per share, representing a significant premium over recent share prices. The transaction aims to enhance DoorDash’s position as a leading global platform in local commerce, expanding its reach to over 40 countries and serving approximately 50 million monthly active users. The combined entity will leverage complementary geographic operations and shared strategic visions to invest in innovation and improve offerings for stakeholders, including businesses, consumers, and couriers.

DoorDash Reports Record Q1 2025 Financial Results

On May 6, 2025, DoorDash announced its financial results for the first quarter of 2025, reporting record highs in Total Orders, Marketplace GOV, revenue, and GAAP net income. The company highlighted its strategic focus on product development and operational improvements, which contributed to its financial success. Additionally, DoorDash revealed plans to acquire SevenRooms Inc. and Deliveroo plc, aiming to enhance its service offerings and support its growth in local commerce. The first quarter saw an 18% year-over-year increase in Total Orders and a 21% rise in revenue, with significant progress in expanding its U.S. Marketplace and grocery category.