DoorDash (DASH) AI Stock Analysis

• Market Cap: $112.25B
• Dividend Yield: N/A
• Average Volume (3M): 3.39M
• Price to Earnings (P/E): 146.2
• Beta (1Y): 1.63
• Revenue Growth: 23.78%
• EPS Growth: N/A
• Country: US
• Employees: 23,700
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Internet Content & Information
• EPS (TTM): 0.65
• Shares Outstanding: 402,361,240
• 10 Day Avg. Volume: 3,804,081
• 30 Day Avg. Volume: 3,390,080
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 8.71
• Enterprise Value/Gross Profit: 17.40
• Enterprise Value/Ebitda: 91.41
• 1Y Price Target: $304.19
• Price Target Upside: 14.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 30

• Rating: 78 Outperform
• Price Target: $288.00 ▲(8.37% Upside)

DoorDash's overall stock score reflects its strong financial performance and positive earnings call sentiment, which are the most significant factors. The technical analysis supports a positive outlook, although the high P/E ratio suggests caution regarding valuation. The company's strategic growth initiatives and operational efficiencies contribute to a favorable long-term outlook.

Positive Factors

Revenue Growth

DoorDash's robust revenue growth highlights its expanding market reach and successful strategic initiatives, ensuring long-term business sustainability.

Partnership Expansion

The partnership with Untappd expands DoorDash's product offerings, enhancing customer experience and potentially increasing user engagement and retention.

International Expansion

Strong international growth indicates DoorDash's ability to successfully penetrate new markets, diversifying revenue streams and reducing dependency on the U.S. market.

Negative Factors

Higher Operating Expenses

Increased operating expenses could pressure margins and profitability, potentially limiting financial flexibility and affecting long-term growth prospects.

Challenges in Delivery Systems

Complexities in developing autonomous delivery systems may delay operational efficiencies and increase costs, impacting DoorDash's competitive edge.

Convertible Notes Offering

Issuing convertible notes increases financial obligations and potential share dilution, which could affect shareholder value and financial stability.

DoorDash Business Overview & Revenue Model

Company Description

DoorDash, Inc. (DASH) is a leading on-demand logistics platform that connects consumers with their favorite local and national businesses. Primarily operating within the food delivery sector, DoorDash partners with restaurants to offer a seamless ordering experience through its app and website, allowing customers to order meals from a wide range of eateries. The company is headquartered in San Francisco, California, and has expanded its services to include convenience and grocery delivery, catering to various consumer needs.

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 robust revenue growth, improved profitability, and a stable balance sheet. The company's low leverage and effective cash flow management enhance its financial resilience, though there is room for operational efficiency improvements.

Income Statement

DoorDash has demonstrated strong revenue growth with a TTM revenue increase of 5.82% and a consistent upward trend over the years. The gross profit margin remains healthy at 47.94%, indicating efficient cost management. The net profit margin has improved significantly to 3.02% in the TTM, reflecting enhanced profitability. However, the EBIT and EBITDA margins, although positive, are relatively low, suggesting room for operational efficiency improvements.

Balance Sheet

The company's balance sheet shows a solid equity position with a low debt-to-equity ratio of 0.06, indicating financial stability and low leverage risk. Return on equity has improved to 4.39% in the TTM, showcasing better utilization of equity. The equity ratio is robust, reflecting a strong asset base supported by equity. Overall, the balance sheet is stable with a conservative financial structure.

Cash Flow

DoorDash's cash flow performance is strong, with a TTM free cash flow growth of 2.99% and a high free cash flow to net income ratio of 0.85, indicating effective cash generation relative to earnings. The operating cash flow to net income ratio is 0.48, suggesting good cash flow coverage. The company has shown consistent improvement in cash flow metrics, supporting its financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.89B	10.72B	8.63B	6.58B	4.89B	2.89B
Gross Profit	5.95B	5.18B	4.05B	3.00B	2.55B	1.52B
EBITDA	1.13B	523.00M	-68.00M	-663.00M	-296.00M	-306.00M
Net Income	781.00M	123.00M	-558.00M	-1.36B	-468.00M	-461.00M
Balance Sheet
Total Assets	16.95B	12.85B	10.84B	9.79B	6.81B	6.35B
Cash, Cash Equivalents and Short-Term Investments	5.00B	5.34B	4.08B	3.52B	3.76B	4.86B
Total Debt	3.25B	536.00M	522.00M	511.00M	399.00M	617.00M
Total Liabilities	8.02B	5.04B	4.03B	3.02B	2.14B	1.65B
Stockholders Equity	8.92B	7.80B	6.81B	6.75B	4.67B	4.70B
Cash Flow
Free Cash Flow	1.71B	1.80B	1.35B	21.00M	455.00M	93.00M
Operating Cash Flow	2.19B	2.13B	1.67B	367.00M	692.00M	252.00M
Investing Cash Flow	-1.33B	-444.00M	-342.00M	-300.00M	-2.05B	-192.00M
Financing Cash Flow	2.17B	-204.00M	-752.00M	-375.00M	-483.00M	4.00B

DoorDash Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 265.75
• 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 265.75 is above the 20-day moving average (MA) of 255.03, above the 50-day MA of 251.03, and above the 200-day MA of 208.65, indicating a bullish trend. The MACD of 4.52 indicates Negative momentum. The RSI at 61.16 is Neutral, neither overbought nor oversold. The STOCH value of 73.48 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	78 Outperform	$112.25B	146.18	9.71%	―	23.78%	―
YELP	73 Outperform	2.00B	14.20	19.98%	―	5.37%	13.08%
ZG	67 Neutral	19.49B	-286.49	-1.31%	―	15.31%	56.19%
Z	66 Neutral	19.49B	-296.85	-1.31%	―	15.31%	56.19%
SEAT	54 Neutral	164.10M	-0.72	3.61%	―	-10.52%	-420.74%
NXDR	54 Neutral	859.72M	-13.18	-14.98%	―	9.65%	56.50%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

DoorDash Corporate Events

DoorDash Reports Strong Q2 2025 Financial Results

On August 6, 2025, DoorDash announced its financial results for the second quarter of 2025, highlighting significant growth across key metrics. The company achieved record highs in total orders, marketplace gross order value (GOV), revenue, and GAAP net income, with total orders reaching 761 million, a 20% year-over-year increase. Revenue grew by 25% to $3.3 billion, and GAAP net income rose to $285 million from a loss of $157 million in the previous year. The company attributes its success to operational excellence and strategic investments, which have enhanced consumer experience and expanded its merchant base. The strong performance in the U.S. market, particularly in the restaurant category, and the growth in DashPass membership have contributed to increased order frequency and consumer engagement. Internationally, DoorDash’s growth in total orders outpaced that of the U.S. market, indicating a broadening appeal and potential for further expansion.

DoorDash Stockholders Approve Key Governance Proposals

On June 24, 2025, DoorDash, Inc. conducted its annual meeting of stockholders where four key proposals were voted upon. These included the election of four Class II directors, ratification of KPMG LLP as the independent public accounting firm, approval of executive compensation, and an amendment to the company’s certificate of incorporation regarding officer exculpation. All proposals were approved, impacting the company’s governance and operational structure.

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.

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.