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DoorDash, Inc. Class A Common Stock (DASH) Stock

DoorDash, Inc. Class A Common Stock Stock Details, Movements and Public Alerts

DoorDash (DASH): How Tony Xu Built a $70B Logistics Empire Beyond Food Delivery

When Tony Xu co-founded DoorDash in 2013 as a Stanford student delivering macarons for a small bakery, the food delivery market was fragmented and unprofitable. Twelve years later, Xu has built the undisputed leader in U.S. food delivery—controlling 67% market share versus Uber Eats (24%) and Grubhub (9%). But the 2025 investment thesis extends far beyond restaurant takeout. DoorDash now delivers groceries from Albertsons and Walmart, alcohol from Total Wine, retail items from PetSmart and Sephora, and operates white-label logistics (DoorDash Drive) for corporations. International expansion through Wolt accelerates European penetration. With gross order value exceeding $80 billion annually and DashPass subscription members providing predictable revenue, Tony Xu is transforming DoorDash from a food app into essential logistics infrastructure. The valuation premium (138x trailing P/E, 63x forward P/E) reflects expectations that local commerce will consolidate onto DoorDash's platform—making it the Amazon of same-day delivery.

52-Week Range

$285.50 - $155.40

-27.51% from high · +33.18% from low

Avg Daily Volume

11,396,380

Latest volume

Fundamentals

Valuation Metrics

P/E Ratio (TTM)

138.84

Above market average

Forward P/E

62.89

Earnings expected to grow

PEG Ratio

0.68

Potentially undervalued

Price to Book

12.93

EV/EBITDA

100.29

EPS (TTM)

$1.83

Price to Sales

9.12

Beta

1.71

More volatile than market

How is DASH valued relative to its earnings and growth?
DoorDash, Inc. Class A Common Stock trades at a P/E ratio of 138.84, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 62.89 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 0.68 suggests the stock may be undervalued relative to its growth rate.
What is DASH's risk profile compared to the market?
With a beta of 1.71, DoorDash, Inc. Class A Common Stock is significantly more volatile than the market. For every 10% market move, this stock tends to move 17% in the same direction. Higher beta stocks offer greater potential returns but with increased risk. The price-to-book ratio of 12.93 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Performance & Growth

Profit Margin

6.57%

Operating Margin

5.63%

EBITDA

$834.00M

Return on Equity

9.64%

Return on Assets

2.55%

Revenue Growth (YoY)

24.90%

Earnings Growth (YoY)

0.00%

How profitable and efficient is DASH's business model?
DoorDash, Inc. Class A Common Stock achieves a profit margin of 6.57%, meaning it retains $6.57 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of 5.63% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 9.64% and ROA at 2.55%, the company achieves moderate returns on invested capital.
What are DASH's recent growth trends?
DoorDash, Inc. Class A Common Stock's revenue grew by 24.90% year-over-year, representing robust expansion that significantly outpaces typical market growth rates. This strong top-line performance suggests the company is successfully capturing market share or benefiting from favorable industry trends.0 These growth metrics should be evaluated against INTERNET RETAIL industry averages for proper context.

Company Size & Market

Market Cap

$108.5B

Revenue (TTM)

$11.89B

Revenue/Share (TTM)

$28.38

Shares Outstanding

402.36M

Book Value/Share

$20.90

Asset Type

Common Stock

What is DASH's market capitalization and position?
DoorDash, Inc. Class A Common Stock has a market capitalization of $108.5B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 402.36M shares outstanding, the company's ownership is relatively concentrated. As a major player in the INTERNET RETAIL industry, it competes with other firms in this sector.
How does DASH's price compare to its book value?
DoorDash, Inc. Class A Common Stock's book value per share is $20.90, while the current stock price is $206.96, resulting in a price-to-book (P/B) ratio of 9.90. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As a common stock, this represents equity ownership with voting rights.

Analyst Ratings

Analyst Target Price

$302.52

46.17% upside potential

Analyst Recommendations

Strong Buy

6

Buy

23

Hold

11

Sell

0

Strong Sell

1

How reliable are analyst predictions for DASH?
41 analysts cover DASH with 71% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The strong bullish consensus may already be priced in. The consensus target of $302.52 implies 46.2% upside, but targets are often adjusted to follow price moves rather than predict them.
What is the Wall Street consensus on DASH?
Current analyst recommendations:6 Strong Buy, 23 Buy, 11 Hold, 01 Strong Sell. The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

Fundamentals last updated: Nov 1, 2025, 02:29 AM

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DoorDash (DASH) Stock Analysis 2025: Complete Investment Guide

In Q3 2024, DoorDash reported marketplace gross order value (GOV) of $20.0 billion, up 19% year-over-year, with total orders reaching 643 million. Tony Xu's strategic vision is clear: DoorDash wins by being the fastest, most reliable logistics network for anything local. While competitors like Uber Eats optimize for restaurant density, Xu built superior delivery logistics—proprietary routing algorithms, demand prediction, and a 4+ million driver network (Dashers). The result: DoorDash captures 67% of U.S. food delivery orders and is now extending that infrastructure into every category of local commerce. The company turned GAAP profitable in Q4 2023 and has sustained profitability since, validating the unit economics that skeptics questioned for years.

Business Model & Competitive Moat

DoorDash operates a three-sided marketplace connecting consumers, merchants, and independent contractors (Dashers). The company generates revenue from delivery fees paid by consumers, commissions from merchants (typically 15-30% of order value), advertising sold to restaurants/brands, and DashPass subscriptions ($9.99/month for $0 delivery fees). The moat derives from network effects: more consumers attract more restaurants, which attracts more Dashers, creating a liquidity flywheel that competitors cannot replicate. Tony Xu's focus on delivery speed and reliability builds brand preference—DoorDash consistently shows faster delivery times than Uber Eats in head-to-head markets.

Unlike Uber, which monetizes rides and food delivery through the same driver base, DoorDash is dedicated exclusively to local logistics. This specialization enables superior performance: the company's algorithms optimize for lightweight items, short distances, and batch deliveries. DoorDash Drive (white-label fulfillment) lets merchants like Chipotle, Walmart, and PetSmart use DoorDash's logistics without sending customers to the DoorDash app. This B2B revenue stream diversifies beyond the consumer marketplace and embeds DoorDash into enterprise supply chains.

Financial Performance

DoorDash delivered strong Q3 2024 results with GAAP net income of $162 million and adjusted EBITDA of $533 million (up 80% YoY). Revenue grew 25% to $2.71 billion. Key financial metrics demonstrate improving unit economics and margin expansion:

  • •Gross Order Value: $20.0B in Q3 2024 (+19% YoY), $80B+ annual run rate
  • •Total Orders: 643M in Q3 (+18% YoY), demonstrating platform engagement
  • •Profitability: GAAP profitable for 4 consecutive quarters, adjusted EBITDA margin expanding
  • •Cash Generation: Free cash flow positive with $4.8B cash on balance sheet
  • •Valuation Metrics: Trailing P/E of 138.84, forward P/E of 62.89 (indicating 2x earnings growth expected)

Growth Catalysts

  • •Grocery & Retail Expansion: Non-restaurant categories now 30%+ of GOV, with partnerships including Albertsons, Walmart, CVS, PetSmart, Sephora—expanding total addressable market
  • •DashPass Subscription Growth: Members order 3-4x more frequently than non-subscribers, creating predictable recurring revenue and customer lock-in
  • •International via Wolt: Wolt acquisition (2022) extends DoorDash to 27 countries across Europe, Middle East, Asia—providing runway beyond saturated U.S. market
  • •DoorDash Drive (B2B Logistics): White-label fulfillment for enterprise clients creates high-margin B2B revenue less vulnerable to consumer cyclicality
  • •Advertising Revenue: In-app advertising (promoted listings, banner ads) monetizes merchant competition for visibility—high-margin incremental revenue stream

Risks & Challenges

  • •Regulatory Pressure: Cities like New York, San Francisco, Seattle cap delivery fees at 15%, compressing merchant commissions and threatening unit economics
  • •Labor Classification Risk: Potential AB5-style laws reclassifying Dashers as employees would dramatically increase costs and destroy the business model
  • •Intense Competition: Uber Eats has unlimited capital from Uber's ride-sharing profits to subsidize food delivery market share battles
  • •Merchant Pushback: Restaurants resent 20-30% commissions and are experimenting with owned delivery (e.g., Domino's) and alternative platforms
  • •Economic Sensitivity: Consumer discretionary spending on delivery is vulnerable to recession—premium valuation assumes growth continues

Competitive Landscape

DoorDash competes primarily with Uber Eats and Grubhub (owned by Just Eat Takeaway). In the U.S., DoorDash commands 67% market share versus Uber Eats (24%) and Grubhub (9%). Uber's advantage is cross-platform synergies—drivers switching between rides and deliveries, shared customer acquisition costs. However, Tony Xu's dedicated focus on local logistics has proven superior: DoorDash consistently achieves faster delivery times and higher merchant satisfaction. Instacart competes in grocery delivery but lacks restaurant density. Amazon Fresh and Walmart compete in grocery but have not cracked restaurant delivery at scale.

Internationally, DoorDash (via Wolt) competes with Delivery Hero (Germany), Just Eat Takeaway (Europe), and Meituan (China). The competitive moat is local—market-by-market logistics density matters more than global brand. DoorDash's strategy is to dominate the U.S. (where it already leads) and selectively expand internationally through acquisitions rather than building from scratch.

Who Is This Stock Suitable For?

Perfect For

  • ✓Growth investors betting on local commerce digitization
  • ✓Long-term investors (5+ year horizon) accepting volatility
  • ✓Tech portfolio diversification into logistics/marketplace
  • ✓Investors bullish on gig economy sustainability

Less Suitable For

  • ✗Value investors (trading at 138x trailing P/E)
  • ✗Income investors (no dividend, unlikely to pay one soon)
  • ✗Risk-averse investors (regulatory and labor risks)
  • ✗Short-term traders (high volatility, momentum-driven)

Investment Thesis

DoorDash represents a high-conviction bet that local commerce will consolidate onto digital logistics platforms, with DoorDash emerging as the U.S. leader. Tony Xu has proven the business model works—achieving GAAP profitability while maintaining 19% GOV growth and expanding into adjacencies (grocery, retail, alcohol). The 138x trailing P/E is expensive, but the 63x forward P/E indicates Wall Street expects near-doubling of earnings as scale economies kick in. The investment thesis rests on three pillars: (1) DoorDash defends and extends its 67% U.S. market share, (2) non-restaurant categories (grocery, retail) reach 40-50% of GOV, creating diversification beyond cyclical restaurant spending, and (3) DashPass subscriptions reach 20+ million members, providing predictable recurring revenue.

The risks are real: regulatory caps on fees, potential labor reclassification, and Uber's willingness to burn cash competing. But DoorDash has survived multiple competitive assaults (Uber Eats, Grubhub) and emerged stronger each time. For investors with 5+ year time horizons who believe local commerce is moving online, DoorDash is the best pure-play. The valuation requires growth and margin expansion to continue—but Tony Xu's track record suggests he will deliver.

Conclusion

DoorDash is a HOLD for existing shareholders and a selective BUY for growth investors on pullbacks below $140. The company has proven skeptics wrong by achieving profitability while growing, but the valuation leaves little room for error. Best suited for investors who believe local commerce logistics will consolidate into winner-take-most platforms—with DoorDash positioned as the U.S. leader.
Bull Case
$210 (30% upside) - DashPass hits 25M subs, non-restaurant GOV reaches 50%, margins expand to 10%+
Base Case
$165 (2% upside) - Maintains market share, steady growth, valuation compresses to 50x forward P/E
Bear Case
$110 (32% downside) - Regulatory caps spread nationwide, Uber Eats gains share, recession kills delivery spending

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