DoorDash (NASDAQ:DASH) Price Target Raised to $288.00 at BMO Capital Markets

Key Points

• BMO Capital Markets has increased DoorDash's price target from $238.00 to $288.00, suggesting an upside potential of 11.57% from its previous close.
• The company's quarterly earnings report showed a 24.9% revenue increase year-over-year, with earnings per share of $0.65 exceeding estimates by $0.23.
• DoorDash stock currently has an average rating of "Moderate Buy" with 90.64% of shares owned by institutional investors and hedge funds.

DoorDash (NASDAQ:DASH - Get Free Report) had its price objective lifted by analysts at BMO Capital Markets from $238.00 to $288.00 in a research note issued to investors on Thursday,Benzinga reports. The firm currently has an "outperform" rating on the stock. BMO Capital Markets' target price indicates a potential upside of 11.12% from the company's previous close.

Several other brokerages also recently weighed in on DASH. Roth Capital lifted their price objective on shares of DoorDash from $191.00 to $225.00 and gave the company a "neutral" rating in a research report on Monday, July 14th. JMP Securities boosted their price objective on DoorDash from $235.00 to $250.00 and gave the stock a "market outperform" rating in a research report on Tuesday, July 15th. Sanford C. Bernstein raised their target price on DoorDash from $210.00 to $265.00 and gave the company an "outperform" rating in a research report on Monday, July 21st. UBS Group lifted their target price on DoorDash from $196.00 to $260.00 and gave the company a "neutral" rating in a research note on Tuesday, July 29th. Finally, Morgan Stanley reissued an "overweight" rating and issued a $275.00 price target (up previously from $220.00) on shares of DoorDash in a research note on Monday, July 21st. Twelve research analysts have rated the stock with a hold rating, twenty-three have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $259.18.

DoorDash Stock Performance

Shares of DoorDash stock traded down $11.80 during trading hours on Thursday, reaching $259.19. The company's stock had a trading volume of 5,340,842 shares, compared to its average volume of 3,280,438. The company's 50 day simple moving average is $236.11 and its 200 day simple moving average is $206.45. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.72 and a current ratio of 2.07. DoorDash has a one year low of $121.44 and a one year high of $278.15. The stock has a market cap of $109.83 billion, a P/E ratio of 144.00 and a beta of 1.70.

DoorDash (NASDAQ:DASH - Get Free Report) last issued its earnings results on Wednesday, August 6th. The company reported $0.65 earnings per share for the quarter, topping the consensus estimate of $0.42 by $0.23. DoorDash had a return on equity of 9.56% and a net margin of 6.57%. The firm had revenue of $3.28 billion for the quarter, compared to analyst estimates of $3.16 billion. During the same period last year, the company earned ($0.38) earnings per share. The firm's revenue for the quarter was up 24.9% on a year-over-year basis. As a group, analysts expect that DoorDash will post 2.22 EPS for the current fiscal year.

Insider Activity at DoorDash

In other news, CEO Tony Xu sold 4,042 shares of the stock in a transaction on Monday, July 28th. The stock was sold at an average price of $250.28, for a total value of $1,011,631.76. Following the completion of the sale, the chief executive officer owned 520,450 shares in the company, valued at $130,258,226. This represents a 0.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Ravi Inukonda sold 1,425 shares of the stock in a transaction on Friday, July 25th. The shares were sold at an average price of $244.78, for a total value of $348,811.50. Following the completion of the sale, the chief financial officer owned 244,905 shares of the company's stock, valued at $59,947,845.90. The trade was a 0.58% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 583,537 shares of company stock worth $133,720,004. Insiders own 5.83% of the company's stock.

Institutional Trading of DoorDash

A number of hedge funds have recently modified their holdings of the business. GFG Capital LLC acquired a new stake in shares of DoorDash during the second quarter worth approximately $30,000. Saudi Central Bank acquired a new stake in shares of DoorDash during the first quarter worth approximately $25,000. WPG Advisers LLC acquired a new stake in shares of DoorDash during the first quarter worth approximately $26,000. Pacific Center for Financial Services acquired a new stake in shares of DoorDash during the first quarter worth approximately $27,000. Finally, Harbour Investments Inc. boosted its holdings in shares of DoorDash by 55.6% during the first quarter. Harbour Investments Inc. now owns 196 shares of the company's stock worth $36,000 after purchasing an additional 70 shares during the period. Hedge funds and other institutional investors own 90.64% of the company's stock.

About DoorDash

DoorDash, Inc, together with its subsidiaries, operates a commerce platform that connects merchants, consumers, and independent contractors in the United States and internationally. The company operates DoorDash Marketplace and Wolt Marketplace, which provide various services, such as customer acquisition, demand generation, order fulfillment, merchandising, payment processing, and customer support.