DoorDash (NASDAQ:DASH) Trading Down 3.7% - Here's Why

Key Points

• DoorDash's stock price fell by 3.7%, trading at $254.57 after hitting a low of $254.82 on Wednesday, with trading volume significantly below average.
• Analysts have varying outlooks with BMO Capital Markets raising their price target to $288.00 and KeyCorp increasing theirs to $325.00, reflecting a consensus rating of "Moderate Buy".
• DoorDash reported a quarterly earnings per share (EPS) of $0.65, exceeding expectations and marking a 24.9% increase in revenue compared to the previous year.

DoorDash, Inc. (NASDAQ:DASH - Get Free Report)'s stock price dropped 3.7% on Wednesday . The stock traded as low as $254.82 and last traded at $254.57. Approximately 701,252 shares were traded during mid-day trading, a decline of 85% from the average daily volume of 4,752,667 shares. The stock had previously closed at $264.32.

Wall Street Analysts Forecast Growth

DASH has been the topic of several recent analyst reports. BMO Capital Markets lifted their price target on shares of DoorDash from $238.00 to $288.00 and gave the company an "outperform" rating in a report on Thursday, August 7th. KeyCorp reiterated an "overweight" rating and issued a $325.00 price target (up previously from $295.00) on shares of DoorDash in a report on Thursday, August 7th. Roth Capital lifted their price target on shares of DoorDash from $191.00 to $225.00 and gave the company a "neutral" rating in a report on Monday, July 14th. BTIG Research lifted their price target on shares of DoorDash from $225.00 to $265.00 and gave the company a "buy" rating in a report on Tuesday, July 1st. Finally, DA Davidson boosted their target price on shares of DoorDash from $150.00 to $190.00 and gave the company a "neutral" rating in a report on Tuesday, May 6th. Twelve research analysts have rated the stock with a hold rating, twenty-three have given a buy rating and one has issued a strong buy rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $263.88.

DoorDash Stock Down 4.5%

The stock has a market cap of $106.92 billion, a PE ratio of 139.89 and a beta of 1.70. The company has a debt-to-equity ratio of 0.30, a quick ratio of 2.07 and a current ratio of 2.07. The company's 50-day moving average price is $237.98 and its 200 day moving average price is $207.72.

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

Insider Activity

In other DoorDash news, CEO Tony Xu sold 4,042 shares of DoorDash stock in a transaction that occurred on Monday, July 28th. The shares were sold at an average price of $250.28, for a total transaction of $1,011,631.76. Following the transaction, the chief executive officer owned 520,450 shares of the company's stock, valued at $130,258,226. The trade was a 0.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Andy Fang sold 50,000 shares of DoorDash stock in a transaction that occurred on Thursday, August 7th. The shares were sold at an average price of $275.74, for a total transaction of $13,787,000.00. Following the transaction, the director directly owned 22,545 shares in the company, valued at $6,216,558.30. This represents a 68.92% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 635,187 shares of company stock worth $147,955,804. Company insiders own 5.83% of the company's stock.

Institutional Investors Weigh In On DoorDash

Institutional investors and hedge funds have recently modified their holdings of the stock. Gilbert & Cook Inc. raised its stake in DoorDash by 2.6% during the second quarter. Gilbert & Cook Inc. now owns 1,685 shares of the company's stock valued at $415,000 after purchasing an additional 42 shares in the last quarter. Perigon Wealth Management LLC raised its stake in shares of DoorDash by 1.3% in the second quarter. Perigon Wealth Management LLC now owns 3,701 shares of the company's stock valued at $912,000 after acquiring an additional 46 shares during the period. Advisory Resource Group grew its holdings in shares of DoorDash by 0.8% in the second quarter. Advisory Resource Group now owns 5,774 shares of the company's stock worth $1,423,000 after purchasing an additional 48 shares during the last quarter. GeoWealth Management LLC grew its holdings in shares of DoorDash by 3.7% in the fourth quarter. GeoWealth Management LLC now owns 1,428 shares of the company's stock worth $240,000 after purchasing an additional 51 shares during the last quarter. Finally, Yeomans Consulting Group Inc. grew its holdings in shares of DoorDash by 3.9% in the second quarter. Yeomans Consulting Group Inc. now owns 1,369 shares of the company's stock worth $326,000 after purchasing an additional 51 shares during the last quarter. Institutional investors own 90.64% of the company's stock.

DoorDash Company Profile

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.

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