Market Overview

DoorDash Gets First Analyst Rating: Here's Why He's Bullish

DoorDash Gets First Analyst Rating: Here's Why He's Bullish

Food delivery company DoorDash has yet to list its stock in a public exchange, but The Street is out with its first rating.

The Analyst: DA Davidson analyst Tom White initiated coverage of DoorDash's (NYSE: DASH) stock with a Buy rating and $93 price target.

The Thesis: DoorDash was founded in 2013 and has grown to capture a 17% market share of the U.S. food delivery platform by early 2018 and expanded to command a 36% market share at the start of 2020. Over the following months, DoorDash expanded its U.S. market share to 50%.

White said DoorDash has a path to continue growing sales as the ratio of off-premise restaurant sales continue to grow over time. In fact, certain key DoorDash metrics show the company is in the very early stages of growth.

Related Link: What The DoorDash S-1 Filing Means For Uber

Specifically, the platform oversaw $8 billion of gross order value in 2019 and this is less than 3% of total off-premise restaurant spend. Also, DoorDash's 18 million monthly consumers represent less than 6% of the entire U.S. population.

Finally, DoorDash's stock could be priced at $80 per share at the midpoint of the expected pricing range. The research firm's $93 price target is based on six times 2022 EV/Sales and 42 times 2022 EV/EBITDA.

Latest Ratings for DASH

Jan 2021Truist SecuritiesInitiates Coverage OnHold
Jan 2021UBSInitiates Coverage OnNeutral
Jan 2021Deutsche bankInitiates Coverage OnBuy

View More Analyst Ratings for DASH
View the Latest Analyst Ratings


Related Articles (DASH)

View Comments and Join the Discussion!

Posted-In: DA Davidson DoorDashAnalyst Color News Price Target Initiation IPOs Analyst Ratings Best of Benzinga

Latest Ratings

MRTXHC Wainwright & Co.Maintains257.0
NVDATruist SecuritiesMaintains672.0
BLKBMO CapitalMaintains715.0
BLKDeutsche BankMaintains838.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at