Why This DoorDash Analyst Is Turning Bullish On Q3 Update


After DoorDash Inc DASH reported an earnings beat for the third quarter, four analysts changed their price targets for the company.

A segment analysis of DoorDash implies international and U.S. non-restaurant segments could reach incremental margins of 5% in 2025, with the U.S. restaurant segment comprising 76% of the total gross order volume (GOV), Oppenheimer said Monday. 

The DoorDash Analyst: Jason Helfstein upgraded DoorDash from Perform to Outperform while establishing a price target of $70.

The DoorDash Takeaways: The company’s EBITDA is expected to reach $1.5 billion, with GOV margins of 1.8% in 2025, up from 0.7% in 2022, Helfstein said in the upgrade note.

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“3Q showed continued strength, despite uncertain macro, with GOV 2% above Opco/Street and EBITDA $31M/$29M higher, with 4Q EBITDA guided $11M higher,” the analyst said. 

“We forecast US restaurant contribution margins improving from 5.7% in '22E to 6.1% in '25E, with Int'l. & US non-restaurant contribution margins improving from -13.4% in '22E to -2.4% in '25E—based on 4–5% incremental margins,” he added.

DASH Price Action: Shares of DoorDash had risen by 3.86% to $53.56 premarket Monday.

Photo courtesy of DoorDash. 

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