DoorDash Inc. (DASH:NYE) Analysts are bullish with a Strong Buy rating

STA Research
by: STA Research
DoorDash Inc.

Based on the DoorDash stock forecast from 17 analysts, the average analyst DoorDash stock price target is USD 132.44 over the next 12 months. DoorDash Inc’s average analyst rating is Strong Buy. Stock Target Advisor’s own DoorDash stock forecast is Slightly Bearish, which is based on 3 positive signals and 5 negative signals. At the last closing, DoorDash stock price was USD 81.36DoorDash stock price has changed by +11.29% over the past week, +13.41% over the past month and -55.13% over the last year.

DoorDash, Inc. operates a logistics platform that connects merchants, consumers, and dashers in the United States and internationally. It operates DoorDash marketplace, which provides an array of services that enable merchants to solve mission-critical challenges, such as customer acquisition, delivery, insights and analytics, merchandising, payment processing, and customer support; and offers DoorDash Drive, a white-label logistics service; DoorDash Storefront that enables merchants to offer consumers on-demand access to e-commerce. The company was formerly known as Palo Alto Delivery Inc. and changed its name to DoorDash, Inc. in 2015. DoorDash, Inc. was incorporated in 2013 and is headquartered in San Francisco, California.

 

What we like:

High market capitalization:

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Low volatility:

DoorDash stock forecast has shown that the stock’s annual returns have been stable and consistent compared to its sector peers (for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Positive cash flow:

DASH stock earnings had positive total cash flow in the most recent four quarters.

 

What we don’t like:

Poor risk adjusted returns:

DoorDash stock forecast has shown that the company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns, the returns are unpredictable. Proceed with caution.

Below median dividend returns:

DoorDash stock forecast has shown that the company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced compared to book value:

DoorDash stock price is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis:

DoorDash stock price is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Negative free cash flow:

DASH stock earnings had negative total free cash flow in the most recent four quarters.

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