One-glance verdict
Overvalued
$130.09 our estimate vs market $194.94
Wall Street consensus: $245.94 (89.0% higher than our fair-value estimate)
50% above our estimate, beyond the bull case
Fundamentals snapshot
DoorDash, Inc.
DASH · NMS · Consumer Cyclical · Internet Retail
Current price
$194.94
52-week range
$143.30 - $285.50
Market cap
$84.94B
Balance sheet
Healthy
362.50x Strong cushion
Net cash $2.25B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
1 Risk
3 rewards · 1 risks
- Reward Revenue grew 7.3% last year.
- Reward Returns 9.9% on equity, ahead of 33% of its peers.
- Reward Free cash flow was positive in 6/10 years.
- Risk Insider ownership is only 0.7% (peer median: 1.3%).
What this company does
DoorDash, Inc.
DoorDash operates a popular app that connects people with local restaurants and stores for on-demand delivery. The company makes most of its money by taking a small cut from each order and by selling subscriptions like DashPass, which gives users free delivery for a monthly fee. Its business depends on successfully balancing a three-sided ecosystem (a model that requires keeping customers, delivery drivers, and partner stores all happy and active on the platform).
How the company got here
DoorDash was started in 2013 by four Stanford students who initially ran a small delivery service for restaurants in Palo Alto, California. The founders made the first deliveries themselves, testing their idea of helping local businesses that didn't have their own delivery drivers. The company grew by partnering with large national restaurant chains to attract more customers and expanding into new cities across the U.S. and internationally. A key moment was the acquisition of Wolt, a European delivery company, which significantly expanded its global presence.
What it actually does
DoorDash operates a technology platform that connects customers with local and national businesses for on-demand delivery. Most people know it as an app for ordering food from restaurants, but it also delivers groceries, convenience store items, alcohol, and other retail goods. The service works as a three-sided marketplace: customers place orders through the DoorDash app, merchants (like restaurants and stores) prepare the items, and independent drivers, called 'Dashers,' pick up and deliver the orders. The company's technology handles everything from processing payments to coordinating the logistics of the delivery.
Marketplace
This is the main and largest part of DoorDash's business, where restaurants and other stores list their products on the DoorDash app and website. Customers pay for their order plus a delivery and service fee, and DoorDash takes a commission (a percentage of the order total, typically 15-30%) from the merchant for generating the sale and handling the delivery. Merchants can choose different partnership plans that offer more visibility on the app for a higher commission rate. This segment also includes advertising, where businesses can pay to be featured more prominently to attract more customers.
Platform Services
This part of the business provides services to merchants who want to handle their own online ordering without being listed on the main DoorDash app. It includes DoorDash Drive, a 'white-label' service where businesses can use DoorDash's network of drivers to make deliveries for orders placed on their own websites or apps. Instead of a commission, the merchant pays a flat fee for each delivery. This segment also offers tools that help merchants set up their own online ordering systems and manage customer relationships.
Subscriptions
DoorDash offers a membership program called DashPass for its most frequent customers. Subscribers pay a monthly or annual fee and in return get benefits like zero delivery fees and reduced service fees on eligible orders. This creates a steady and predictable source of revenue for the company and encourages customer loyalty. DoorDash also operates similar subscription services, like Wolt+, in the international markets it serves.
What management is betting on now
DoorDash is focused on expanding beyond just restaurant food into delivering groceries, convenience items, and a wider range of retail goods to become a one-stop shop for local commerce. The company is investing heavily in technology, including building a single global tech platform to make its operations more efficient across all the countries it operates in. Management is also exploring new areas like automated and robotic delivery to lower costs in the long run and offering more services to help merchants grow their own sales.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q2
$507.00M
FY2024 Q3
$499.00M
FY2024 Q4
$486.00M
FY2025 Q1
$561.00M
FY2025 Q2
$438.00M
FY2025 Q3
$808.00M
FY2025 Q4
$367.00M
FY2026 Q1
$537.00M
Revenue
$4.04B
Net income
$184.00M
Diluted EPS
0.42
Operating cash flow
$594.00M
Free cash flow
$537.00M
Fetching…
Sources
Revenue
$3.96B
Net income
$213.00M
Diluted EPS
0.49
Operating cash flow
$421.00M
Free cash flow
$367.00M
Fetching…
Sources
Revenue
$3.45B
Net income
$244.00M
Diluted EPS
0.55
Operating cash flow
$871.00M
Free cash flow
$808.00M
Fetching…
Sources
Revenue
$3.28B
Net income
$285.00M
Diluted EPS
0.65
Operating cash flow
$504.00M
Free cash flow
$438.00M
Fetching…
Sources
Revenue
$3.03B
Net income
$193.00M
Diluted EPS
0.44
Operating cash flow
$635.00M
Free cash flow
$561.00M
Fetching…
Sources
Revenue
$2.87B
Net income
$141.00M
Diluted EPS
0.35
Operating cash flow
$518.00M
Free cash flow
$486.00M
Fetching…
Sources
Revenue
$2.71B
Net income
$162.00M
Diluted EPS
0.38
Operating cash flow
$531.00M
Free cash flow
$499.00M
Fetching…
Sources
Revenue
$2.63B
Net income
$-157.00M
Diluted EPS
-0.38
Operating cash flow
$530.00M
Free cash flow
$507.00M
Fetching…
Sources
Is it cheap or expensive?
Fair value $130.09 vs current price $194.94
Wall Street consensus is the average analyst price target: $245.94 (89.0% higher than our fair-value estimate).
Our most-likely fair value is $130.09 a share — about 33.3% below today's price of $194.94, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Healthy
Net cash $2.2B - more cash than debt. Interest coverage 362.5x.
Net debt
$-2.25B
Interest coverage
362.50x
DoorDash, Inc.'s profit covers its interest bill about 362.5 times over. which is stronger than every peer shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
DASH
BASELINE
DoorDash, Inc.
Total debt $3.29B Interest coverage 362.50x This is the baseline the peer rows are being compared against.
Total debt $12.42B Interest coverage 12.65x -97% vs DASH Carries about 28.7x less debt cushion than DASH.
Total debt $34.00M Interest coverage 8.74x -98% vs DASH Carries about 41.5x less debt cushion than DASH.
Total debt $1.95B Interest coverage 3.13x -99% vs DASH Carries about 115.9x less debt cushion than DASH.
Total debt $1.29B Interest coverage -9.08x -100% vs DASH This peer has almost no interest-payment cushion compared with DASH.
What you should know
The case for and against DASH
3 Rewards
1 Risk
Rewards
-
Revenue grew 7.3% last year.
-
Returns 9.9% on equity, ahead of 33% of its peers.
-
Free cash flow was positive in 6/10 years.
Risks
-
Insider ownership is only 0.7% (peer median: 1.3%).
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
92.39x
Forward P/E
25.02x
P/B
8.33x
P/S
5.77x
EV/EBITDA
59.17x
PEG ratio
4.28x
Profitability
How much profit each dollar creates
Gross margin
51.8%
Operating margin
5.3%
Net margin
6.3%
ROE
9.9%
ROA
3.3%
Health
Liquidity and balance-sheet strength
Debt / equity
0.32x
Current ratio
1.43x
Quick ratio
1.12x
Total debt
$3.29B
Total cash
$5.53B
Growth
How the business has been compounding
Revenue TTM
$14.72B
Revenue 5Y CAGR
29.4%
EPS TTM
2.11
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$2.39B
Free CF TTM
$2.17B
FCF margin
14.8%
Dividend
Shareholder payout
Yield
—
Payout ratio
0.0%
Last ex-div date
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