Powering that service are 1 million delivery drivers, who are independent and not considered DoorDash employees.ĭoorDash was already growing before the pandemic thanks to customers' growing preference for dining at home. DoorDash now offers delivery from 390,000 merchants in the U.S., Canada and Australia. After a few hours, they got their first order: pad thai with prawns and a side of spring rolls.Ĭustomers have placed more than 900 million orders since then. DoorDash will trade on the New York Stock Exchange under the symbol DASH.ĭoorDash was born in 2013, when CEO Tony Xu and some classmates at Stanford University set up a website and posted local menus. Late Tuesday, it priced its shares at $102 each, valuing the company at nearly $39 billion. The San Francisco-based company raised $3.4 billion in its Wednesday offering. If you have $3,000, should you spend it on 1 share of Amazon?: It depends on your current portfolio. The company hopes to keep the momentum going even if demand for food delivery eases in a post-pandemic world.Īfter the Dow Jones Industrial Average hit 30k, what's next?: Is it time to sell or increase stock exposure? That's led to explosive growth for companies like DoorDash. Virus-induced lockdown orders and the closure of indoor dining have made meal delivery services indispensable for many restaurants and diners this year. The opening price valued the company, which is trading under the symbol DASH, at around $58 billion. The shares opened at $182 after the San Francisco-based company priced them at $102 each late Tuesday. While the company is still seeing strong growth, that could inevitably slow down as economic conditions could worsen and impact demand later this year.DoorDash shares soared 78% as the meal delivery service made its debut Wednesday on the New York Stock Exchange. The stock was trading around $60 on Friday, down more than 50% from its 52-week high of $130.20.īut while the stock may seem cheap, given the possible headwinds facing the economy, I would remain hesitant on investing in DoorDash despite its encouraging numbers. Over the past year, shares of DoorDash have declined 34% as investors have backed away from growth stocks. Overall, there were many positives to take away from the earnings release as the business remains strong even amid inflation and a possible recession on the horizon. The company also expects strong growth ahead, forecasting that its gross order volume will be strong for the current quarter, coming in between $15.1 billion and $15.5 billion – higher than the $15 billion analysts were expecting. DoorDash finished the year with a net loss of $3.68 per share.Īnother positive was that its monthly average users for December was 32 million, which is an increase of 28% year over year. Unfortunately, its $1.65 per-share loss was much steeper than the analyst projections of a loss of only $0.68. That's also a bit higher than the 33% growth it achieved a quarter earlier. That was higher than Wall Street expectations of $1.77 billion. In Q4, revenue totaled $1.82 billion and was up an impressive 40% year over year. Food delivery company DoorDash (NYSE:DASH) reported its fourth-quarter earnings last week.
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