DoorDash (NASDAQ:DASH) Shares Gap Down After Analyst Downgrade

DoorDash, Inc. (NASDAQ:DASH)’s stock price gapped down before the market opened on Monday after Citizens Jmp lowered their price target on the stock from $285.00 to $250.00. The stock had previously closed at $176.29, but opened at $167.95. Citizens Jmp currently has a market outperform rating on the stock. DoorDash shares last traded at $164.3050, with a volume of 2,153,814 shares trading hands.

Other analysts have also issued research reports about the stock. DA Davidson lowered their price objective on shares of DoorDash from $260.00 to $224.00 and set a “neutral” rating on the stock in a research report on Thursday. Wedbush increased their price objective on DoorDash from $260.00 to $270.00 and gave the company an “outperform” rating in a report on Friday, December 19th. Piper Sandler restated a “neutral” rating and issued a $220.00 target price (down from $230.00) on shares of DoorDash in a research note on Thursday. Wall Street Zen downgraded DoorDash from a “buy” rating to a “hold” rating in a research note on Saturday, November 1st. Finally, Stifel Nicolaus lowered their price objective on DoorDash from $253.00 to $224.00 and set a “hold” rating on the stock in a research note on Tuesday, January 27th. One investment analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating and nine have assigned a Hold rating to the company. According to MarketBeat, DoorDash presently has a consensus rating of “Moderate Buy” and a consensus target price of $263.89.

Insiders Place Their Bets

In related news, Director Andy Fang sold 30,000 shares of the firm’s stock in a transaction that occurred on Friday, January 2nd. The shares were sold at an average price of $222.52, for a total value of $6,675,600.00. The sale was disclosed in a filing with the SEC, which is available through this link. Also, Director Stanley Tang sold 45,410 shares of the business’s stock in a transaction that occurred on Monday, December 1st. The stock was sold at an average price of $205.07, for a total transaction of $9,312,228.70. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 291,236 shares of company stock worth $63,380,925. 5.83% of the stock is owned by corporate insiders.

Key Headlines Impacting DoorDash

Here are the key news stories impacting DoorDash this week:

• Positive Sentiment: Analysts and market write-ups highlight a rebound setup and upside potential after DoorDash’s guidance update and signs of institutional buying — MarketBeat argues for double?digit upside and highlights sustained buy activity by big holders, supporting a constructive medium?term view. DoorDash Rebound Signal: Analysts See Double?Digit Upside From Here
• Positive Sentiment: A couple of firms raised price targets (including a raise to $340 and another to $272), and the analyst consensus remains a “Moderate Buy,” which can underpin further investor confidence if results/guidance execution continues. DoorDash (NASDAQ:DASH) Price Target Raised to $272.00
• Positive Sentiment: Reported insider/institutional activity includes a disclosed purchase by Rep. Gilbert Ray Cisneros, Jr. and broader institutional accumulation noted in analyst coverage — both are signals that can support the stock. Rep. Gilbert Ray Cisneros, Jr. Buys DoorDash, Inc. (NASDAQ:DASH) Stock
• Neutral Sentiment: Options volume is unusually high, indicating elevated near?term trading and hedging activity; this raises volatility risk but not a directional signal by itself. DoorDash Sees Unusually High Options Volume (NASDAQ:DASH)
• Neutral Sentiment: Ongoing class?action settlement claims (final weeks to file) are administrative and limited in scale relative to company size, so they’re mostly a non?material governance/legal item for investors. Final weeks to claim up to $2,500 in direct payments from DoorDash settlement
• Negative Sentiment: Q4 (FQ4 2025) fell short of consensus: EPS and revenue missed slightly (revenue $3.96B, EPS miss), which pressured the near?term narrative around execution and margins. That miss is a clear near?term negative for sentiment. DoorDash (DASH) Releases FQ4 2025 Earnings, Here’s What You Need to Know
• Negative Sentiment: Weather disruptions: DoorDash suspended operations across NYC, Connecticut, Philadelphia and New Jersey during a major blizzard — this temporarily halts order flow in dense urban markets and adds short?term revenue headwinds and possible fulfillment costs. DoorDash suspends service in Connecticut during snowstorm
• Negative Sentiment: Some brokerages trimmed targets (Needham, Cantor Fitzgerald), reflecting near?term caution and contributing to mixed analyst reactions that can weigh on momentum until execution proves out. Needham & Company LLC Cuts DoorDash (NASDAQ:DASH) Price Target to $265.00

Institutional Investors Weigh In On DoorDash

A number of hedge funds and other institutional investors have recently modified their holdings of DASH. Physician Wealth Advisors Inc. lifted its position in DoorDash by 284.0% in the third quarter. Physician Wealth Advisors Inc. now owns 96 shares of the company’s stock valued at $26,000 after purchasing an additional 71 shares during the last quarter. Eastern Bank boosted its position in DoorDash by 714.3% during the 4th quarter. Eastern Bank now owns 114 shares of the company’s stock valued at $26,000 after buying an additional 100 shares during the period. Sunbelt Securities Inc. grew its holdings in DoorDash by 124.1% in the 3rd quarter. Sunbelt Securities Inc. now owns 121 shares of the company’s stock worth $33,000 after acquiring an additional 67 shares during the last quarter. Swiss RE Ltd. bought a new stake in DoorDash in the 4th quarter worth $28,000. Finally, ST Germain D J Co. Inc. purchased a new position in shares of DoorDash in the fourth quarter valued at about $29,000. Institutional investors own 90.64% of the company’s stock.

DoorDash Trading Down 5.4%

The company has a debt-to-equity ratio of 0.27, a current ratio of 1.41 and a quick ratio of 1.41. The firm’s 50 day moving average price is $207.67 and its 200 day moving average price is $230.92. The stock has a market capitalization of $71.85 billion, a P/E ratio of 78.24 and a beta of 1.78.

DoorDash (NASDAQ:DASH) last released its quarterly earnings results on Wednesday, February 18th. The company reported $0.48 EPS for the quarter, missing analysts’ consensus estimates of $0.58 by ($0.10). DoorDash had a net margin of 6.82% and a return on equity of 10.15%. The business had revenue of $3.96 billion for the quarter, compared to the consensus estimate of $3.98 billion. During the same period in the previous year, the company earned $0.33 EPS. The company’s revenue for the quarter was up 37.7% on a year-over-year basis. As a group, equities research analysts expect that DoorDash, Inc. will post 2.22 earnings per share for the current fiscal year.

About DoorDash

DoorDash, Inc operates a technology-driven logistics and food-delivery marketplace that connects consumers, merchants and independent delivery contractors. The company’s core service enables customers to order from local restaurants and retailers through its app and website while DoorDash handles last-mile fulfillment via its network of drivers, known as “Dashers.” Over time the platform has broadened beyond restaurant deliveries to include groceries, convenience items and retail deliveries, positioning DoorDash as a broader on-demand logistics provider for consumer goods.

In addition to its marketplace, DoorDash offers a suite of products and services for consumers and businesses.