DoorDash (DASH) Shares Dip Despite Bullish Analyst Outlook
DoorDash (DASH) shares fell after the food delivery giant unveiled ambitious FY2026 investment plans targeting robotics, fulfillment services, and a strategic stake in Deliveroo. The market reaction contrasted with strong Q3 results, as investors balked at the projected capital expenditures.
Needham analyst Bernie McTernan maintains a Buy rating, calling the pullback a buying opportunity. "The company's trajectory remains intact," he noted, projecting 30%+ annual EBITDA growth through 2025. DoorDash's pandemic-era performance—doubling gross order value in four years—supports his confidence in management's execution.
While near-term returns on the investments remain uncertain, McTernan emphasizes their necessity for sustaining long-term dominance. The Deliveroo acquisition and organic growth are expected to offset upfront costs, positioning 2025 as a potential inflection year.
