DoorDash Stock Shoots Higher After Revenue Beat

The stock is rebounding from its recent record low

Deputy Editor
Feb 17, 2022 at 10:21 AM
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DoorDash Inc (NYSE:DASH) is soaring, after the food delivery platform shared a fourth-quarter revenue beat and record number of orders, which also toppled expectations. The company's losses of 45 cents per share were wider than analysts' estimates, however. Separately, the firm announced that it is introducing express grocery delivery through its partnership with Albertsons Companies. At last glance, DASH is up 17% to trade at $111.02, and was trading as high as $116.00 earlier in the session. 

DASH is brushing off no fewer than five price-target cuts today, including one from Susquehanna to $145 from $260. There is plenty of room for upgrades, however, should the stock continue to rebound, as seven of the 14 analysts in coverage carry a "hold" rating. 

DoorDash stock recently hit a Feb. 3 record low of $91.96, after which the stock began to consolidate above the $93 level. The equity is down roughly 26% year-to-date, though its strong revenue brings speculation that DASH may have more to offer following the pandemic than other stay-at-home stocks. 

Unsurprisingly, options volume is pacing for the top percentile of its annual range, with options being traded at 20 times the intraday average. So far, 43,000 calls and 44,000 puts have crossed the tape. Expiring tomorrow, the February 120 call is the most popular, with new positions being sold to open there. 

 

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