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As you might know, DoorDash, Inc. (NASDAQ:DASH) recently reported its quarterly numbers. It looks like a credible result overall - although revenues of US$2.7b were what the analysts expected, DoorDash surprised by delivering a (statutory) profit of US$0.38 per share, an impressive 77% above what was forecast. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
View our latest analysis for DoorDash
After the latest results, the 42 analysts covering DoorDash are now predicting revenues of US$12.6b in 2025. If met, this would reflect a substantial 24% improvement in revenue compared to the last 12 months. DoorDash is also expected to turn profitable, with statutory earnings of US$1.85 per share. In the lead-up to this report, the analysts had been modelling revenues of US$12.4b and earnings per share (EPS) of US$1.58 in 2025. Although the revenue estimates have not really changed, we can see there's been a nice increase in earnings per share expectations, suggesting that the analysts have become more bullish after the latest result.
The analysts have been lifting their price targets on the back of the earnings upgrade, with the consensus price target rising 13% to US$169. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. There are some variant perceptions on DoorDash, with the most bullish analyst valuing it at US$200 and the most bearish at US$135 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We would highlight that DoorDash's revenue growth is expected to slow, with the forecast 19% annualised growth rate until the end of 2025 being well below the historical 35% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 9.6% per year. Even after the forecast slowdown in growth, it seems obvious that DoorDash is also expected to grow faster than the wider industry.