DoorDash experienced a significant drop in its stock value, with shares down 16% following weak earnings reports and forecasts. The company's shares fell by 12% after market close due to lighter than expected second-quarter EBITDA guidance of $375 million, compared to the estimated $396 million. Additionally, DoorDash's revenue growth deceleration continued in the first quarter, with a forecast of weaker core profit and higher operational costs due to rising grocery and food order expenses. Despite these challenges, the San Francisco-based online food delivery firm processed 620 million orders with a total value of nearly $20 billion. The company has also been impacted by new regulations in New York City and Seattle, which forced it to increase minimum pay for its delivery workers. The second-quarter marketplace GOV guidance was higher than expected at $19.2 billion. The company is held by approximately 150 institutional investors who own around 23 million shares.
To follow up on this $SBUX point, here's $DASH's CEO on their call saying they don't see any behavior change or signs of strain. They processed 620 million orders with a value of nearly $20 billion. @SaraEisen https://t.co/vsjnlhg0GP https://t.co/Vp9eWUHMHp
$DASH down sharply in a.h. after it forecasted weaker than expected core profit, higher costs from rising groceries and food orders. Revs growth deceleration continued in Q1. Tough time is ahead for the young company. ~150 institutional investors reported holding ~23M shares,… https://t.co/EpnSHOybf7
$DASH tanks 16% on earnings? The San Francisco-based online food delivery firm has been forced to increase minimum pay for its delivery workers after New York City and Seattle came up with new regulations. https://t.co/lZgM2mkKIH
$DASH -12% after market on light 2Q EBITDA guidance ($375M at midpoint vs $396M est). On 2Q marketplace GOV guidance was higher than expected ($19.2B vs $19.1B est) so demand is fine, but company must be anticipating spending more on new verticals or infrastructure. Conf call…
DoorDash plummets on weak earnings amid a sharp slowdown in consumer orders & higher input costs for 1099 workers You mean people don’t want $97 Chipotle delivered by a random?