Is DoorDash stock a buy right now?

Roth Capital Markets analyst Rohit Kulkarni raised his 12-month price target on DoorDash (DoorDash Stock Quote, Chart, News, Analysts, Financials NYSE:DASH) to $225 in a July 14 earnings preview, ahead of the company’s second-quarter results set for release after market close on Wednesday, August 6.

Kulkarni maintained a “Neutral” rating, citing a narrow margin of error for a stock he views as a premium asset with a premium valuation.

He said second-quarter bookings may surprise to the upside but noted that pending acquisitions of SevenRooms and Deliveroo could make the results noisy.

“Our expert checks indicate DASH continues to maintain/gain share in Retail & Grocery. International expansion and Advt. revs remain marginal growth drivers,” he said.

He said Street estimates for DoorDash have generally trended upward over the past year, outperforming estimate revisions for food delivery competitor Lyft.

“Since Jan 2024, Street estimates for DASH’s revenue, EBITDA, and gross order value have grown by +10%, +21%, and +9%, respectively,” he said. “However, over the past 90 days there have been slight revisions including decreases in revenue and EBITDA, and an increase in (gross order value).”

Kulkarni said DoorDash is trading at a premium compared to its historical averages, with shares above median three-year valuation multiples on both EV/EBITDA and EV/Sales. Since the day after its first-quarter 2025 earnings report, the stock has risen 36.8%, outperforming the S&P 500’s 10.7% gain over the same period.

He noted that expectations for the second and third quarters are high, with Street estimates leaning toward the top end of the company’s guidance. For Q2 2025, the Street projects gross order value of $23.48-billion, up 19.7% year-over-year, and Adjusted EBITDA of $638.37-million, up 49.5%, compared to a high-end guide of $23.7-billion and $650-million, respectively. For Q3, consensus estimates are for GOV of $23.78-billion, up 18.9%, and Adjusted EBITDA of $715.09-million, up 29.3%.

Kulkarni noted several key developments during the quarter. On May 14, DoorDash launched drone delivery within a four-mile radius in Charlotte through a partnership with Wing. That expanded on June 26 to Dallas–Fort Worth, covering over 30,000 homes and 100,000 residents via a partnership with Flytrex. Since April, DoorDash has added 548 new grocery locations to its platform across the U.S., mostly in the Northeast. The company also announced its planned acquisition of restaurant CRM provider SevenRooms on May 6, with the deal expected to close in the second half of 2025.

“DoorDash announced its acquisition of self-service ad platform, Symbiosys, valued at $175mn on June 11,” he said.

Kulkarni estimates that DoorDash will generate $2.7-billion in Adjusted EBITDA on revenue of $13.0-billion in fiscal 2025, up from his previous revenue forecast of $12.9-billion. He expects those figures to improve to $3.8-billion in Adjusted EBITDA on revenue of $15.8-billion in fiscal 2026, slightly above his prior estimate of $15.7-billion.

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