We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
DoorDash Q4 Earnings Miss Estimate, Revenues Increase Y/Y, Shares Rise
Read MoreHide Full Article
Key Takeaways
DoorDash Q4 EPS missed estimates, but revenues rose 38% and shares jumped 6.8%.
DASH saw orders rise 32% and Marketplace GOV climb 39% to $29.7 billion.
DoorDash expects Q1 2026 GOV of $31.0-$31.8B and EBITDA of $675-$775M.
DoorDash (DASH - Free Report) reported fourth-quarter 2025 earnings of 48 cents per share compared with the year-ago quarter’s earnings of 33 cents. The figure missed the Zacks Consensus Estimate by 17.24%.
Revenues increased 38% year over year to $3.96 billion, missing the consensus mark by 0.37%. The net revenue margin dropped to 13.3% from 13.5% in the fourth quarter of 2025.
Following the results, DoorDash shares are up by 6.8% at the time of writing this article.
DASH’s Q4 Details
In the fourth quarter of 2025, total orders increased 32% year over year to 903 million. The figure beat the Zacks Consensus Estimate by 1.69%. Total orders were driven by growth in consumers, average consumer engagement and the acquisition of Deliveroo.
Marketplace GOV increased 39% year over year to $29.7 billion. The figure beat the consensus mark by 1.64%.
The adjusted gross profit was $2.08 billion, up 41.4% year over year. The adjusted gross margin expanded 140 bps on a year-over-year basis to 52.6%.
The contribution margin was 35.5% compared with 33.7% reported in the year-ago quarter.
Adjusted sales & marketing expenses rose 34.1% year over year to $676 million. Adjusted research & development expenses increased 65.1% year over year to $274 million. Adjusted general & administrative expenses surged 48.7% year over year to $351 million.
Adjusted EBITDA was $780 million, up 38% year over year. Adjusted EBITDA margin was flat at 19.7%.
DASH’s Balance Sheet and Cash Flow
As of Dec. 31, 2025, DoorDash had $5.78 billion in cash, cash equivalents and short-term marketable securities compared with $8.32 billion as of Sept. 30, 2025.
The cash flow from operations was $421 million in the fourth quarter compared with $871 million in the prior quarter. Free cash flow was $254 million compared with the previous quarter’s figure of $723 million.
DASH Initiates 1Q26 & FY26 Guidance
For the first quarter of 2026, DoorDash anticipates Marketplace GOV to be in the range of $31.0-$31.8 billion.
Adjusted EBITDA is expected to be in the range of $675-$775 million.
For 2026, DoorDash expects stock-based compensation expense between $1.3 billion and $1.4 billion. Depreciation and amortization expense is anticipated to be in the range of $1.1 billion to $1.2 billion.
Zacks Rank & Stocks to Consider
DoorDash currently carries a Zacks Rank #3 (Hold).
Micron Technology shares have gained 308% in the past 12-month period. This Zacks Rank #1 (Strong Buy) company is scheduled to release second-quarter 2026 results on March 19. You can see the complete list of today’s Zacks #1 Rank stocks here.
MongoDB shares have returned 25.2% in the past 12-month period. MDB is scheduled to release its fourth-quarter 2026 results on March 2. The company currently sports a Zacks Rank #1.
Credo Technology Group shares have gained 79.4% in the past 12-month period. CRDO is set to report its third-quarter fiscal 2026 results on March 2. The company currently sports a Zacks Rank #1.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
DoorDash Q4 Earnings Miss Estimate, Revenues Increase Y/Y, Shares Rise
Key Takeaways
DoorDash (DASH - Free Report) reported fourth-quarter 2025 earnings of 48 cents per share compared with the year-ago quarter’s earnings of 33 cents. The figure missed the Zacks Consensus Estimate by 17.24%.
Revenues increased 38% year over year to $3.96 billion, missing the consensus mark by 0.37%. The net revenue margin dropped to 13.3% from 13.5% in the fourth quarter of 2025.
Following the results, DoorDash shares are up by 6.8% at the time of writing this article.
DASH’s Q4 Details
In the fourth quarter of 2025, total orders increased 32% year over year to 903 million. The figure beat the Zacks Consensus Estimate by 1.69%. Total orders were driven by growth in consumers, average consumer engagement and the acquisition of Deliveroo.
DoorDash, Inc. Price, Consensus and EPS Surprise
DoorDash, Inc. price-consensus-eps-surprise-chart | DoorDash, Inc. Quote
Marketplace GOV increased 39% year over year to $29.7 billion. The figure beat the consensus mark by 1.64%.
The adjusted gross profit was $2.08 billion, up 41.4% year over year. The adjusted gross margin expanded 140 bps on a year-over-year basis to 52.6%.
The contribution margin was 35.5% compared with 33.7% reported in the year-ago quarter.
Adjusted sales & marketing expenses rose 34.1% year over year to $676 million. Adjusted research & development expenses increased 65.1% year over year to $274 million. Adjusted general & administrative expenses surged 48.7% year over year to $351 million.
Adjusted EBITDA was $780 million, up 38% year over year. Adjusted EBITDA margin was flat at 19.7%.
DASH’s Balance Sheet and Cash Flow
As of Dec. 31, 2025, DoorDash had $5.78 billion in cash, cash equivalents and short-term marketable securities compared with $8.32 billion as of Sept. 30, 2025.
The cash flow from operations was $421 million in the fourth quarter compared with $871 million in the prior quarter. Free cash flow was $254 million compared with the previous quarter’s figure of $723 million.
DASH Initiates 1Q26 & FY26 Guidance
For the first quarter of 2026, DoorDash anticipates Marketplace GOV to be in the range of $31.0-$31.8 billion.
Adjusted EBITDA is expected to be in the range of $675-$775 million.
For 2026, DoorDash expects stock-based compensation expense between $1.3 billion and $1.4 billion. Depreciation and amortization expense is anticipated to be in the range of $1.1 billion to $1.2 billion.
Zacks Rank & Stocks to Consider
DoorDash currently carries a Zacks Rank #3 (Hold).
Micron Technology (MU - Free Report) , MongoDB (MDB - Free Report) , and Credo Technology Group (CRDO - Free Report) are some better-ranked stocks that investors can consider in the broader Zacks Computer and Technology sector.
Micron Technology shares have gained 308% in the past 12-month period. This Zacks Rank #1 (Strong Buy) company is scheduled to release second-quarter 2026 results on March 19. You can see the complete list of today’s Zacks #1 Rank stocks here.
MongoDB shares have returned 25.2% in the past 12-month period. MDB is scheduled to release its fourth-quarter 2026 results on March 2. The company currently sports a Zacks Rank #1.
Credo Technology Group shares have gained 79.4% in the past 12-month period. CRDO is set to report its third-quarter fiscal 2026 results on March 2. The company currently sports a Zacks Rank #1.