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.
Why Is DoorDash (DASH) Down 6.6% Since Last Earnings Report?
Read MoreHide Full Article
A month has gone by since the last earnings report for DoorDash, Inc. (DASH - Free Report) . Shares have lost about 6.6% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is DoorDash due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
DoorDash Q1 Earnings Top Estimates, Revenues Increase Y/Y
DoorDash posted first-quarter 2026 earnings of 42 cents per share, beating the Zacks Consensus Estimate by 13.51%. The company had reported year-ago quarter’s earnings of 44 cents per share.
Revenues rose 33.1% year over year to $4.04 billion but missed the consensus mark by 2.14%. While top-line growth remained strong, net revenue margin moved lower to 12.8% from 13.1% in the year-ago quarter.
DASH’s Q1 Details
In the first quarter of 2026, total orders increased 27% year over year to 933 million. The figure missed the Zacks Consensus Estimate by 2.45%. Total orders were driven by growth in consumers, average consumer engagement, and the acquisition of Deliveroo.
Marketplace GOV increased 37% year over year to $31.6 billion. The figure beat the consensus mark by 0.34%.
The adjusted gross profit was $2.09 billion, up 33.1% year over year. The adjusted gross margin was flat on a year-over-year basis to 51.9%.
The contribution margin was 34.2% compared with 33.6% reported in the year-ago quarter.
Adjusted sales & marketing expenses rose 29.1% year over year to $715 million. Adjusted research & development expenses increased 50.5% year over year to $277 million. Adjusted general & administrative expenses surged 41.9% year over year to $349 million.
Adjusted EBITDA was $754 million, up 27.8% year over year. Adjusted EBITDA margin contracted 80 bps year over year to 18.7%.
DASH’s Balance Sheet and Cash Flow
As of March 31, 2026, DoorDash had $5.83 billion in cash, cash equivalents, and short-term marketable securities compared with $5.78 billion as of Dec. 31, 2025.
Net cash provided by operating activities totaled $594 million in the first quarter, which was down from $635 million a year earlier. Free cash flow was $420 million, which declined from $494 million in the year-ago quarter. This reflects the interplay of working-capital movement and investment spending.
DASH’s Q2 Marketplace GOV and EBITDA Guidance
For the second quarter of 2026, DoorDash expects Marketplace GOV in the range of $32.4-$33.4 billion and adjusted EBITDA of $770-$870 million.
For 2026, DoorDash expects stock-based compensation expense of approximately $1.3-$1.4 billion and depreciation and amortization expense of roughly $1.1-$1.2 billion, including about $450 million tied to acquired intangible assets.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in estimates review.
VGM Scores
Currently, DoorDash has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with a D. Following the exact same course, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been trending downward for the stock, and the magnitude of these revisions looks promising. Interestingly, DoorDash has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
DoorDash belongs to the Zacks Internet - Services industry. Another stock from the same industry, Shopify (SHOP - Free Report) , has gained 3.9% over the past month. More than a month has passed since the company reported results for the quarter ended March 2026.
Shopify reported revenues of $3.17 billion in the last reported quarter, representing a year-over-year change of +34.3%. EPS of $0.36 for the same period compares with $0.25 a year ago.
For the current quarter, Shopify is expected to post earnings of $0.39 per share, indicating a change of +11.4% from the year-ago quarter. The Zacks Consensus Estimate has changed +2.5% over the last 30 days.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Shopify. Also, the stock has a VGM Score of C.
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
Why Is DoorDash (DASH) Down 6.6% Since Last Earnings Report?
A month has gone by since the last earnings report for DoorDash, Inc. (DASH - Free Report) . Shares have lost about 6.6% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is DoorDash due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
DoorDash Q1 Earnings Top Estimates, Revenues Increase Y/Y
DoorDash posted first-quarter 2026 earnings of 42 cents per share, beating the Zacks Consensus Estimate by 13.51%. The company had reported year-ago quarter’s earnings of 44 cents per share.
Revenues rose 33.1% year over year to $4.04 billion but missed the consensus mark by 2.14%. While top-line growth remained strong, net revenue margin moved lower to 12.8% from 13.1% in the year-ago quarter.
DASH’s Q1 Details
In the first quarter of 2026, total orders increased 27% year over year to 933 million. The figure missed the Zacks Consensus Estimate by 2.45%. Total orders were driven by growth in consumers, average consumer engagement, and the acquisition of Deliveroo.
Marketplace GOV increased 37% year over year to $31.6 billion. The figure beat the consensus mark by 0.34%.
The adjusted gross profit was $2.09 billion, up 33.1% year over year. The adjusted gross margin was flat on a year-over-year basis to 51.9%.
The contribution margin was 34.2% compared with 33.6% reported in the year-ago quarter.
Adjusted sales & marketing expenses rose 29.1% year over year to $715 million. Adjusted research & development expenses increased 50.5% year over year to $277 million. Adjusted general & administrative expenses surged 41.9% year over year to $349 million.
Adjusted EBITDA was $754 million, up 27.8% year over year. Adjusted EBITDA margin contracted 80 bps year over year to 18.7%.
DASH’s Balance Sheet and Cash Flow
As of March 31, 2026, DoorDash had $5.83 billion in cash, cash equivalents, and short-term marketable securities compared with $5.78 billion as of Dec. 31, 2025.
Net cash provided by operating activities totaled $594 million in the first quarter, which was down from $635 million a year earlier. Free cash flow was $420 million, which declined from $494 million in the year-ago quarter. This reflects the interplay of working-capital movement and investment spending.
DASH’s Q2 Marketplace GOV and EBITDA Guidance
For the second quarter of 2026, DoorDash expects Marketplace GOV in the range of $32.4-$33.4 billion and adjusted EBITDA of $770-$870 million.
For 2026, DoorDash expects stock-based compensation expense of approximately $1.3-$1.4 billion and depreciation and amortization expense of roughly $1.1-$1.2 billion, including about $450 million tied to acquired intangible assets.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in estimates review.
VGM Scores
Currently, DoorDash has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with a D. Following the exact same course, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been trending downward for the stock, and the magnitude of these revisions looks promising. Interestingly, DoorDash has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
DoorDash belongs to the Zacks Internet - Services industry. Another stock from the same industry, Shopify (SHOP - Free Report) , has gained 3.9% over the past month. More than a month has passed since the company reported results for the quarter ended March 2026.
Shopify reported revenues of $3.17 billion in the last reported quarter, representing a year-over-year change of +34.3%. EPS of $0.36 for the same period compares with $0.25 a year ago.
For the current quarter, Shopify is expected to post earnings of $0.39 per share, indicating a change of +11.4% from the year-ago quarter. The Zacks Consensus Estimate has changed +2.5% over the last 30 days.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Shopify. Also, the stock has a VGM Score of C.