DASH Stock today latest news: DoorDash beats Q2 earnings expectations with record orders, stocks jump on strong consumer demand

DASH Stock today: DoorDash Inc, America’s largest food delivery service, is showing that consumer appetite for convenience isn’t slowing down anytime soon. The company raised its forecast for third-quarter orders, surpassing Wall Street expectations and highlighting continued resilience in a period of broader economic uncertainty, as per a Bloomberg report.

DoorDash’s Record-Breaking Orders Highlight Growing Demand

The firm expects gross order value between $24.2 billion and $24.7 billion for the three months ending in September, well above the $23.8 billion average estimate compiled by Bloomberg.

The upbeat outlook comes after DoorDash’s strong second-quarter results, according to the report. Gross order value grew 23% to $24.2 billion, with a record 761 million orders, driven by robust performance in US restaurants and expanding engagement in its non-restaurant categories, such as grocery and retail deliveries, as per the Bloomberg report.
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DoorDash’s Consumer Engagement Hits New Highs

DoorDash said that “High levels of consumer engagement in the US were evident across many metrics and widespread throughout our consumer cohorts,” as quoted in the report.

The company also reported that new customer numbers grew steadily throughout the quarter, while long-term users, those with six months or more on the platform, were seen ordering more, particularly through its paid subscription service, DashPass, as reported by Bloomberg.ALSO READ: Candace Owens bets $300,000 Brigitte Macron is male — even lawsuit can’t stop her claim

Dash Stock Jumps Following Strong Earnings

DoorDash’s strong performance lifted its shares 6.4% in extended trading, according to the report. Analysts note the results echo similar strength from Uber Technologies Inc.’s delivery division earlier this week.

The firm’s second-quarter adjusted earnings before interest, taxes, depreciation and amortisation was posted at $655 million, beating analyst estimates, according to the Bloomberg report.

While DoorDash expects that its adjusted EBITDA will be $680 million to $780 million in the current quarter, the midpoint of which surpasses the average estimate of $718.9 million, as reported by Bloomberg.

DoorDash Expands US Reach Through Key Acquisitions

The strong earnings come after DoorDash recently went on a multibillion buying spree to boost other parts of its US business, according to the report. The company’s acquisition of UK delivery company Deliveroo is still expected to close during the fourth quarter, which is subject to regulatory approval, as reported by Bloomberg.

Meanwhile, DoorDash has also completed purchases of restaurant tech company SevenRooms Inc. and advertising tech firm Symbiosys, which are expected to bolster its enterprise offerings for restaurants and advertising capabilities for retailers, according to the report.

FAQs

Did DoorDash’s stock react to the earnings?
Yes, shares jumped 6.4% in extended trading after the strong results.

What does DoorDash’s Q3 forecast mean?
It means the company expects more people to order food, groceries, and other items through its platform than analysts had predicted.