DoorDash, Inc. (DASH) Reports Q2 Loss, Tops Revenue Estimates

Company Performance - DoorDash, Inc. reported a quarterly loss of $0.38 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.10, representing an earnings surprise of -280% [1] - The company posted revenues of $2.63 billion for the quarter ended June 2024, exceeding the Zacks Consensus Estimate by 3.70%, and showing an increase from $2.13 billion in the same quarter last year [2] - Over the last four quarters, DoorDash has surpassed consensus EPS estimates two times and topped consensus revenue estimates four times [2] Stock Outlook - DoorDash shares have increased by approximately 12% since the beginning of the year, while the S&P 500 has gained 15.8% [3] - The company's earnings outlook will be crucial for determining the sustainability of its stock price movement, particularly following management's commentary on the earnings call [3][4] - The current consensus EPS estimate for the upcoming quarter is $0.07 on revenues of $2.58 billion, and for the current fiscal year, it is also $0.07 on revenues of $10.34 billion [7] Industry Context - The Internet - Services industry, to which DoorDash belongs, is currently ranked in the bottom 31% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact DoorDash's stock performance [5][6]