DoorDash’s Recent Stock Dip Equals 60% Upside

Core Viewpoint - DoorDash Inc. shares have experienced a significant decline of over 30% from October highs, currently trading just under $200, primarily due to missed earnings expectations and announced heavy spending plans for FY26 [2][7] Financial Performance - The company missed earnings per share (EPS) expectations but reported revenue figures that exceeded consensus, indicating that the core business remains strong [4] - DoorDash continues to see growth in orders and revenue, maintaining a dominant position in the U.S. delivery market while expanding into grocery and retail categories [4] Market Reaction - The recent selloff has led analysts to view the situation as a potential buying opportunity, with some suggesting that the 30% decline is excessive given DoorDash's consistent execution [6] - Analysts from Needham have reiterated a Buy rating, indicating a potential upside of up to 60% for the stock moving forward [6][7] Strategic Investments - Management's focus on automation, logistics, and international expansion through Deliveroo is seen as a proactive strategy to sustain growth and reinforce profitability, rather than a sign of weakness [5]