Food delivery platform DoorDash (NYSE:DASH) reported mixed results for the third quarter of 2022. Investors were impressed with a 33% year-over-year jump in revenue to $1.70 billion, which surpassed the consensus estimate of $1.63 billion. The company benefited from record-high orders and gross order value (GOV).
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DASH stock rallied 11.4% in Thursday’s extended trading session. The company’s total orders rose 27% to 439 million in Q3, despite consumers being hit with inflationary pressures. Marketplace GOV climbed 30% to $13.5 billion.
However, DoorDash reported a net loss of $0.77 per share, which was wider than analysts’ consensus expectation of $0.59 and the prior-year quarter’s loss of $0.30.
For the fourth quarter, management expects consumer spending to remain in line with the trend seen in recent months. Consequently, GOV is anticipated to be between $13.9 billion and $14.2 billion. Q4 adjusted EBITDA is expected to be in the range of $85 million to $120 million, compared to $87 million reported in the third quarter.
Is DASH Stock a Buy?
At TipRanks, DoorDash stock is currently a Moderate Buy based on eight Buys and four Holds. The average DASH stock price target of $106.58 implies 123.86% upside potential.
