DoorDash Sees Unusually High Options Volume (NASDAQ:DASH)

DoorDash, Inc. (NASDAQ:DASH) saw some unusual options trading activity on Monday. Investors purchased 14,194 call options on the company. This is an increase of approximately 37% compared to the typical volume of 10,376 call options.

DoorDash Trading Down 6.0%

NASDAQ:DASH traded down $11.63 during trading hours on Monday, hitting $181.73. 3,248,669 shares of the company were exchanged, compared to its average volume of 4,675,776. The stock has a market capitalization of $78.74 billion, a price-to-earnings ratio of 95.30 and a beta of 1.79. DoorDash has a one year low of $143.30 and a one year high of $285.50. The company has a fifty day simple moving average of $206.14 and a 200 day simple moving average of $181.06. The company has a current ratio of 1.37, a quick ratio of 1.37 and a debt-to-equity ratio of 0.27.

DoorDash (NASDAQ:DASH) last issued its quarterly earnings data on Wednesday, August 5th. The company reported $0.46 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.47 by ($0.01). DoorDash had a return on equity of 8.48% and a net margin of 5.29%.The company had revenue of $4.45 billion for the quarter, compared to the consensus estimate of $4.34 billion. During the same quarter last year, the business earned $0.65 earnings per share. DoorDash’s revenue was up 35.6% compared to the same quarter last year. Sell-side analysts expect that DoorDash will post 2.51 EPS for the current fiscal year.

Analyst Ratings Changes

Several equities analysts have weighed in on DASH shares. Wells Fargo & Company lifted their price objective on DoorDash from $199.00 to $225.00 and gave the company an “equal weight” rating in a report on Friday, August 7th. Benchmark decreased their target price on shares of DoorDash from $285.00 to $270.00 and set a “buy” rating on the stock in a report on Monday, August 3rd. Zacks Research raised shares of DoorDash from a “strong sell” rating to a “hold” rating in a report on Monday, August 17th. Piper Sandler restated a “neutral” rating and set a $220.00 target price (up from $205.00) on shares of DoorDash in a research note on Thursday, August 6th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of DoorDash in a research report on Friday, August 7th. One analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $257.47.

DoorDash News Summary

Here are the key news stories impacting DoorDash this week:

• Positive Sentiment: Traders purchased 14,194 DASH call options, about 37% above the average daily call volume of 10,376 contracts. The activity may signal increased bullish speculation, although options positioning does not guarantee a sustained stock advance.
• Positive Sentiment: DoorDash named WPP its global media partner, expanding an existing relationship. A centralized global advertising strategy could improve brand efficiency and support customer and merchant growth. DoorDash doubles down on WPP, naming agency global media partner
• Positive Sentiment: DoorDash and Round21 are planning a limited-edition WNBA postseason collection, providing a modest branding and engagement opportunity. DoorDash, Round21 To Drop Limited-Edition Collection for the WNBA Postseason

Insider Buying and Selling

In related news, CFO Ravi Inukonda sold 16,044 shares of the firm’s stock in a transaction dated Tuesday, September 1st. The shares were sold at an average price of $228.55, for a total transaction of $3,666,856.20. Following the transaction, the chief financial officer directly owned 217,911 shares of the company’s stock, valued at approximately $49,803,559.05. This trade represents a 6.86% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Keith Yandell sold 2,184 shares of DoorDash stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $200.76, for a total transaction of $438,459.84. Following the completion of the sale, the insider owned 120,688 shares of the company’s stock, valued at $24,229,322.88. This trade represents a 1.78% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 396,155 shares of company stock valued at $86,469,551 in the last 90 days. 44.90% of the stock is currently owned by corporate insiders.

Institutional Trading of DoorDash

A number of large investors have recently bought and sold shares of DASH. Norges Bank acquired a new stake in shares of DoorDash in the 4th quarter valued at about $1,093,650,000. Janus Henderson Group PLC boosted its holdings in DoorDash by 40.2% in the first quarter. Janus Henderson Group PLC now owns 7,762,553 shares of the company’s stock worth $1,159,377,000 after acquiring an additional 2,225,954 shares in the last quarter. Temasek Holdings Private Ltd grew its stake in DoorDash by 49.4% in the first quarter. Temasek Holdings Private Ltd now owns 3,461,501 shares of the company’s stock valued at $519,744,000 after acquiring an additional 1,145,078 shares during the period. Assenagon Asset Management S.A. increased its holdings in shares of DoorDash by 137.6% during the first quarter. Assenagon Asset Management S.A. now owns 1,528,218 shares of the company’s stock valued at $229,462,000 after acquiring an additional 885,122 shares in the last quarter. Finally, Nykredit A S bought a new stake in shares of DoorDash during the second quarter valued at approximately $121,724,000. 90.64% of the stock is currently owned by institutional investors and hedge funds.

DoorDash Company Profile

DoorDash, Inc operates a local commerce platform that connects consumers with merchants and independent delivery workers. Its marketplace enables customers to order meals from restaurants as well as groceries, convenience items, alcohol where permitted, and products from other retail businesses through its websites and mobile applications.

The company also provides services designed to support merchants, including delivery logistics, online ordering, marketing, payment processing, and customer-engagement tools.