We came across a bullish thesis on DoorDash, Inc. on Darius Dark Investing’s Substack. In this article, we will summarize the bulls’ thesis on DASH. DoorDash, Inc.’s share was trading at $198.37 as of November 28th. DASH’s trailing and forward P/E were 100.19 and 49.75 respectively according to Yahoo Finance.
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DoorDash, Inc., together with its subsidiaries, operates a commerce platform that connects merchants, consumers, and independent contractors in the United States and internationally. DASH has reached a pivotal moment in its evolution, transforming from a cash-burning delivery platform into a profitable, cash-generating powerhouse. Its Q3 2025 results demonstrated $3.4 billion in revenue, up 27% year-over-year, alongside $244 million in GAAP net income, marking a 51% increase and the third consecutive profitable quarter.
This performance confirms that DoorDash’s U.S. food delivery model is not only viable but dominant, controlling roughly 68% of the market and benefiting from a growing subscription base of 26 million DashPass and Wolt+ members. The company’s profitability is further boosted by its high-margin advertising business, which is scaling faster than marketplace gross order value, expanding net revenue margins to 13.8% and layering sustainable earnings on top of logistics operations.
The stock’s sharp sell-off following the earnings call reflects investor concerns over an aggressive 2026 spending plan, including the integration of Wolt and Deliveroo into a single global tech platform, expansion into new high-margin verticals with Kroger and other retail partnerships, the $1.2 billion SevenRooms acquisition, and investment in autonomous delivery via Google’s Waymo and DoorDash’s proprietary “Dot” robot. While these initiatives create short-term cost pressures, management frames them as strategic investments to secure global scale, operational efficiency, and long-term competitive advantage.
Regulatory risks, particularly around gig worker classification, have largely eased at the federal level, with Proposition 22 upheld and the Department of Labor pausing enforcement of prior rules, though municipal-level challenges remain. The market’s 20% pullback undervalues DoorDash’s proven profitability, dominant U.S. presence, and reinvestment-driven growth strategy. For long-term investors, DASH represents a rare opportunity to acquire a market leader using current profits to build a global, multi-vertical empire, offering a compelling risk/reward proposition.
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