Zacks Research Has Negative Outlook of DoorDash Q1 Earnings

DoorDash, Inc. (NASDAQ:DASH) – Research analysts at Zacks Research reduced their Q1 2026 earnings estimates for DoorDash in a report issued on Tuesday, January 6th. Zacks Research analyst Team now expects that the company will post earnings of $0.55 per share for the quarter, down from their previous forecast of $0.57. Zacks Research has a “Strong Sell” rating on the stock. The consensus estimate for DoorDash’s current full-year earnings is $2.22 per share. Zacks Research also issued estimates for DoorDash’s Q3 2026 earnings at $0.67 EPS, FY2026 earnings at $2.62 EPS, Q1 2027 earnings at $1.37 EPS, Q4 2027 earnings at $1.83 EPS and FY2027 earnings at $5.20 EPS.

DASH has been the subject of several other research reports. KeyCorp restated an “overweight” rating and set a $280.00 target price on shares of DoorDash in a research report on Friday, November 21st. Bank of America dropped their price objective on DoorDash from $325.00 to $305.00 and set a “buy” rating for the company in a report on Thursday, November 6th. Royal Bank Of Canada reduced their target price on DoorDash from $300.00 to $270.00 and set an “outperform” rating on the stock in a research note on Thursday, November 6th. JPMorgan Chase & Co. lowered their target price on shares of DoorDash from $325.00 to $300.00 and set an “overweight” rating for the company in a research note on Thursday, November 6th. Finally, Wall Street Zen cut shares of DoorDash from a “buy” rating to a “hold” rating in a report on Saturday, November 1st. One investment analyst has rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating, nine have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $277.17.

DoorDash Stock Performance

Shares of NASDAQ:DASH opened at $230.52 on Thursday. The company has a current ratio of 2.04, a quick ratio of 2.04 and a debt-to-equity ratio of 0.29. DoorDash has a 12 month low of $155.40 and a 12 month high of $285.50. The company has a market capitalization of $99.35 billion, a price-to-earnings ratio of 117.02 and a beta of 1.70. The firm’s 50-day moving average is $219.08 and its 200 day moving average is $241.53.

DoorDash (NASDAQ:DASH) last released its earnings results on Wednesday, November 5th. The company reported $0.55 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.68 by ($0.13). DoorDash had a return on equity of 9.97% and a net margin of 6.83%.The firm had revenue of $3.45 billion during the quarter, compared to the consensus estimate of $3.35 billion. During the same quarter last year, the business posted $0.38 EPS. DoorDash’s revenue was up 27.3% compared to the same quarter last year.

Insider Activity

In other DoorDash news, CEO Tony Xu sold 288,410 shares of the stock in a transaction dated Thursday, November 20th. The shares were sold at an average price of $196.04, for a total transaction of $56,539,896.40. Following the transaction, the chief executive officer directly owned 232,040 shares in the company, valued at $45,489,121.60. This represents a 55.42% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Prabir Adarkar sold 30,000 shares of the firm’s stock in a transaction dated Monday, December 22nd. The shares were sold at an average price of $234.57, for a total transaction of $7,037,100.00. Following the transaction, the chief operating officer directly owned 874,130 shares in the company, valued at $205,044,674.10. This trade represents a 3.32% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 642,011 shares of company stock valued at $136,832,543. Company insiders own 5.83% of the company’s stock.

Hedge Funds Weigh In On DoorDash

A number of hedge funds and other institutional investors have recently modified their holdings of the business. Gilbert & Cook Inc. boosted its position in DoorDash by 2.6% during the second quarter. Gilbert & Cook Inc. now owns 1,685 shares of the company’s stock valued at $415,000 after purchasing an additional 42 shares in the last quarter. Resonant Capital Advisors LLC raised its holdings in DoorDash by 3.5% in the third quarter. Resonant Capital Advisors LLC now owns 1,229 shares of the company’s stock worth $334,000 after purchasing an additional 42 shares in the last quarter. Premier Path Wealth Partners LLC lifted its position in shares of DoorDash by 1.9% during the third quarter. Premier Path Wealth Partners LLC now owns 2,414 shares of the company’s stock valued at $657,000 after buying an additional 45 shares during the last quarter. Perigon Wealth Management LLC boosted its holdings in shares of DoorDash by 1.3% in the 2nd quarter. Perigon Wealth Management LLC now owns 3,701 shares of the company’s stock valued at $912,000 after buying an additional 46 shares in the last quarter. Finally, Advisory Resource Group boosted its holdings in shares of DoorDash by 0.8% in the 2nd quarter. Advisory Resource Group now owns 5,774 shares of the company’s stock valued at $1,423,000 after buying an additional 48 shares in the last quarter. 90.64% of the stock is currently owned by institutional investors.

Key Stories Impacting DoorDash

Here are the key news stories impacting DoorDash this week:

• Positive Sentiment: Management publicly rejected a viral claim that the app uses a “desperation score” to set driver pay, calling it a hoax and promising rapid internal action — a direct PR/regulatory risk reduction. DoorDash CEO forced to respond to viral hoax
• Positive Sentiment: DoorDash banned a driver accused of using AI‑generated images to fake deliveries, showing active fraud detection and enforcement that protect marketplace integrity and merchant/consumer trust. DoorDash Bans Driver Using AI Images To Fake Deliveries
• Positive Sentiment: At CES DoorDash highlighted “smarter commerce” and media/intent‑to‑purchase initiatives — strategic product moves that aim to convert intent into incremental revenue and improve monetization. CES 2026: How DoorDash is turning intent into action with smarter commerce media
• Neutral Sentiment: DoorDash set its Q4 and full‑year 2025 earnings release for Feb. 18 — a near‑term catalyst investors will watch for revenue, margin and guidance updates. DoorDash to Announce Fourth Quarter and Full Year 2025 Financial Results on February 18, 2026
• Neutral Sentiment: Analyst/market pieces are debating valuation after a strong one‑year run, giving investors context on whether to add or trim positions amid a high P/E and elevated expectations. Is It Too Late To Consider DoorDash (DASH) After Its Strong 1 Year Share Price Run?
• Neutral Sentiment: Local human‑interest coverage (a driver paying out of pocket to help a sick student) keeps the brand in the public eye but is unlikely to move fundamentals materially. DoorDash driver pays out of pocket to help sick college student
• Negative Sentiment: Insider selling: multiple insiders disclosed large early‑January stock sales (Director Andy Fang ~30k shares; Director Stanley Tang ~45.4k; CEO Tony Xu also sold shares), a factor investors often view as a near‑term negative signal on insider conviction. DoorDash insider trades roundup
• Negative Sentiment: Zacks cut DoorDash to a “strong sell,” adding analyst downgrades to the negative narrative and potentially pressuring sentiment for momentum traders. Zacks downgrade
• Negative Sentiment: Serious safety/PR incident reported: outlets say a DoorDash driver allegedly assaulted an elderly man, leaving him in a coma — a material reputational/liability risk that investors should monitor. 75-Year-Old Veteran Left in Coma After DoorDash Driver Allegedly Punched Him

About DoorDash

DoorDash, Inc operates a technology-driven logistics and food-delivery marketplace that connects consumers, merchants and independent delivery contractors. The company’s core service enables customers to order from local restaurants and retailers through its app and website while DoorDash handles last-mile fulfillment via its network of drivers, known as “Dashers.” Over time the platform has broadened beyond restaurant deliveries to include groceries, convenience items and retail deliveries, positioning DoorDash as a broader on-demand logistics provider for consumer goods.

In addition to its marketplace, DoorDash offers a suite of products and services for consumers and businesses.