Stock Traders Purchase High Volume of DoorDash Call Options (NASDAQ:DASH)

DoorDash, Inc. (NASDAQ:DASH) was the target of unusually large options trading on Tuesday. Stock investors purchased 42,347 call options on the stock. This is an increase of 140% compared to the typical daily volume of 17,619 call options.

DoorDash Trading Down 2.8%

Shares of DASH opened at $164.99 on Thursday. DoorDash has a 1-year low of $155.40 and a 1-year high of $285.50. The company has a 50-day moving average of $187.01 and a 200 day moving average of $221.07. The firm has a market capitalization of $71.68 billion, a price-to-earnings ratio of 77.83 and a beta of 1.82. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.41 and a quick ratio of 1.41.

DoorDash (NASDAQ:DASH) last issued its earnings results on Wednesday, February 18th. The company reported $0.48 EPS for the quarter, missing analysts’ consensus estimates of $0.58 by ($0.10). The company had revenue of $3.96 billion during the quarter, compared to the consensus estimate of $3.98 billion. DoorDash had a return on equity of 10.15% and a net margin of 6.82%.DoorDash’s revenue was up 37.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.33 earnings per share. On average, research analysts expect that DoorDash will post 2.22 EPS for the current year.

Insider Buying and Selling at DoorDash

In related news, CEO Tony Xu sold 16,667 shares of the business’s stock in a transaction on Monday, January 5th. The shares were sold at an average price of $230.00, for a total value of $3,833,410.00. Following the sale, the chief executive officer owned 1,500 shares in the company, valued at approximately $345,000. The trade was a 91.74% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Ravi Inukonda sold 1,017 shares of the company’s stock in a transaction on Wednesday, January 14th. The shares were sold at an average price of $215.14, for a total transaction of $218,797.38. Following the sale, the chief financial officer directly owned 208,412 shares in the company, valued at approximately $44,837,757.68. The trade was a 0.49% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 188,742 shares of company stock worth $41,498,888. Company insiders own 5.83% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of DASH. Norges Bank purchased a new position in shares of DoorDash during the fourth quarter valued at $1,093,650,000. Wellington Management Group LLP lifted its stake in DoorDash by 593.1% in the fourth quarter. Wellington Management Group LLP now owns 5,481,693 shares of the company’s stock worth $1,241,494,000 after acquiring an additional 4,690,744 shares during the period. Price T Rowe Associates Inc. MD lifted its stake in DoorDash by 32.8% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 13,958,114 shares of the company’s stock worth $3,161,234,000 after acquiring an additional 3,447,754 shares during the period. Coatue Management LLC grew its holdings in DoorDash by 77.8% during the 4th quarter. Coatue Management LLC now owns 4,365,365 shares of the company’s stock worth $988,668,000 after acquiring an additional 1,910,488 shares in the last quarter. Finally, Vanguard Group Inc. grew its holdings in DoorDash by 4.6% during the 2nd quarter. Vanguard Group Inc. now owns 41,190,085 shares of the company’s stock worth $10,153,768,000 after acquiring an additional 1,792,799 shares in the last quarter. 90.64% of the stock is currently owned by hedge funds and other institutional investors.

DoorDash News Summary

Here are the key news stories impacting DoorDash this week:

• Positive Sentiment: Bernstein reaffirmed an “Outperform” rating and highlighted DoorDash’s reinvestment-driven growth strategy, a vote of confidence from an institutional analyst that can support the stock. DoorDash (DASH) reinforces growth strategy through continued reinvestment, Bernstein reaffirms outperform
• Positive Sentiment: DoorDash is expanding into restaurant reservations and paying users to dine at partner restaurants — a strategic push to capture higher-value transactions and compete with rivals in the “reservation wars,” which could boost take rates and engagement over time. As Reservation Wars Heat Up, DoorDash Will Pay You to Eat at a Restaurant
• Positive Sentiment: Viral human-interest coverage of a 78‑year‑old DoorDash driver has generated large public donations and positive PR; DoorDash and its CEO contributed $20,000 to the fundraiser, a goodwill event that helps brand perception and driver relations. 78-year-old DoorDash driver gets massive tip from thousands of strangers after viral doorbell video
• Neutral Sentiment: Unusual options activity: traders bought ~42,347 call options in a single day (about a 140% jump vs. average), signaling speculative or hedged bullish interest but not confirming directional fundamentals. (No article link available)
• Negative Sentiment: A proposed $16.75M settlement related to a class action has been announced; while small relative to DoorDash’s market cap, it is a legal overhang and could inspire additional scrutiny or costs. See if you qualify for DoorDash’s $16.75M settlement
• Negative Sentiment: A report that a DoorDash driver pulled a gun on a gate guard and is now suing a Myrtle Beach-area HOA raises reputational and liability concerns tied to gig‑worker conduct and local dispute escalation. DoorDash driver pulls gun on gate guard. He’s now suing Myrtle Beach area HOA
• Negative Sentiment: Separately, a high-profile trial began for the highway superintendent who fatally shot a DoorDash worker — a tragic incident that keeps safety and liability in the headlines and could pressure sentiment. Trial for highway superintendent who shot DoorDash worker kicks off

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on DASH. Benchmark upped their target price on shares of DoorDash from $280.00 to $285.00 and gave the company a “buy” rating in a research report on Thursday, February 19th. Bank of America boosted their price objective on DoorDash from $260.00 to $272.00 and gave the stock a “buy” rating in a research note on Thursday, February 19th. Guggenheim decreased their price objective on DoorDash from $275.00 to $255.00 and set a “buy” rating on the stock in a research report on Thursday, February 19th. Needham & Company LLC lowered their price objective on DoorDash from $275.00 to $265.00 and set a “buy” rating for the company in a research note on Thursday, February 19th. Finally, Wedbush lifted their target price on DoorDash from $260.00 to $270.00 and gave the stock an “outperform” rating in a report on Friday, December 19th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating and nine have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $262.82.

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.