Maplebear (NASDAQ:CART) Cut to Hold at Raymond James Financial

Maplebear (NASDAQ:CART) was downgraded by research analysts at Raymond James Financial from a “moderate buy” rating to a “hold” rating in a report issued on Thursday, Zacks reports.

A number of other research analysts have also recently weighed in on the stock. Wells Fargo & Company lifted their target price on shares of Maplebear from $54.00 to $56.00 and gave the company an “equal weight” rating in a research note on Monday, October 5th. Guggenheim increased their price target on Maplebear from $44.00 to $46.00 and gave the stock a “neutral” rating in a research note on Friday, August 7th. Wedbush began coverage on Maplebear in a research note on Thursday, July 16th. They issued an “outperform” rating and a $59.00 price target for the company. Cantor Fitzgerald cut Maplebear from an “overweight” rating to a “neutral” rating and raised their price target for the company from $63.00 to $65.00 in a report on Friday. Finally, Sanford C. Bernstein downgraded Maplebear from an “outperform” rating to a “market perform” rating and boosted their price objective for the company from $60.00 to $65.00 in a research report on Friday. Seven research analysts have rated the stock with a Buy rating and fourteen have issued a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $58.33.

Maplebear Price Performance

Shares of NASDAQ:CART opened at $56.45 on Thursday. Maplebear has a 1-year low of $32.73 and a 1-year high of $62.00. The company has a market capitalization of $13.07 billion, a P/E ratio of 29.40, a P/E/G ratio of 1.12 and a beta of 0.87. The firm’s 50 day simple moving average is $49.05 and its two-hundred day simple moving average is $43.31.

Maplebear (NASDAQ:CART) last posted its quarterly earnings results on Thursday, October 29th. The company reported $0.60 earnings per share for the quarter, missing analysts’ consensus estimates of $0.63 by ($0.03). The firm had revenue of $1.09 billion during the quarter, compared to the consensus estimate of $1.07 billion. Maplebear had a return on equity of 22.50% and a net margin of 11.59%. The business’s revenue for the quarter was up 16.6% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.42 earnings per share. On average, sell-side analysts anticipate that Maplebear will post 2.31 earnings per share for the current fiscal year.

Insider Activity

In other news, CEO Chris Rogers sold 24,665 shares of Maplebear stock in a transaction dated Monday, October 26th. The stock was sold at an average price of $60.00, for a total value of $1,479,900.00. Following the sale, the chief executive officer directly owned 867,911 shares of the company’s stock, valued at approximately $52,074,660. The trade was a 2.76% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Morgan Fong sold 18,390 shares of the business’s stock in a transaction dated Thursday, October 22nd. The stock was sold at an average price of $51.00, for a total value of $937,890.00. Following the completion of the sale, the insider owned 529,911 shares in the company, valued at $27,025,461. This represents a 3.35% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 309,928 shares of company stock valued at $16,121,073. 24.00% of the stock is owned by corporate insiders.

Institutional Trading of Maplebear

Hedge funds have recently modified their holdings of the company. BlackRock Inc. purchased a new position in shares of Maplebear in the second quarter valued at $750,477,000. Dimensional Fund Advisors LP increased its position in Maplebear by 31.4% in the first quarter. Dimensional Fund Advisors LP now owns 4,981,960 shares of the company’s stock worth $186,618,000 after purchasing an additional 1,189,287 shares during the last quarter. William Blair Investment Management LLC bought a new stake in Maplebear in the second quarter worth $86,462,000. Deutsche Bank AG bought a new stake in Maplebear in the second quarter worth $73,801,000. Finally, Goodnow Investment Group LLC purchased a new stake in Maplebear during the second quarter valued at $69,898,000. 63.09% of the stock is owned by hedge funds and other institutional investors.

Maplebear News Summary

Here are the key news stories impacting Maplebear this week:

• Positive Sentiment: DoorDash agreed to acquire Maplebear, which operates as Instacart, in a cash-and-stock transaction valued at approximately $17 billion. Maplebear shareholders are expected to receive $65 in cash, 0.3372 shares of DoorDash, or a combination subject to proration. The offer provides a potential premium if the transaction closes. Shareholder Alert: The M&A Class Action Firm Announces an Investigation of Maplebear Inc.
• Positive Sentiment: The proposed combination would unite DoorDash’s restaurant-delivery network with Instacart’s grocery platform. Management expects at least $500 million in operational efficiencies and believes greater scale could improve delivery economics and competition with Amazon and Walmart. DoorDash to acquire Instacart for $17B
• Neutral Sentiment: Maplebear’s third-quarter revenue increased 16.6% year over year to roughly $1.1 billion, while earnings rose to $0.60 per share from $0.42. However, earnings missed estimates of approximately $0.63-$0.64 per share. Maplebear Q3 Earnings Miss Estimates
• Negative Sentiment: The wide gap between CART’s trading level and the $65 offer indicates that investors doubt the transaction will close quickly or successfully. The companies expect closing in late 2027 or the first half of 2028, leaving shareholders exposed to regulatory and execution risk for as long as two years. Maplebear also suspended forward guidance and canceled its scheduled earnings call. DoorDash’s $17 Billion Bet on Instacart Faces a Long Regulatory Road Ahead
• Negative Sentiment: Antitrust scrutiny is a major concern because the deal would combine two leading U.S. delivery platforms. Worker advocates and New York City officials have criticized the transaction over possible higher prices, reduced competition and weaker worker bargaining power.
• Negative Sentiment: Several analysts downgraded Maplebear to neutral, equal weight or hold, including Barclays, Needham, Cantor Fitzgerald, Citizens JMP and Bernstein. Although some firms retained $65 price targets, the ratings signal limited confidence in upside before the merger’s outcome is clearer. Law firms have also announced investigations into whether shareholders are receiving a fair price and whether directors fulfilled their fiduciary duties.

About Maplebear

Maplebear Inc, doing business as Instacart, operates a technology-enabled grocery marketplace that connects consumers with retailers and personal shoppers. Through its website and mobile applications, customers can order groceries and other household products for delivery or pickup from participating supermarkets, specialty food stores, convenience retailers and other merchants.

The company also provides retailers with e-commerce, fulfillment and advertising solutions. Its platform supports online storefronts, order management, delivery logistics, customer engagement and data-driven marketing, allowing retail partners to offer digital shopping services and reach consumers through Instacart’s marketplace.

Founded in 2012, Maplebear serves customers across the United States and Canada.