DoorDash stock climbs as Raymond James raises price target on loyalty growth

Published 07/08/2025, 10:58
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Investing.com - Raymond (NSE:RYMD) James raised its price target on DoorDash Inc. (NASDAQ:DASH) to $325.00 from $275.00 on Thursday, while maintaining a Strong Buy rating on the food delivery company. The stock, currently trading at $258.08, is near its 52-week high of $259.87, having delivered an impressive 112% return over the past year.

The investment firm cited DoorDash’s strong core execution with upside driven by its loyalty programs, including DashPass and Wolt+ acceleration, as key factors behind the increased target.

Raymond James also highlighted DoorDash’s new verticals, which are growing faster than its restaurant business, and the company’s advertising segment with methodical inventory expansion, supporting the firm’s "$3B ad-run rate thesis."

The analyst noted that DoorDash reported Gross Order Value (GOV) of $24.2 billion, exceeding Street expectations of $23.6 billion, and guided third-quarter GOV to between $24.2 billion and $24.7 billion, ahead of consensus estimates of $23.8 billion.

Raymond James expressed optimism about DoorDash’s position as it approaches the ROO acquisition, where the firm sees potential for mid to high-teens accretion, generally above what investors expect.

In other recent news, DoorDash Inc. reported its second-quarter 2025 earnings, surpassing market expectations. The company achieved an earnings per share of $0.65, significantly higher than the projected $0.43, marking a 51.16% surprise. Revenue also exceeded forecasts, coming in at $3.3 billion compared to the anticipated $3.16 billion. Additionally, DoorDash experienced accelerated order growth of 20% year-over-year in Q2, with gross order value exceeding the high end of its guidance by $544 million. The company’s EBITDA also surpassed guidance by $5 million. In light of these results, Citizens JMP raised its price target for DoorDash from $250 to $335, while maintaining a Market Outperform rating.

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