Bernstein SocGen Group lowered its price target on DoorDash Inc. to $270 from $285 while maintaining an Outperform rating on Wednesday. The revised target remains substantially above DoorDash’s latest share price of $173.38, which is trading roughly 39% under its 52-week high of $285.50.
The firm highlighted that DoorDash is actively broadening its business beyond core restaurant delivery into several new areas - additional verticals, geographic expansion, logistics services, software solutions and autonomy offerings. Bernstein SocGen said the company is beginning to register progress toward profitability across these expansion efforts, a development the firm described as notable.
Supporting that view, InvestingPro data cited in the firm’s analysis shows DoorDash produced 24.46% revenue growth over the last twelve months and reported a basic EPS of $2.04, reflecting a move to profitability on a per-share basis.
Bernstein SocGen characterized the company’s most recent quarterly report as a solid print that left the firm’s core estimates intact. The research team also noted that DoorDash guided investors toward the profitability outcome it is targeting for the year, reinforcing confidence in near-term margin improvements.
The analyst note emphasized a long runway for growth, pointing to a corporate DNA that favors reinvestment and indicating that additional investment cycles are likely in the future. The firm called the sustained momentum across DoorDash’s expansion efforts striking, and said the company appears to be demonstrating profitability to build investor trust before redeploying capital.
Other corporate developments referenced in the note illustrate how DoorDash is executing on diversification. The company announced a partnership with athletic retailer Hibbett to enable on-demand delivery of footwear, apparel and accessories nationwide, leveraging Hibbett’s roughly 1,000 stores to enhance DoorDash’s delivery footprint. In addition, DoorDash has appointed Milan Kovac - the former Vice President of Optimus Robotics and Autopilot at Tesla - to its Board of Directors, with the appointment taking effect in January 2026.
The note also recorded differing outlooks among other sell-side firms and competitive moves in the market. Bernstein reiterated an Outperform rating with a $285 price target in the same coverage, even as it flagged the prospect of a new investment cycle that could cost hundreds of millions of dollars in 2026. Separately, Stifel trimmed its price target to $224 from $253 and kept a Hold rating as investors weigh the potential margin effects from the Deliveroo integration. Competition is also active on pricing: Grubhub’s decision to remove delivery and service fees on orders over $50 was cited as added competitive pressure on DoorDash and its peers.
Taken together, these items map to a company in the midst of strategic expansion while managing margin and reinvestment trade-offs. Bernstein SocGen’s downgrade of the target price reflects a reassessment of near-term valuation while its maintained Outperform rating underlines a continued constructive view on DoorDash’s longer-term growth and profitability potential.
Summary
Bernstein SocGen trimmed DoorDash’s price target to $270 from $285 but kept an Outperform rating, pointing to progress in profitability across new business lines and continued revenue growth. The stock trades well below its 52-week high amid competing analyst views and intensified pricing moves by rivals.
Key Points
- Bernstein SocGen lowered its DoorDash price target to $270 from $285 while retaining an Outperform rating.
- DoorDash is expanding beyond restaurant delivery into new verticals, regions, logistics services, software solutions and autonomy, and is beginning to show profitability across those efforts.
- Recent company moves include a partnership with Hibbett to enable nationwide on-demand delivery from about 1,000 stores and the appointment of Milan Kovac to the board effective January 2026.
Risks and Uncertainties
- Projected new investment cycle in 2026 could cost hundreds of millions of dollars, creating pressure on margins and cash deployment plans.
- Competitive actions, such as Grubhub eliminating delivery and service fees on orders over $50, may intensify pricing pressure across the delivery sector and affect profitability for DoorDash and peers.
- Integration-related risks and margin impact from the Deliveroo integration are a concern for investors and were cited by sell-side analysts adjusting forecasts.