KeyBanc raised its price target on DoorDash Inc. (NASDAQ: DASH) to $280 from $275 on Wednesday, while keeping an Overweight rating on the stock. The updated target remains below the analyst high of $340 but is substantially higher than the company’s current market price of $173.38, according to InvestingPro data.
The upgrade reflects KeyBanc’s view that underlying Gross Order Volume - GOV - trends remain strong following DoorDash’s fourth-quarter report. The analyst highlighted that newer verticals within DoorDash are shifting toward profitability, a dynamic the firm sees as validating the company’s current investment posture.
InvestingPro data referenced by the firm shows DoorDash’s revenue grew 24.46% over the past 12 months, with total revenue reaching $12.63 billion. KeyBanc described DoorDash’s spending as offensive in nature - aimed at accelerating GOV growth - and updated its GOV growth forecasts accordingly, projecting 29% growth for 2026 and 21% for 2027.
Market valuation metrics cited by KeyBanc include a current trailing P/E of 98.49 for DoorDash, which the firm noted reflects high growth expectations priced into the stock. The analyst offered a succinct characterization: "Dashing Through the Tech Winter with GOV Momentum; DoorDash’s 4Q report reinforced that underlying Gross Order Volume (GOV) trends remain strong, and that newer verticals are shifting to profitability."
The new $280 price target is based on a valuation of 25 times KeyBanc’s 2027 EV/EBITDA estimate and is driven by the firm’s higher GOV and profitability assumptions for the company.
Other recent data points and analyst moves add context to KeyBanc’s update. Visible Alpha data indicated DoorDash’s fourth-quarter gross order value and EBITDA both topped prior expectations by 1%. The company reported a 25% year-over-year increase in its core gross order value, excluding Wolt, which matched the pace recorded in the third quarter.
In response to the results and outlook, several brokerages adjusted their price targets. Guggenheim trimmed its target to $255 while keeping a Buy rating, citing strong Marketplace Gross Order Value trends. Cantor Fitzgerald reduced its target to $230 but maintained an Overweight rating, attributing the cut to investment costs. Needham lowered its target to $265 and stayed with a Buy rating, pointing to continued robust bookings momentum. Bernstein SocGen Group moved its target to $270, highlighting DoorDash’s expansion into new verticals and improvements in profitability.
Separately, DoorDash’s shares experienced downward pressure after Grubhub announced it would remove delivery and service fees on orders over $50, a pricing move that also impacted Uber’s shares. That competitive action is one of the market developments investors and analysts are tracking alongside company-reported GOV and margin trends.