Truist Securities increased its price target on DoorDash Inc. (NASDAQ:DASH) to $340 from $330 and maintained a Buy rating on Wednesday. The $340 objective matches the highest analyst price target for the company. DoorDash shares were trading at $178.83, implying roughly 90% upside to Truist's new target.
The upgrade followed DoorDash's fourth-quarter 2025 results, which Truist described as solid and "virtually in line" with expectations. Looking ahead, management provided first-quarter 2026 guidance that points to higher gross order value alongside a lower adjusted EBITDA at the midpoint. Truist attributed that divergence to several factors called out by the company - investments in Deliveroo, adverse weather conditions and seasonal increases in Dasher costs.
Data from InvestingPro cited in Truist's note shows DoorDash has been expanding rapidly, with revenue growing 24.46% over the last twelve months to $12.63 billion. That growth trajectory, combined with a balance sheet that holds more cash than debt, was highlighted as giving DoorDash flexibility to pursue additional spending aimed at accelerating growth.
For fiscal 2026, DoorDash's outlook remains unchanged, with the company expecting higher core margins when excluding Deliveroo. At the same time, Truist noted that the company is planning several hundred million dollars of growth spending across products and technology platforms. Those investments may weigh on fiscal 2026 margins despite the expectation for improved core margins exclusive of Deliveroo.
Truist emphasized that DoorDash's management has earned the right to pursue faster, longer-term expansion from a position of strength. The broker pointed to DoorDash's outperformance versus peers across U.S. restaurants, grocery and retail categories, and said it remains constructive on the shares following the quarterly release and the accompanying guidance.
Analyst reactions to DoorDash's results have been mixed, reflecting both optimism about order trends and caution around valuation and execution risks. Recent analyst moves include:
- KeyBanc raised its price target to $280, citing strong underlying Gross Order Volume trends and a move to profitability in newer verticals.
- Piper Sandler lowered its target to $220, pointing to increased competition and execution risks.
- Guggenheim set a $255 target, acknowledging strong Marketplace Gross Order Value trends while flagging valuation concerns.
- Cantor Fitzgerald reduced its target to $230, noting investment costs despite gross order value and EBITDA beating prior expectations.
- Needham trimmed its target to $265, citing continued strong bookings momentum but noting DoorDash's premium valuation relative to Uber.
These adjustments illustrate a split among sell‑side analysts: many recognize strong marketplace performance and booking momentum, while others are cautious about competitive pressures, investment pacing and valuation levels. DoorDash's second-highest U.S. restaurant marketplace gross order value in the last 15 quarters was cited as a particular point of strength in the company's fourth-quarter report.
Overall, Truist's move to raise the price target and retain a Buy rating reflects confidence in DoorDash's growth prospects and financial flexibility, even as the company balances margin expectations with sizable planned investments.