Is DASH a good buy?
7/24/2024 11:49am
**DoorDash (DASH) appears to be a good buy** based on several factors:
1. **Positive Analyst Ratings and Price Targets**: The consensus rating for DASH is a "Buy" with an average price target of $126.47, which represents a 20.14% increase from the last price of $105.76. Additionally, the average 12-month price target from 27 analysts is $137.05, indicating a potential upside.
2. **Revenue Growth**: DoorDash has shown a significant increase in total revenue, with $1.3 billion in 2021, $1.82 billion in 2022, and $2.3 billion in 2023. This growth suggests a strong market presence and business expansion.
3. **Dividend Yield**: The dividend yield is negative at -0.99%, which is not indicative of a dividend-paying stock, but it does not impact the overall investment decision for non-dividend-focused investors.
4. **Market Sentiment**: There is a moderate buy rating with 16 buy ratings, 11 hold ratings, and no sell ratings, indicating a generally positive sentiment among analysts.
5. **Insider Activity**: Insider sales by key executives, such as Keith Yandell and Shona Brown, could be interpreted as a sign of confidence in the company's prospects, although it doesn't directly impact the stock's intrinsic value.
6. **Technical Indicators**: The lack of technical indicators such as MACD, RSI, and KDJ does not provide immediate insights into the stock's momentum, but the stock's price movement can be analyzed based on its moving averages and price targets.
7. **Strategic Expansion**: DoorDash's expansion into new verticals like groceries and its partnerships with retailers demonstrate strategic growth initiatives that could enhance its market position.
In conclusion, DASH's strong revenue growth, positive analyst ratings, and strategic expansion suggest potential for growth. However, investors should consider the company's negative net profit margin and the risks associated with any investment decision. It's important to align these factors with your investment strategy, risk tolerance, and time horizon before making a decision.