Doordash Soars to Record High on Explosive Earnings, But Can the Momentum Hold?

Summary
• DoorDash (DASH) hits all-time high of $278.15
• Q2 earnings surge to $285M, up from $157M loss a year ago
• Total orders jump 20% to 761 million, outpacing forecasts

DoorDash’s shares surged 3.97% to $268.32, trading near its intraday peak of $278.15 after a blockbuster earnings report. The stock’s 60% year-to-date rally has been fueled by record demand for food delivery and strategic expansion into groceries and retail. With a dynamic P/E of 119.9, investors are betting on sustained growth amid a competitive delivery landscape.

Record Earnings and Expansion Fuel DASH's Surge
DoorDash’s 4% intraday gain was driven by Q2 results that shattered expectations. The company reported $285 million in net income, a dramatic turnaround from a $157 million loss a year prior, while revenue jumped 25% to $3.28 billion. Total orders hit 761 million, and marketplace gross order value (GOV) rose 23% to $24.24 billion. Strategic acquisitions of Deliveroo and SevenRooms, coupled with expansion into non-food categories like groceries and alcohol, have broadened its revenue streams. The stock’s 52-week high of $278.15 reflects investor confidence in its ability to scale operations and capture market share in a resilient delivery sector.

Options Playbook: Leveraging Volatility in a Bullish DASH
• MACD: 6.37 (above signal line 5.65), bullish crossover
• RSI: 74.43 (overbought territory)
• Bollinger Bands: Price at $268.32, above middle band $244.46
• 200-day MA: $194.15 (far below current price)

With RSI near overbought levels and MACD signaling momentum, DASH is in a short-term bullish phase. Key support lies at the 30-day MA of $238.78 and 200-day MA of $174.50. While the stock’s 119.9 P/E suggests stretched valuations, its 23% GOV growth and $109.36B market cap (vs. FDX+UPS’s $126.46B) indicate strong fundamentals.

Top Options Picks:
• DASH20250815C270
- Type: Call
- Strike: $270
- Expiry: 2025-08-15
- IV: 36.07% (moderate)
- Leverage: 52.58%
- Delta: 0.457 (moderate sensitivity)
- Theta: -0.8837 (high time decay)
- Gamma: 0.02616 (high sensitivity to price swings)
- Turnover: $259,499
- Why: High leverage and gamma make this call ideal for a 5% upside scenario (target $281.73), with a projected payoff of $11.73 per contract.
• DASH20250815C275
- Type: Call
- Strike: $275
- Expiry: 2025-08-15
- IV: 37.51% (moderate)
- Leverage: 77.58%
- Delta: 0.3397 (lower sensitivity)
- Theta: -0.7309 (high time decay)
- Gamma: 0.02324 (high sensitivity)
- Turnover: $160,441
- Why: Aggressive play for a 5% upside (target $281.73), with a projected payoff of $6.73 per contract. High leverage and gamma amplify returns if the stock breaks above $275.

Action: Aggressive bulls may consider DASH20250815C270 into a bounce above $275, while conservative traders should watch the 200-day MA at $194.50 for a breakdown signal.

Backtest Doordash Stock Performance
The 4% intraday surge in DASH has historically led to positive short-to-medium-term gains. The backtest data shows that following such an event, the 3-day win rate is 62.25%, the 10-day win rate is 71.89%, and the 30-day win rate is 78.31%. Additionally, the average returns over these periods are 1.05% over 3 days, 3.20% over 10 days, and 8.90% over 30 days, indicating that DASH tends to continue performing well in the immediate aftermath of a significant intraday increase.

DASH’s Momentum Faces Crucial Test: Watch $275 and Amazon’s Lead
DoorDash’s record high is justified by its explosive Q2 results and strategic expansion, but its 119.9 P/E and 36.07% IV suggest elevated risk. The stock must hold above $275 to confirm bullish momentum, with a breakdown below $238.78 (30-day MA) signaling a potential reversal. Investors should also monitor Amazon (AMZN), the sector leader, which dipped 0.09% today. A sustained move above $275 could validate DASH’s $285+ potential, but profit-taking risks emerge if RSI dips below 60. Act now: Buy DASH20250815C270 for a 5% upside or short-term holds above $275.