This fund supervisor loves DoorDash

Scotia Wealth Administration portfolio supervisor Stan Wong mentioned on BNN Bloomberg’s Market Name on Oct. 9 that DoorDash (DoorDash Inventory Quote, Chart, Information, Analysts, Financials NASDAQ:DASH) stays a frontrunner within the rising “comfort and last-mile logistics” sector and continues to develop past its restaurant supply roots.

“DoorDash controls about 65% of the U.S. meals supply market,” Wong mentioned. “They’re evolving right into a broader commerce platform, transferring into groceries, comfort, and retail supply.”

He highlighted the corporate’s DashPass loyalty program as a serious driver of buyer retention and order frequency.

“You’re paying a charge for this move, and also you’re going to make use of it increasingly usually,” he mentioned, including that margins and profitability are bettering, aided by AI-based enhancements that optimize order stream and effectivity.

“DoorDash is actually a type of evolving names within the theme of comfort and last-mile logistics,” Wong mentioned. “Folks need issues to come back to them, they don’t need to stroll a number of blocks to get to a restaurant.”

He acknowledged rising competitors from Uber and Walmart however mentioned the corporate’s market management and scale permit it to “hold investing in infrastructure and AI to remain forward.”

Wong famous that DoorDash is anticipated to generate about US$16-billion in income in fiscal 2026, with earnings progress forecast at 30–35% yearly.

“The market isn’t static, it’s increasing, and that leaves room for a number of gamers to develop,” he mentioned.

DoorDash shares have gained 93.3% over the previous yr and 171.6% over the previous 5 years. Of the analysts overlaying the inventory, 32 fee it ‘Purchase,’ 11 ‘Maintain,’ and one ‘Promote,’ with a consensus goal value of US$298.89.

The inventory closed Oct. 15 at US$272.61.

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