DoorDash (NASDAQ:DASH) stock is a hot topic on Thursday after Morgan Stanley updated its coverage of the food-delivery company’s shares.
Morgan Stanley analyst Brian Nowak upgraded shares of DASH stock from an “equal weight” rating to an “overweight” rating today. That’s bullish next to the analyst consensus rating of hold based on 22 opinions.
In addition to that upgrade, the Morgan Stanley analyst also increased his price target for DASH stock from $135 per share to $145 per share. That represents a potential upside of 26.4% for the shares. It’s also well above the analyst consensus price prediction of $116.27 per share
What’s Behind the DASH Stock Upgrade?
Here’s what Nowak said about DoorDash in a note to clients obtained by CNBC:
“DASH’s micro-level execution (growth and profitability) within its highly-competitive verticals is what drives us to Overweight […] We view DASH’s post EPS pullback (down ~10%) as an attractive entry point, with the gap between DASH’s EV/FY2 EBITDA multiple and peers now the lowest in history and DASH trading at a near trough EV/ FY2 EBITDA multiple.”
DASH stock is up 6.8% as of Thursday morning with more than 2.5 million shares changing hands. That’s still below its daily average trading volume of about 4.6 million units.
There are even more stock market stories that traders are going to want to read about down below!
We are offering up insight into all of the latest stock market news with our deep dives into Thursday’s happenings! A few examples include a warning for Rivian (NASDAQ:RIVN) investors, a new Nvidia (NASDAQ:NVDA) price target and Novavax (NASDAQ:NVAX) reaching a vaccine settlement. You can catch up on these topics at the following links!
More Stock Market News for Thursday
- Morgan Stanley Issues a Warning on Rivian (RIVN) Stock
- Rosenblatt Just Majorly Hiked Its Nvidia (NVDA) Stock Price Target
- NVAX Stock Climbs as Novavax Settles Covid-19 Vaccine Dispute
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
