Oppenheimer Lifts DoorDash Target to $280 on Strong Growth and Profit Upside

Oppenheimer raised its price target on DoorDash (NASDAQ:DASH) to $280 from $220 while maintaining an Outperform rating, citing accelerating profitability and stronger-than-expected data on order volumes and advertising revenue.

The firm highlighted DoorDash’s recent disclosure of $1 billion in advertising revenue as a key indicator of profitability ramping up. Its updated model projects advertising revenue reaching $2.6 billion by 2027—assuming ad penetration of 2% of gross bookings, similar to Uber’s current level—while investments in grocery delivery are expected to trim the core take rate slightly by 70 basis points.

These dynamics are seen driving EBITDA margins higher, from an estimated 2.8% of gross bookings in 2025 to 3.5% by 2027, translating to a 30% EBITDA CAGR over that period. Additionally, the pending Deliveroo acquisition, which could be roughly 9% accretive to 2027 EBITDA, adds optionality not yet factored into estimates.

Oppenheimer also nudged up 2025 and 2026 gross order value forecasts by 1% and 2%, respectively, reflecting stronger-than-expected quarter-to-date trends from third-party app data. The new target price is based on 23x 2027E EBITDA, a 36% premium to peers, justified by DoorDash’s expected 51% faster EBITDA growth from 2024–2027 on an organic basis.