DoorDash Stock Forecast: Will Dash Make You Rich In 2023?
DoorDash has partnered with Staples, the office supply retailer, to offer customers a convenient way to shop for back-to-school essentials. Through the DoorDash app and website, customers can browse and order from a wide range of products from Staples, such as office supplies, electronics, snacks, and more.
The orders will be delivered by the Dash network of dashers (delivery drivers) in as fast as 30 minutes. This partnership is part of DoorDash’s expansion into the retail delivery market, which aims to provide customers with more choices and convenience.
DoorDash is a leading online food delivery platform that connects customers with local restaurants and other businesses. Dash was founded in 2013 and went public in 2020. DoorDash’s stock symbol is NYSE: DASH and its current price is $84.36 per share.
According to technical analysis, Dash’s stock price is in an uptrend and has the potential to reach higher levels in the future. The stock has gained 9.05% in the last month and 26.93% in the last three months. The stock is trading above the 50 and 200-day simple moving averages, which indicates a positive momentum.
However, Dash also faces some challenges and risks that could affect its stock price in the future. Some of these include:
• Regulatory uncertainty: Dash operates in a highly regulated industry that is subject to various laws and regulations regarding labor, consumer protection, taxation, data privacy, and more. Any changes or violations of these regulations could result in legal actions, fines, penalties, or restrictions that could harm DoorDash’s reputation, operations, or financial results.
• Competition: DoorDash competes with many other online food delivery platforms as well as traditional food service providers such as restaurants, supermarkets, and convenience stores. Some of these competitors may have more resources, experience, or brand recognition than DoorDash or may offer lower prices, better quality, or faster delivery than DoorDash.
• Customer retention: DoorDash relies on repeat customers for a significant portion of its revenue and growth. However, customer loyalty in the online food delivery market is low due to the availability of multiple options and the ease of switching between platforms. DoorDash may have to spend more on marketing, promotions, discounts, or incentives to attract and retain customers.
Technical Analysis of DoorDash Stock Price in 1-D Timeframe
CMT by shubhamsm006 on TradingView.com
The technical indicators also support the bullish outlook for DoorDash stock price. The MACD, RSI, and EMA are showing positive signs and suggest that the uptrend may continue. The MACD line and the signal line are above the zero line, which indicates strong buying pressure. The RSI value is 46.49, which means that the stock is not overbought or oversold. The EMA is also above the price, which acts as a dynamic support level.
Based on these technical factors, DoorDash stock price could reach the first and second resistance levels of $92.70 and $95.94 respectively, if it can sustain the current level of $84.36. However, if the stock price drops below this level, it could face the first and second support levels of $80.99 and $76.79 respectively.
Of course, technical analysis is not the only factor that affects the stock price. Fundamental factors such as the company’s earnings, growth, competition, regulation, and customer retention could influence stock performance.
DoorDash reported its second-quarter earnings on August 2, 2023, and beat analysts’ expectations with a revenue of $2.13 billion (up 32.65% year over year) and a net loss of $170 million (down 35.36% year over year). The company also raised its full-year guidance for gross order volume and revenue.
DoorDash has a competitive edge over its rivals such as Uber Eats, Grubhub, and Postmates due to its large network of merchants and dashers, its diversified offerings beyond food, and its innovative features such as DashPass (a subscription service that offers free delivery and reduced service fees) and Storefront (a platform that enables merchants to create their own online stores).
Summary
DoorDash (NYSE: DASH) shows a bullish outlook on the 1-Day timeframe among investors and traders. At the moment, price action suggests a bullish outlook. DASH’s technical oscillators also support the bullish trend. DASH stock price seems to be on an uptrend based on the MACD, RSI, and EMA indicators. Hence, investing in DoorDash stock may involve some opportunities and challenges depending on your risk appetite and time horizon. You should do your own research and analysis before making any investment decisions.
Technical Levels
- Support Levels: The closest support levels for the DoorDash stock price are $80.99 and $76.79.
- Resistance levels: The closest resistance levels for the DASH stock price are $92.70 and $95.94.
Disclaimer
The information provided in this article is intended solely for educational and informational purposes. This information is not intended to be used as financial, investment, or trading advice. Stock trading and investing involve risk. Investing decisions should be based on your situation and risk tolerance.
