Is DoorDash a Sustainable Growth Stock?
Food delivery platform DoorDash (NYSE: DASH) has grown in popularity this past year, thanks in part to the pandemic. In the first quarter of 2021, the company's total orders increased by a stunning 219% year over year while its revenue skyrocketed 198% to $1.08 billion over the same period. Meanwhile, its stock price is up 50% from its IPO last December.
But after an initial spike in share price, DoorDash stock has gone nowhere since hitting 52-week highs back in February. Clearly, Wall Street seems to think the 2021 business success isn't enough to warrant a larger valuation of the stock. What gives?
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Source Fool.com
