Forget DoorDash, Buy Uber Instead
There was a lot of excitement leading up to the DoorDash (NYSE: DASH) IPO in December. But all that excitement delivered an unappetizing share price. The volatile DoorDash stock trades around $210 as of this writing, giving it a valuation of $67 billion.
The company has been growing rapidly as more consumers rely on the convenience of food delivery amid pandemic-induced restaurant closures. It's also managed to gain market share from rivals Uber (NYSE: UBER) and GrubHub. It seems likely a lot of customers will make food delivery a regular part of their takeout routine even in a post-pandemic world.
But with shares trading at a premium to Uber, investors interested in capitalizing on the growth in food delivery may be better suited buying the more diversified competitor.
Source Fool.com
