From Nasdaq:

DoorDash (DASH) is a Zacks Rank #1 (Strong Buy) stock and the leader in the food delivery service industry. The DoorDash app connects users to local restaurants, offering diverse cuisines and dining options. With a network of independent contractors, called Dashers, who efficiently deliver orders, DoorDash has become a popular solution for convenient and reliable food delivery services.

DoorDash continues to grow its revenue through expanded partnerships with non-restaurant options, like grocers, discount retailers, and sporting goods stores, providing consumers with more options for on-demand delivery. With new partnerships on the horizon, DoorDash’s total orders and revenue are expected to dramatically increase.

The COVID-19 pandemic has reshaped consumer behavior, creating an environment that favors on-demand services like DoorDash. The flexibility of employment benefits the company in two ways. The rise of remote work encourages increased use of food delivery services, and DoorDash has the potential to recruit more Dashers looking for flexible work for deliveries.

Although DoorDash initially missed Wall Street expectations in its first eight quarters as a public company, it has turned things around and beat expectations in three of the past four quarters, with a 57.78% surprise last quarter. The company’s successful turnaround story is moving in the right direction.

DASH shares are retreating to their 10-week moving average for the first time since its November breakout. This presents traders with a high reward-to-risk zone to trade against, and the shares are breaking out from a classic weekly bull flag.

DoorDash stands out as a leader in the food delivery service industry, with strategic expansion beyond traditional partnerships that will spur revenue growth. The impact of the “new economy” will benefit the company for years to come. Zacks Investment Research has identified DoorDash as one of the 7 best stocks for the next 30 days, expressing confidence in its potential for early price pops.



Read more: Bull of the Day: DoorDash (DASH)