DoorDash upgraded to Hold from Underperform at Jefferies

Jefferies analyst John Colantuoni upgraded DoorDash to Hold from Underperform with a price target of $90, up from $70. The analyst profit believes consensus expectations underappreciate the company’s tailwinds to EBITDA from further advertising penetration and enhancements to underlying unit economics. Instacart’s initial public offering disclosure also improves confidence in DoorDash’s margin expansion at grocery and convenience, the analyst tells investors in a research note. The firm says its higher profit outlook helps justify the stock’s premium multiple. Jefferies says its profit analysis uncovers a “long runway for elevated EBITDA growth” at DoorDash.