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DoorDash Shares Plunge as 2026 Spending Plan Lowers Profit Outlook

Management tied a weaker profit outlook to several hundred million dollars of extra 2026 tech spending.

Overview

  • DoorDash posted mixed Q3 results, with revenue rising 27% to $3.45 billion above estimates while earnings of $0.55 per share missed forecasts.
  • The company guided Q4 adjusted EBITDA to $710 million–$810 million, with a midpoint near $760 million that fell short of Wall Street expectations.
  • Executives outlined a reinvestment push for 2026 that will add several hundred million dollars to spending to unify the DoorDash, Wolt, and Deliveroo tech stacks and deploy AI agents.
  • Investment priorities include autonomous delivery and fulfillment, featuring the Dot sidewalk robot, pilots using Waymo vehicles, ties with Serve Robotics, and expansion of DashMart Fulfillment Services.
  • Shares dropped roughly 17%–20%, the steepest decline in the S&P 500 on the day, as analysts cut price targets but many kept positive longer-term ratings contingent on execution.