DoorDash (NYSE: DASH) , the largest third-party food delivery company in America, took investors on a wild ride after its IPO last December. It priced its IPO at $102 a share, and the stock soared 86% to nearly $190 on the first trading day.
DoorDash eventually hit a 52-week high of $256 a share this February before being clobbered in the broad sell-off in high-growth tech stocks. Today, the stock trades in the low $130s -- and it could remain out of favor as long as investors are pivoting toward value stocks and reopening plays.
DoorDash isn't the only online food delivery service that lost its luster over the past few months. Just Eat Takeaway (OTC: TKAY.Y) , the European food delivery giant that plans to acquire DoorDash's rival Grubhub (NYSE: GRUB) this year, also lost nearly a fifth of its value over the past three months. That decline also dragged down Grubhub, since Just Eat Takeaway plans to exchange 0.671 shares of its own stock for each share of Grubhub when the deal closes.
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Forget DoorDash, Just Eat Takeaway Is a Better Food Delivery Stock