DoorDash IncDASH has forged a partnership with Lowe’s Companies IncLOW to venture into the
realm of home improvement.

According to Benchmark, the monetization potential in DoorDash’s new sectors such as groceries and
convenience is poised to materialize significantly over the coming 12+ months.

The Analyst Perspective: Mark Zgutowicz has introduced coverage of DoorDash with a
Buy rating and a price target of $165.

Evaluating DoorDash’s Potential: Given its extensive reach, DoorDash’s expansion
into new verticals could bring about a swifter upsurge in revenue and contribution margin than what the current consensus
reflects, as noted by Zgutowicz in the initiation report.

The gap between DoorDash and the well-capitalized rival, Uber Technologies Inc’s Uber Eats, continues
to widen, with the former establishing a comfortable “3x relative share position” since 2020, according to the analyst.

Zgutowicz stated, “DoorDash’s comparative advantages in network scale, sales & marketing efficiency,
and fixed cost efficiency, combined with substantial internal enhancements in grocery profitability over the past twelve
months, lay the groundwork for a noteworthy uplift in U.S. grocery gross order value and contribution profitability in the
near term and beyond.”

He further added, “DoorDash has not yet fully delved into Retail Media advertising, a crucial aspect
to consider for attachment rates to non-restaurant gross order value over the upcoming years.”

Stock Performance: At the time of this report on Thursday, DoorDash’s shares had
surged by 0.59% to $139.60.

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