Is there any chance their IPO can become like Snowflake if their public numbers are a home run? I mean not Facebook level but what if their numbers kill Uber Eats and they are making a profit?
Sure, why not 😂😂
Is “snowflake” a verb now?
No, definitely a noun. Refers to high value liberals.
No, not expecting them to have a stellar IPO. Too much competition in the space and a clear winner is not declared yet. However, might be a good candidate for acquire in the long term
I think yes. Total addressable market for food delivery has to be above $100 billion in US. There were over a dozen competitors in USA just a few years ago. Now Postmates is eaten up by Uber, Grubhub joined with Just Take Away, and that leaves Doordash with Caviar. Doordash has 45% market share and last valuation was $16b. Furthermore, marketing and branding has pushed Doordash to become a household name, including partner for the NBA. DD has partnerships with mega chains and also mom and pops to the order of 100,000s restaurants. SoftBank is major investor in both Uber and DD and has vested interest in forming a duopoly in US just like ridesharing. If you think American delivery market is worth $100b and DD has 45% market share and growing and all the above, how can you think DD is overvalued? Disclaimer: not investment advice
Finally! Someone with some facts.
Man due diligence, 100%
Lmao you’re making it sound like food delivery becoming a duopoly like rideshare is a good thing. Difficult competition, meh unit economics, commoditized product. Sound familiar? We know how this movie ends...
Is Lyft still chasing the autonomous driving scene?
Yeah there is the potential. For food delivery look towards China for what happens on the future, they're ahead of us by around 3 years (maybe 2 after covid in terms of size but 3 in terms of product). Also product is not commoditized. Food delivery has more differentiation than ride hailing, lyft folks always making this comparison due to their experience. But we look much different, both offering and unit economics
Speaking of China: https://www.google.com/amp/s/technode.com/2020/04/29/there-are-no-food-delivery-winners/. And oh yeah, China showed us that it’s possible to stop COVID so obviously the US can follow suit easily too...oh wait. We can debate this all day sure, but just wanna emphasize (to OP’s original question) that at the end of the day food delivery is NOT a high margin SaaS business- so no, not a Snowflake. Plan accordingly.
Meituan
what do u mean by not at FB level? FB didn’t fare too well first few month after IPO.
Doubt it’ll reach Facebook level revenue.
Not all highflying IPOs are SaaS businesses. By “go snowflake” I assume OP means explosion right out the gates. I could definitely see DD stock go up sharply after IPO then drop back down to ipo price when 6-month lock on selling is over
no way. Doordash will more likely go way of Lyft
WTF? We are the market leader, growing faster than you and Uber combined and have MUCH better financials.
Lyft entered the delivery space in April via their Essential Deliveries business line so seems leadership is bullish over there too
If it makes you feel better, sure.