DoorDash vs Amazon.com Which Is More Favorable?

Both DoorDash and Amazon.com are leading e-commerce companies that have seen significant growth in recent years. DoorDash is a popular food delivery service that has capitalized on the demand for convenience, while Amazon.com is a behemoth in the online retail space, offering a wide range of products and services. Both companies have experienced highs and lows in the stock market, with investors closely monitoring their performance and potential for future growth. In this comparison, we will analyze the strengths and weaknesses of DoorDash vs Amazon.com stocks.

DoorDash or Amazon.com?

When comparing DoorDash and Amazon.com, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between DoorDash and Amazon.com.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. DoorDash has a dividend yield of -%, while Amazon.com has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. DoorDash reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Amazon.com reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with DoorDash P/E ratio at -422.76 and Amazon.com's P/E ratio at 48.22. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. DoorDash P/B ratio is 9.61 while Amazon.com's P/B ratio is 9.28.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, DoorDash has seen a 5-year revenue growth of 20.38%, while Amazon.com's is 1.33%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with DoorDash's ROE at -2.41% and Amazon.com's ROE at 21.82%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $175.50 for DoorDash and $227.63 for Amazon.com. Over the past year, DoorDash's prices ranged from $93.33 to $181.30, with a yearly change of 94.26%. Amazon.com's prices fluctuated between $144.05 and $231.20, with a yearly change of 60.50%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.