The escalation in the food delivery industry is in discussion in this article with the focus on The Top 10 food delivery stocks in 2021.
Over the past year, the number of orders placed through food delivery apps has spiked significantly. This is largely due to the rise in COVID-19 regulations that restrict restaurant dining.
The revenue numbers for the past three years are clearly showing the upward trajectory of the company’s growth. Some of the factors that drove this growth include the increasing number of people using freelance work, the consolidation of big businesses, and the improving technologies.
Since the stock market crash in March 2019, the prices of food delivery firms have spiked. This is because they have gained from the uncertainty caused by the COVID-19 lockdowns. This article will help you identify the best hedge funds to invest in during the upcoming market volatility.
Our stock picks returned 197.22% between March 2017 and February 2021, beating the S&P 500 by 124 percentage points. We also identified a group of stocks that significantly underperformed the S&P 500.
Here is an overview of some activities of these companies.
Just Eat Takeaway, a Dutch food delivery company, acquired Grubhub in 2020 for $7.3 billion. Meanwhile, Uber is planning to expand its food delivery service, UberEats, in the next couple of years.
UBER is a San Francisco-based tech company that owns various businesses such as the ride-hailing industry and the food delivery industry. In December 2020, the company had posted more than $11 billion in annual earnings. In July 2020, it purchased Postmates for $2.65 billion. Through its food delivery arm, UberEats, the company currently controls more than 20% of the food delivery industry. It has more than 66 million active users globally.
DoorDash is a San Francisco-based startup founded in 2012. It is the largest food delivery platform in the US. Its founders are Tony Xu, Stanley Tang, Andrew Fang, and Evan Moore. The company’s market cap has reached more than $43 billion. It has also posted more than $3 billion in earnings in 2019 and has launched a premium subscription program called DashPass that gives it an advantage over its competitors in the food delivery industry.
Papa John’s is a multinational pizza chain founded in 1984. It has more than 5,000 locations in the US and more than 40 other countries. It was established by John Schnatter in 1984. In December 2020, the company had sales of more than $1.8 billion. BMO Capital Markets initiated coverage on Papa John’s with an Outperform rating and a price target of $10, citing the company’s accelerating margin opportunities.
Grubhub is an American food delivery platform founded by Mike Evans and Matt Maloney in 2004. In June 2020, Just Eat Takeaway purchased the company for $7.3 billion. Just Eat Takeaway, which is a Dutch food delivery company, purchased Grubhub in 2014. The acquisition was made partly due to the company’s valuation and partly due to the lack of competition in the US.
Lyft, Inc. was founded by John Zimmer and Logan Green in 2012. Its services include car rentals and food delivery. Morgan Stanley raised its target prices on shares of ride-sharing companies, citing that the uptick in consumer spending following the US’s economic recovery has raised expectations for the sector.
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