Shares of DoorDash Inc. (NYSE:NASDAQ
ASH) climbed 5.6% in premarket trading after S&P Dow Jones Indices announced that the food delivery giant will be included in the S&P 500 index starting Monday, March 24. This notable inclusion places DoorDash within the Consumer Discretionary sector and underscores the company’s sustained financial performance, further solidifying its standing among investors.
DoorDash’s recent financial achievements played a pivotal role in its eligibility for the S&P 500. The company recently recorded nearly $140 million in GAAP profit—marking its second consecutive quarter of GAAP profitability—and surpassed the breakeven point for the past four quarters on a GAAP basis. Meeting these critical financial benchmarks helped pave the way for the final decision by the S&P Committee, making the inclusion a notable catalyst for the stock.
For those interested in analyzing historical trends and performance metrics of companies newly added to the index, the Historical S&P 500 Constituents API offers detailed insights into the evolving composition of the index.
The addition of DoorDash to the S&P 500 is expected to attract a broader pool of investors. With over $10 trillion indexed or benchmarked to the S&P 500 globally, the inclusion significantly raises the profile of the company and opens up access to a vast network of passive investment funds. This move not only boosts investor confidence in DoorDash’s robust financial health but also highlights the company’s growth potential as it continues to expand its market reach.
Investors looking to gain a comprehensive view of DoorDash’s financial health and valuation can refer to the Company Rating API, which provides a detailed snapshot of key performance indicators.
DoorDash’s forthcoming inclusion in the S&P 500 represents a significant milestone, driven by its strong financial performance and steady profitability. As the company transitions into this prestigious index, it is well-positioned to benefit from increased visibility and a broader investor base, potentially setting the stage for further growth in the competitive food delivery market.
Stay tuned for further updates on DoorDash’s performance and market impact as it takes its place among the world’s most widely followed stocks.
