DoorDash shares just pulled off a dramatic reversal, climbing 14% after initially tanking on a Q4 earnings miss. The delivery giant's aggressive push into artificial intelligence and autonomous delivery tech - which spooked investors early Wednesday - is now drawing applause as Wall Street digests the long-term play. The swing marks one of the wildest intraday turnarounds for a major tech stock this earnings season, signaling that investor appetite for AI spending might be stronger than the knee-jerk selloffs suggest.
DoorDash just delivered one of the most dramatic stock reversals of earnings season. The food delivery giant's shares climbed 14% by market close Wednesday, erasing an early plunge triggered by disappointing Q4 results that initially sent investors running for the exits.
The recovery came as Wall Street analysts and institutional investors digested DoorDash's aggressive spending roadmap on artificial intelligence and autonomous delivery technology. What looked like reckless spending in pre-market trading started to look like strategic positioning by afternoon.
According to CNBC's reporting, the company missed both earnings and revenue expectations for the fourth quarter of 2025. But that's not what ultimately mattered to investors. The real story unfolded during the earnings call, where management laid out plans to ramp up investments in AI-powered logistics optimization and partnerships with autonomous vehicle companies.
The initial selloff reflected familiar concerns. Tech companies across the board have faced skepticism over ballooning AI budgets, with investors demanding proof that billions in spending will translate to actual competitive advantages. Meta and Microsoft have both weathered similar investor reactions to their AI spending disclosures in recent quarters.
But DoorDash's story is playing out differently. The delivery economics are straightforward enough that Wall Street can model the potential savings from autonomous delivery and AI-optimized routing. Every percentage point improvement in delivery efficiency drops straight to the bottom line when you're coordinating millions of orders daily.
