Imagine a world where your dinner, groceries, or even a new pair of shoes are delivered not by a person, but by a self-driving car. This isn't a scene from a sci-fi movie; it's the future battleground for DoorDash, Uber, and Tesla. These three companies, each a leader in its own right, are now converging in the same lane: the last-mile delivery race.
The Autonomous Revolution
The stakes are high in the autonomous driving sector, predicted to add a colossal $200 trillion to the global economy by 2030. This isn't just about cars driving themselves; it's about reshaping how goods are delivered to your doorstep. Cathie Wood of Ark Investment Management calls it the "biggest AI project in the world."
Uber: The Ride-Hailing Giant Pivots
Uber, already a behemoth in the ride-hailing space with a 25% global market share, is making strategic moves. By partnering with tech giants like Motional and Alphabet's Waymo, Uber is eyeing a future where its fleet isn't just self-driving, but also self-delivering. Imagine Uber's cars seamlessly switching between ferrying passengers and delivering packages, slashing the company's biggest cost: driver earnings.
DoorDash: From Food to Everything
DoorDash, synonymous with food delivery, is now eyeing a bigger prize. With its vast network and brand recognition, DoorDash could easily pivot its model to include autonomous delivery of not just meals but a wide range of products. This expansion could redefine the company from a food delivery service to a comprehensive last-mile delivery solution.
Tesla: The EV Maker's Surprising Entry
Then there's Tesla. Known for its electric vehicles and ambitious CEO, Tesla is an unexpected but formidable contender in this race. With its advanced technology in EVs and AI, Tesla could disrupt the last-mile delivery market, bringing its brand of innovation and efficiency to how we receive goods.
From a LikeFolio standpoint, all names are gaining steam, but each presents a different opportunity for investors in the near-term.
Uber appears to have garnered the most market momentum, with shares popping drastically over the last month or so. LikeFolio data does support the move higher, but we may wait for pullbacks for new entries (assuming mention growth continues).
Tesla shares continue to trade well-below two year highs, despite rising consumer buzz, increased affordability and an official cybertruck launch. We’re Bullish from here.
DoorDash presents a bit of a mixed signal. DASH shares are trading well below covid highs but are up +75% YoY. While the company is expanding offerings, we haven’t seen significant traction just yet. We’re neutral until we start to see the buzz pick up a bit.
Bottom Line: The Race Is On
This isn't just a competition; it's a complete overhaul of the delivery industry. As these three giants - a food delivery company, a ride-hailing app, and an EV maker - gear up, the question isn't just about who will deliver your next meal or parcel. It's about who will redefine the very concept of delivery in an autonomous world.
In this race, the winner will not only claim a share of a multi-trillion-dollar market but will also set the pace for how technology shapes our everyday lives. DoorDash, Uber, and Tesla are not just changing how we think about delivery; they're steering us towards a future where convenience, efficiency, and technology converge in the most unexpected ways. Keep your eyes on the road ahead; the race for last-mile delivery is just getting started.