November 9, 2026
DoorDash posted strong third quarter free cash flow and its stock rose after it bid to take over Instacart.
What happened
DoorDash reported a strong third quarter with solid free cash flow, and followed it with a takeover bid for Instacart. The deal news sat inside a busy day for acquisitions that moved roughly 500 billion dollars of market value. argenx also agreed to buy Unnatural Products for up to 1.15 billion dollars, and argenx shares moved 3.8 percent, a bigger move than 93 percent of its days over three years. Instacart itself moved just 0.6 percent, bigger than only 23 percent of its days.
Why it matters
A takeover bid usually lifts the target and pressures the buyer, because the buyer spends cash and takes on risk while the target's shareholders get paid. Instacart barely moved, so the market is not yet convinced the bid lands or pays off. If DoorDash absorbs Instacart it controls grocery delivery plus its own restaurant network, and rivals in delivery would have to rethink their scale.
The case against
Merging two delivery networks is hard, and regulators may slow or block the deal. DoorDash would spend cash it just proved it can generate, and a rich price for Instacart could waste it.
What settles it
Instacart's share price against the offered price: if it climbs to sit just below the bid, the market expects the deal to close.