| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 178.36 | 656 |
| Intrinsic value (DCF) | 514.28 | 2079 |
| Graham-Dodd Method | n/a | |
| Graham Formula | n/a |
Delivery Hero SE (DHER.DE) is a global leader in online food ordering and delivery services, operating in approximately 50 countries across Europe, the Middle East, North Africa, Asia, and the Americas. Founded in 2011 and headquartered in Berlin, Germany, the company connects consumers with a vast network of restaurants and grocery providers through its digital platforms. As part of the Specialty Retail sector within the Consumer Cyclical industry, Delivery Hero leverages technology to enhance convenience and accessibility in food delivery. The company's business model focuses on scaling its marketplace, optimizing logistics, and expanding its quick-commerce segment, which includes rapid grocery delivery. With a market capitalization of over €7.18 billion, Delivery Hero is a key player in the competitive food-tech space, continuously innovating to capture market share in both established and emerging markets.
Delivery Hero presents a high-growth opportunity in the rapidly expanding online food delivery sector, supported by its extensive geographic footprint and strong brand recognition. However, the company's profitability remains a concern, with a net loss of €882.4 million in the latest fiscal year and negative diluted EPS of -€3.1. While revenue stands at €12.29 billion, indicating robust top-line growth, investors should weigh the potential for future margin improvement against ongoing operational and competitive pressures. The company's solid operating cash flow of €442.1 million and substantial cash reserves (€3.81 billion) provide some financial flexibility, but high total debt (€5.67 billion) and a beta of 1.452 suggest elevated risk. The lack of dividends further positions Delivery Hero as a speculative growth play rather than an income-generating investment.
Delivery Hero competes in a highly fragmented and competitive global food delivery market, where scale, technology, and local market expertise are critical. The company's primary competitive advantage lies in its extensive international presence, particularly in emerging markets where it has established early-mover advantages. Its ownership of brands like Foodpanda and Yemeksepeti strengthens its regional positioning. However, Delivery Hero faces intense competition from well-capitalized rivals such as Just Eat Takeaway, Uber Eats, and DoorDash, which benefit from stronger balance sheets and more diversified revenue streams. Delivery Hero's focus on quick-commerce (rapid grocery delivery) differentiates it but also requires significant capital expenditure, impacting profitability. The company's ability to achieve economies of scale and reduce customer acquisition costs will be pivotal in sustaining its competitive edge. Additionally, regulatory scrutiny in various markets and reliance on gig-economy workers pose operational risks. While Delivery Hero's technology stack and logistics capabilities are advanced, maintaining innovation while improving unit economics remains a key challenge relative to competitors.