DoorDash to Acquire Instacart in $17 Billion Delivery Mega-Merger

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This update was written automatically with AI from market data and news wire reports, and published without review by a person.

Key Takeaways

  • DoorDash (DASH) has reached a definitive agreement to acquire Instacart (CART) for approximately $17 billion ($65 per share), a move that consolidates the restaurant and grocery delivery markets.
  • Microsoft (MSFT) launched a massive 10-part U.S. dollar bond offering following its first-quarter earnings report, seeking to leverage its high-grade credit rating for capital.
  • Bristol Myers Squibb (BMY) and Altria (MO) both topped Q3 2026 earnings expectations, with Altria raising its full-year guidance while BMY adjusted its EPS outlook downward due to acquisition-related charges.
  • The European Central Bank (ECB) is widely expected to hold interest rates at 2.50% today, though analysts are pricing in a high probability of a final hike in December to combat persistent inflation.

DoorDash and Instacart Announce $17 Billion Merger

In a transformative deal for the gig economy, DoorDash (DASH) announced Thursday it will acquire Instacart (CART) for $65 per share in a mix of cash and stock. The transaction, valued at roughly $17 billion, aims to combine DoorDash's expansive logistics network with Instacart's specialized grocery fulfillment technology and deep retailer relationships.

The deal comes as competition intensifies from retail giants like Walmart (WMT) and Amazon (AMZN). Separately, DoorDash projected its Q4 Marketplace Gross Order Value (GOV) to fall between $35.4 billion and $36.4 billion, slightly above analyst estimates of $35.77 billion, signaling continued momentum in consumer delivery demand.

Microsoft Taps Bond Markets After Earnings

Following its Q1 fiscal results, Microsoft (MSFT) has initiated a 10-part high-grade bond offering in U.S. dollars. The tech giant is looking to capitalize on its robust balance sheet to fund ongoing operations and potentially offset the heavy capital expenditures required for its Artificial Intelligence (AI) infrastructure.

The offering includes various maturities, allowing the company to lock in rates across the yield curve. This move follows a period where investors have closely scrutinized the cash flow drain associated with AI spending among "Magnificent Seven" tech firms.

Q3 Earnings: Healthcare, Tobacco, and Snacks

The pharmaceutical and consumer goods sectors saw several major reports this morning:

  • Bristol Myers Squibb (BMY) reported Q3 revenue of $13.07 billion, beating the $12.71 billion estimate. While adjusted EPS of $1.35 topped forecasts, the company lowered its full-year adjusted EPS guidance to a range of $6.35–$6.55 due to acquired in-process R&D charges.
  • Altria (MO) posted adjusted EPS of $1.52, beating estimates by a penny. Strong pricing power allowed the tobacco leader to raise its full-year guidance to $5.66–$5.74 per share and expand its share repurchase program by $1 billion.
  • Hershey (HSY) delivered a significant profit beat with adjusted EPS of $2.64 (est. $2.11) on sales of $3.28 billion. Despite volume declines, price realization and tariff refunds helped the chocolatier raise its full-year earnings growth outlook to 36%–38.5%.
  • Blue Owl Capital (OWL) reported fee-related earnings of $752.6 million, surpassing the $703.9 million consensus. The firm's Assets Under Management (AUM) grew to $329.9 billion, reflecting strong institutional fundraising momentum.

Central Bank Watch: ECB and Fed Decisions

Global markets are focused on Frankfurt today as the ECB prepares to announce its latest interest rate decision at 14:15 CET. While a pause at 2.50% is the consensus, economists suggest the "hawkish hold" will likely be accompanied by signals of a December rate hike.

This follows a similar sentiment from the U.S. Federal Reserve, where Chair Kevin Warsh is expected to maintain a data-dependent stance. Market participants are currently pricing in an 80% probability of a Fed hike in December, as central banks struggle to bring core inflation back to their 2% targets amidst rising commodity prices and energy volatility.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. We are not financial professionals. The authors and/or site operators may hold positions in the companies or assets mentioned. Always do your own research before making financial decisions.
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