What happened Shares of Grubhub (NYSE: GRUB) were up more than 5% in late afternoon trading Wednesday as it rode the coattails of the initial public offering of DoorDash (NYSE: DASH), which itself soared 80% on its debut. So what DoorDash hitting the market caused the whole sector to rise, with Uber Technologies (NYSE: UBER) and Lyft (NASDAQ: LYFT) also spiking higher initially, though all three rivals to the food delivery leader ended up giving back a good portion of their gains. Image source: Grubhub. Grubhub agreed to be acquired earlier this year by Amsterdam-based Just Eat Takeaway.com (OTC: TKAY.Y) in an all-stock deal valued at $7.3 billion. Its stock is largely trading in line with the valuation of the buyout. Now what The coronavirus pandemic created a boom in consumer demand for third-party delivery providers, though the ability to make a profit is still hit or miss for most companies. The merger with Just Eat Takeaway is expected to be completed by the end of next year after the deadline for completion was extended from the original closing date of June 10, 2021. There were no reported problems with the acquisition; both parties just wanted to ensure they had plenty of time to finish it. Even so, a year is a long time, and investors may be antsy about the big spike in valuation DoorDash received with its IPO. It priced its stock at $102 per share, well above the expected range, and opened for trading at $182 per share. 10 stocks we like better than GrubhubWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Grubhub wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2020 Rich Duprey has no position in any of the stocks mentioned. The Motley Fool recommends Uber Technologies. The Motley Fool has a disclosure policy.Source