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NEW YORK (TheStreet) -- Shares of GrubHub (GRUB) - Get Grubhub, Inc. Report were falling 27.5% to $23.26 on Tuesday after the online takeout marketplace missed analysts' estimates for earnings in the third quarter.

GrubHub reported earnings of 13 cents a share for the third quarter, below analysts' estimates of 14 cents a share for the quarter. Revenue grew 38% year over year to $85.7 million in the quarter, missing analysts' estimates of $86.54 million.

The company said it sent its 300 millionth order to its restaurant partners in the third quarter. CEO Matt Maloney said the milestone "is a testament to the extraordinary value GrubHub has created for its partners as well as the degree to which we've changed the way people order takeout."

Looking to the fourth quarter, GrubHub said it expects to report revenue of about $98 million to $100 million, compared to analysts' estimates of $100.85 million for the quarter. The company expects to report EBITDA of $23 million to $25 million in the fourth quarter.

About 7.5 million shares of GrubHub were traded by 10:18 a.m. Tuesday, well above the company's average trading volume of about 2.5 million shares a day.

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TheStreet Recommends

TheStreet Ratings team rates GRUBHUB INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:

We rate GRUBHUB INC (GRUB) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its generally disappointing historical performance in the stock itself and weak operating cash flow.

You can view the full analysis from the report here: GRUB

GRUB data by YCharts

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