Dutch Bros Inc. (NYSE:BROS) Stock Rated "Moderate Buy" by Sell-Side Brokerages

Key Points

• Analysts remain broadly positive: Twenty-one of 26 analysts rate Dutch Bros a “buy,” one rates it a “strong buy,” and four recommend holding. The average 12-month price target is $71.88, well above the reported $38 share price.
• Operating results showed strong growth: Quarterly revenue rose 32.5% year over year to $550.85 million, exceeding estimates, while earnings per share also beat expectations. Analysts forecast full-year EPS of $0.88.
• Expansion carries execution risks: Acquisitions involving Salad and Go locations and Arizona franchise stores could pressure near-term margins and returns, while coffee and food costs and insider selling may weigh on investor sentiment.

Dutch Bros Inc. (NYSE:BROS - Get Free Report) has been assigned an average recommendation of "Moderate Buy" from the twenty-six analysts that are covering the company, Marketbeat reports. Four analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has issued a strong buy rating on the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $71.88.

A number of brokerages have recently weighed in on BROS. Oppenheimer reissued a "positive" rating on shares of Dutch Bros in a research note on Wednesday, September 30th. Piper Sandler upped their target price on Dutch Bros from $61.00 to $68.00 and gave the company a "neutral" rating in a research note on Monday, June 22nd. Freedom Capital upgraded Dutch Bros to a "strong-buy" rating in a report on Wednesday, July 1st. DA Davidson cut their price target on Dutch Bros from $85.00 to $60.00 and set a "buy" rating for the company in a report on Monday, September 28th. Finally, JPMorgan Chase & Co. reduced their price objective on Dutch Bros from $75.00 to $60.00 and set an "overweight" rating on the stock in a research report on Tuesday, September 29th.

Dutch Bros Price Performance

Shares of NYSE BROS opened at $38.00 on Friday. The stock has a market cap of $6.64 billion, a price-to-earnings ratio of 52.78, a PEG ratio of 1.41 and a beta of 2.31. Dutch Bros has a 52 week low of $37.40 and a 52 week high of $74.02. The company's 50-day moving average price is $46.11 and its 200 day moving average price is $54.57. The company has a current ratio of 1.35, a quick ratio of 1.19 and a debt-to-equity ratio of 0.20.

Dutch Bros (NYSE:BROS - Get Free Report) last posted its earnings results on Wednesday, August 5th. The company reported $0.33 earnings per share for the quarter, beating the consensus estimate of $0.29 by $0.04. Dutch Bros had a net margin of 4.91% and a return on equity of 10.01%. The firm had revenue of $550.85 million during the quarter, compared to the consensus estimate of $525.38 million. During the same period last year, the firm posted $0.26 EPS. The firm's revenue for the quarter was up 32.5% on a year-over-year basis. As a group, research analysts forecast that Dutch Bros will post 0.88 earnings per share for the current fiscal year.

Key Headlines Impacting Dutch Bros

Here are the key news stories impacting Dutch Bros this week:

• Positive Sentiment: Dutch Bros continues to report strong operating momentum. Second-quarter 2026 revenue increased 32.5% year over year to $550.9 million, while the company raised its full-year revenue, same-shop sales, and adjusted EBITDA outlook. Dutch Bros Slides as Investors Weigh Expansion Costs and Deal Execution
• Positive Sentiment: Long-term growth expectations remain favorable as Dutch Bros expands beyond its regional base, including a potential first San Francisco location at Fisherman’s Wharf and broader national expansion plans. What Could Dutch Bros National Expansion Mean For Its Long Term Growth?
• Neutral Sentiment: Analyst price targets remain well above recent trading levels, with a reported six-month median target of $80.50. However, targets reflect longer-term expectations and may not offset near-term concerns about spending and execution.
• Neutral Sentiment: Institutional positioning was mixed in the latest quarter: major firms including FMR and T. Rowe Price increased holdings, while Millennium, UBS, Point72, and D.E. Shaw reduced theirs.
• Negative Sentiment: Investors are increasingly focused on capital requirements and integration risk. Dutch Bros agreed to acquire real estate and site assets for up to 65 Salad and Go locations and completed the purchase of 31 Arizona franchise stores for approximately $63.5 million. These deals could pressure near-term margins and returns while management integrates the assets. Dutch Bros Slides as Investors Weigh Expansion Costs and Deal Execution
• Negative Sentiment: The company has cited cost headwinds from coffee and its newer food program. In addition, reported insider activity has been heavily weighted toward selling, including substantial sales by Executive Chairman Travis Boersma and smaller sales by CEO Christine Barone, which may weigh on sentiment.

Insider Transactions at Dutch Bros

In other news, Director Todd Penegor purchased 2,000 shares of the firm's stock in a transaction on Thursday, August 13th. The shares were bought at an average cost of $51.56 per share, with a total value of $103,120.00. Following the purchase, the director directly owned 7,358 shares of the company's stock, valued at approximately $379,378.48. This trade represents a 37.33% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Company insiders own 38.90% of the company's stock.

Hedge Funds Weigh In On Dutch Bros

A number of institutional investors have recently modified their holdings of the company. Ancora Advisors LLC acquired a new stake in Dutch Bros during the second quarter worth approximately $29,000. Brown Lisle Cummings Inc. raised its holdings in Dutch Bros by 63.8% in the 1st quarter. Brown Lisle Cummings Inc. now owns 819 shares of the company's stock valued at $41,000 after acquiring an additional 319 shares during the last quarter. Glen Eagle Advisors LLC acquired a new position in Dutch Bros in the 4th quarter valued at $74,000. Archer Investment Corp purchased a new position in shares of Dutch Bros during the 2nd quarter worth $101,000. Finally, GK Wealth Management LLC purchased a new position in shares of Dutch Bros during the 3rd quarter worth $56,000. Institutional investors and hedge funds own 85.54% of the company's stock.

Dutch Bros Company Profile

Dutch Bros Inc is a drive-thru beverage company that operates the Dutch Bros coffeehouse brand. The company serves a broad menu of handcrafted beverages, including specialty coffees, cold brews, teas, energy drinks, lemonades, smoothies and flavored sodas, along with a selection of snacks and other food items.

Dutch Bros was founded in 1992 by brothers Dane and Travis Boersma in Grants Pass, Oregon. From its original pushcart operation, the company developed a drive-thru-focused model built around convenience, customized drinks and customer service.

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