Dutch Bros Inc. (NYSE:BROS) Receives Consensus Recommendation of "Moderate Buy" from Analysts

Key Points

• Dutch Bros has a consensus analyst rating of “Moderate Buy”, with 20 buy ratings, 3 holds, and 1 strong buy among 24 analysts. The average 12-month price target is $76.00.
• The company’s latest quarterly results were solid, with revenue up 30.7% year over year to $464.41 million and EPS matching expectations at $0.16. Analysts currently expect Dutch Bros to earn $0.84 per share for the full year.
• Investor attention is also on insider activity and expansion: Chairman Travis Boersma sold 544,872 shares in a pre-arranged trading plan, while reports suggest Dutch Bros is still growing its footprint and attracting traffic despite rising beverage competition.

Shares of Dutch Bros Inc. (NYSE:BROS - Get Free Report) have received a consensus recommendation of "Moderate Buy" from the twenty-four brokerages that are presently covering the company, MarketBeat.com reports. Three research analysts have rated the stock with a hold recommendation, twenty have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12-month target price among analysts that have updated their coverage on the stock in the last year is $76.00.

Several equities research analysts have issued reports on the stock. Telsey Advisory Group assumed coverage on shares of Dutch Bros in a research note on Wednesday, April 8th. They set an "outperform" rating and a $66.00 price objective for the company. UBS Group reiterated a "buy" rating on shares of Dutch Bros in a research note on Wednesday, May 20th. Citigroup boosted their price objective on shares of Dutch Bros from $84.00 to $85.00 and gave the stock a "buy" rating in a research note on Thursday, May 7th. Barclays decreased their price objective on shares of Dutch Bros from $76.00 to $75.00 and set an "overweight" rating for the company in a research note on Thursday, May 7th. Finally, Piper Sandler boosted their price objective on shares of Dutch Bros from $59.00 to $61.00 and gave the stock a "neutral" rating in a research note on Thursday, May 7th.

Dutch Bros Price Performance

Dutch Bros stock opened at $55.45 on Friday. Dutch Bros has a 1 year low of $44.58 and a 1 year high of $74.66. The firm has a 50 day moving average price of $53.65 and a 200 day moving average price of $55.73. The company has a market cap of $9.68 billion, a price-to-earnings ratio of 86.65, a PEG ratio of 1.80 and a beta of 2.36. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.19 and a current ratio of 1.33.

Dutch Bros (NYSE:BROS - Get Free Report) last released its quarterly earnings data on Wednesday, May 6th. The company reported $0.16 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.16. Dutch Bros had a net margin of 4.61% and a return on equity of 9.42%. The company had revenue of $464.41 million during the quarter, compared to the consensus estimate of $449.70 million. During the same period in the previous year, the firm earned $0.14 earnings per share. Dutch Bros's revenue for the quarter was up 30.7% on a year-over-year basis. Sell-side analysts predict that Dutch Bros will post 0.84 earnings per share for the current year.

Trending Headlines about Dutch Bros

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

• Positive Sentiment: Reports suggest Dutch Bros is continuing to attract customers even as beverage competition intensifies, with one industry piece saying the chain is “winning traffic,” which supports the case for sustained sales momentum. As Beverage Competition Heats Up, Dutch Bros Keeps Winning Traffic
• Positive Sentiment: Coverage of Dutch Bros bringing “broistas” to four states in June points to continued unit growth and brand expansion, both of which can help support revenue growth expectations. Dutch Bros bringing broistas to these 4 states in June. See locations
• Positive Sentiment: A local report that a Bellingham pizza shop is closing to make room for a proposed Dutch Bros location suggests the company is still securing new real estate for future growth. Bellingham pizza shop closing permanently, making space for proposed Dutch Bros
• Neutral Sentiment: A Zacks article noted Dutch Bros has risen about 4.5% since its last earnings report and asked whether the move can continue, reflecting ongoing debate around valuation and momentum rather than a new catalyst. Dutch Bros (BROS) Up 4.5% Since Last Earnings Report: Can It Continue?
• Neutral Sentiment: General consumer-focused articles about trying Dutch Bros for the first time add to brand awareness, but they are unlikely to materially change near-term fundamentals. Let’s try Dutch Bros for the first time – is it worth the hype?
• Neutral Sentiment: Commentary that Dutch Bros is not afraid of growing beverage competition reinforces the company’s competitive positioning, but it is mostly narrative-driven and not a direct financial catalyst. Dutch Bros isn’t afraid of growing beverage competition
• Negative Sentiment: Multiple reports highlighted insider share sales, including transactions tied to Travis Boersma and DM Individual Aggregator, which can weigh on investor sentiment if seen as reduced confidence in near-term upside. Travis Boersma Sells 447,299 Shares of Dutch Bros NYSE: BROS Stock

Insider Transactions at Dutch Bros

In other news, Chairman Travis Boersma sold 544,872 shares of the business's stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $56.21, for a total transaction of $30,627,255.12. Following the transaction, the chairman directly owned 3,265,362 shares of the company's stock, valued at approximately $183,545,998.02. The trade was a 14.30% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Todd Allan Penegor bought 2,000 shares of Dutch Bros stock in a transaction dated Friday, May 15th. The shares were purchased at an average cost of $51.17 per share, for a total transaction of $102,340.00. Following the completion of the transaction, the director owned 5,358 shares of the company's stock, valued at approximately $274,168.86. This represents a 59.56% increase in their position. The SEC filing for this purchase provides additional information. Over the last three months, insiders have sold 2,022,106 shares of company stock valued at $115,725,491. Corporate insiders own 38.90% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in BROS. Integrated Wealth Concepts LLC acquired a new position in shares of Dutch Bros during the first quarter worth $318,000. Empowered Funds LLC lifted its position in shares of Dutch Bros by 15.9% during the first quarter. Empowered Funds LLC now owns 33,843 shares of the company's stock worth $2,089,000 after purchasing an additional 4,633 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in shares of Dutch Bros by 7.9% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 305,714 shares of the company's stock worth $18,875,000 after purchasing an additional 22,323 shares in the last quarter. California Public Employees Retirement System lifted its position in shares of Dutch Bros by 24.2% during the second quarter. California Public Employees Retirement System now owns 198,895 shares of the company's stock worth $13,598,000 after purchasing an additional 38,697 shares in the last quarter. Finally, State Street Corp lifted its position in shares of Dutch Bros by 6.6% during the second quarter. State Street Corp now owns 1,978,441 shares of the company's stock worth $135,266,000 after purchasing an additional 121,683 shares in the last quarter. 85.54% of the stock is owned by institutional investors and hedge funds.

About Dutch Bros

Dutch Bros Coffee, trading on the NYSE under the ticker BROS, is an American drive-through coffee chain known for its quick-service model and community-focused brand. Founded in 1992 by brothers Dane and Travis Boersma in Grants Pass, Oregon, the company began as a single coffee stand and has since expanded its footprint across numerous U.S. markets. Dutch Bros specializes in handcrafted espresso drinks, drip coffee, cold brew, energy drinks, smoothies, teas, and a variety of signature “Dutch Freeze” and “Dutch Frost” blended beverages.

The company operates a mix of company-owned and franchised locations, placing a strong emphasis on speed and customer engagement.

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