Dutch Bros (NYSE:BROS) Trading 5.6% Higher - Here's What Happened

Key Points

• Dutch Bros shares rose 5.6% on Friday, trading as high as $68.11 before last changing hands at $69.02, though volume was far below normal at 318,771 shares versus the 4.36 million average.
• Analyst sentiment remains constructive, with several firms reiterating or raising bullish ratings; the stock currently has a Moderate Buy consensus and an average price target of $77.50.
• The company’s latest earnings showed 30.7% revenue growth year over year to $464.41 million, while insider selling has been notable, including chairman Travis Boersma’s sale of 750,000 shares in June.

Dutch Bros Inc. (NYSE:BROS - Get Free Report)'s share price traded up 5.6% on Friday . The company traded as high as $68.11 and last traded at $69.0150. 318,771 shares traded hands during trading, a decline of 93% from the average session volume of 4,355,249 shares. The stock had previously closed at $65.35.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on BROS shares. Citigroup boosted their price target on Dutch Bros from $84.00 to $85.00 and gave the company a "buy" rating in a report on Thursday, May 7th. Royal Bank Of Canada reiterated an "outperform" rating on shares of Dutch Bros in a research report on Wednesday, May 20th. BNP Paribas Exane started coverage on Dutch Bros in a research note on Monday, March 30th. They issued an "outperform" rating and a $73.00 price target for the company. Freedom Capital raised Dutch Bros to a "strong-buy" rating in a research report on Wednesday, July 1st. Finally, Weiss Ratings restated a "hold (c)" rating on shares of Dutch Bros in a research note on Monday, April 20th. One analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $77.50.

Dutch Bros Stock Performance

The firm has a market cap of $12.00 billion, a P/E ratio of 106.96, a P/E/G ratio of 2.06 and a beta of 2.31. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.19 and a current ratio of 1.33. The business's 50-day simple moving average is $61.42 and its 200 day simple moving average is $57.25.

Dutch Bros (NYSE:BROS - Get Free Report) last released its quarterly earnings results on Wednesday, May 6th. The company reported $0.16 earnings per share for the quarter, meeting the consensus estimate of $0.16. The firm had revenue of $464.41 million for the quarter, compared to analysts' expectations of $449.69 million. Dutch Bros had a return on equity of 9.42% and a net margin of 4.61%.The company's revenue was up 30.7% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.14 EPS. As a group, equities analysts predict that Dutch Bros Inc. will post 0.84 earnings per share for the current year.

Insider Activity at Dutch Bros

In other Dutch Bros news, Chairman Travis Boersma sold 750,000 shares of the business's stock in a transaction dated Thursday, June 11th. The stock was sold at an average price of $63.02, for a total transaction of $47,265,000.00. Following the completion of the sale, the chairman directly owned 2,410,800 shares in the company, valued at $151,928,616. The trade was a 23.73% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, major shareholder Dm Individual Aggregator, Llc sold 261,055 shares of the company's stock in a transaction dated Thursday, June 11th. The shares were sold at an average price of $63.02, for a total transaction of $16,451,686.10. Following the sale, the insider directly owned 2,410,800 shares of the company's stock, valued at $151,928,616. The trade was a 9.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 4,086,245 shares of company stock worth $243,021,771. 38.90% of the stock is owned by insiders.

Hedge Funds Weigh In On Dutch Bros

A number of institutional investors and hedge funds have recently made changes to their positions in the business. D.A. Davidson & CO. increased its holdings in Dutch Bros by 0.4% during the first quarter. D.A. Davidson & CO. now owns 57,042 shares of the company's stock valued at $2,890,000 after buying an additional 211 shares during the last quarter. AdvisorShares Investments LLC grew its position in shares of Dutch Bros by 7.2% during the 4th quarter. AdvisorShares Investments LLC now owns 3,164 shares of the company's stock valued at $194,000 after acquiring an additional 212 shares during the period. Parkside Financial Bank & Trust increased its stake in shares of Dutch Bros by 9.8% in the 4th quarter. Parkside Financial Bank & Trust now owns 2,466 shares of the company's stock worth $151,000 after purchasing an additional 221 shares in the last quarter. Allworth Financial LP increased its stake in shares of Dutch Bros by 7.5% in the 3rd quarter. Allworth Financial LP now owns 3,312 shares of the company's stock worth $173,000 after purchasing an additional 232 shares in the last quarter. Finally, Lazard Asset Management LLC raised its holdings in Dutch Bros by 6.5% in the 3rd quarter. Lazard Asset Management LLC now owns 4,434 shares of the company's stock worth $232,000 after purchasing an additional 270 shares during the period. Hedge funds and other institutional investors own 85.54% of the company's stock.

Dutch Bros Company Profile

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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