Bank of America Corp DE Acquires 454,036 Shares of Dutch Bros Inc. $BROS

Key Points

• Bank of America increased its Dutch Bros stake by 33.4%, purchasing 454,036 additional shares to hold 1.81 million shares worth approximately $91.9 million. Institutional investors own 85.54% of the company.
• Dutch Bros delivered a strong second quarter, reporting adjusted EPS of $0.33 versus the $0.29 estimate and revenue of $550.85 million, up 32.5% year over year. Management also projected 2026 revenue of roughly $2.1 billion to $2.13 billion.
• Despite bullish analyst ratings, valuation and insider selling remain concerns. The stock trades at about 73.5 times earnings, while insiders sold more than 4.08 million shares worth approximately $243 million over the past three months.

Bank of America Corp DE raised its holdings in shares of Dutch Bros Inc. (NYSE:BROS - Free Report) by 33.4% in the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 1,814,815 shares of the company's stock after buying an additional 454,036 shares during the period. Bank of America Corp DE owned about 1.04% of Dutch Bros worth $91,939,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also recently modified their holdings of the stock. Osterweis Capital Management Inc. purchased a new position in shares of Dutch Bros in the second quarter worth about $27,000. Brown Lisle Cummings Inc. purchased a new stake in Dutch Bros during the 4th quarter valued at about $31,000. Rakuten Securities Inc. boosted its holdings in Dutch Bros by 557.4% during the 2nd quarter. Rakuten Securities Inc. now owns 447 shares of the company's stock valued at $31,000 after acquiring an additional 379 shares during the period. Ankerstar Wealth LLC bought a new position in Dutch Bros during the 4th quarter worth approximately $31,000. Finally, Quarry LP grew its position in Dutch Bros by 83.5% during the 4th quarter. Quarry LP now owns 600 shares of the company's stock worth $37,000 after acquiring an additional 273 shares during the last quarter. 85.54% of the stock is owned by institutional investors.

Dutch Bros News Summary

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

• Positive Sentiment: Q2 results exceeded expectations. Dutch Bros reported adjusted earnings of $0.33 per share versus the $0.29 consensus estimate, while revenue increased 32.5% year over year to $550.85 million, topping estimates of $525.39 million. Strong same-store sales, customer traffic and new-store growth supported the beat. Dutch Bros Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Management raised its outlook. Dutch Bros projected 2026 revenue of approximately $2.1 billion to $2.13 billion and highlighted sustained traffic growth, digital initiatives and food offerings that could increase customer visits. The company also continues targeting 2,029 shops by 2029. Dutch Bros 2026 Revenue Outlook
• Positive Sentiment: Analysts remain generally bullish. Stephens reaffirmed its overweight rating with an $80 price target, while Royal Bank of Canada maintained an outperform rating despite reducing its target from $75 to $70. Royal Bank of Canada Price Target
• Neutral Sentiment: Dutch Bros agreed to acquire up to 65 closed Salad and Go locations for $105 million. The sites across four states could accelerate store expansion and provide attractive real estate, but the transaction adds capital requirements and integration and redevelopment risk. Dutch Bros Salad and Go Acquisition
• Negative Sentiment: The market’s reaction suggests expectations were elevated. Even with the earnings beat and higher guidance, investors may be taking profits or questioning whether rapid expansion and the Salad and Go purchase can justify Dutch Bros’ premium valuation. The stock trades at roughly 73.5 times earnings and remains below its 50-day moving average, contributing to near-term selling pressure.

Insider Activity at Dutch Bros

In related news, Chairman Travis Boersma sold 750,000 shares of the firm's stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $63.02, for a total value of $47,265,000.00. Following the completion of the sale, the chairman owned 2,410,800 shares of the company's stock, valued at $151,928,616. This trade represents a 23.73% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 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 firm's stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $63.02, for a total value of $16,451,686.10. Following the completion of 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. Insiders have sold 4,086,245 shares of company stock worth $243,021,771 over the last three months. Insiders own 38.90% of the company's stock.

Dutch Bros Stock Down 0.7%

NYSE BROS opened at $52.94 on Friday. Dutch Bros Inc. has a 1 year low of $44.58 and a 1 year high of $74.65. The stock has a market capitalization of $9.25 billion, a PE ratio of 73.52, a PEG ratio of 1.61 and a beta of 2.32. The company has a debt-to-equity ratio of 0.20, a current ratio of 1.35 and a quick ratio of 1.19. The business's 50-day moving average is $64.91 and its 200 day moving average is $57.47.

Dutch Bros (NYSE:BROS - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The company reported $0.33 EPS for the quarter, beating analysts' consensus estimates of $0.29 by $0.04. Dutch Bros had a return on equity of 10.01% and a net margin of 4.91%.The business had revenue of $550.85 million during the quarter, compared to analyst estimates of $525.38 million. During the same quarter in the prior year, the company posted $0.26 EPS. Dutch Bros's quarterly revenue was up 32.5% compared to the same quarter last year. Sell-side analysts forecast that Dutch Bros Inc. will post 0.84 earnings per share for the current year.

Analyst Ratings Changes

A number of brokerages have commented on BROS. Stephens reaffirmed an "overweight" rating and issued a $80.00 price target on shares of Dutch Bros in a research note on Thursday. TD Cowen reissued a "buy" rating and set a $73.00 price objective on shares of Dutch Bros in a research note on Wednesday, June 10th. Telsey Advisory Group raised their target price on shares of Dutch Bros from $66.00 to $74.00 and gave the stock an "outperform" rating in a report on Friday, July 31st. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Dutch Bros in a research note on Friday, July 17th. Finally, DA Davidson lowered their price target on shares of Dutch Bros from $90.00 to $85.00 and set a "buy" rating for the company in a report on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $77.15.

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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