Dutch Bros (NYSE:BROS) Rating Increased to Strong-Buy at Seaport Research Partners

Dutch Bros (NYSE:BROS) was upgraded by stock analysts at Seaport Research Partners to a “strong-buy” rating in a report issued on Tuesday, Zacks reports.

Several other equities analysts have also recently weighed in on the stock. Royal Bank Of Canada decreased their price target on shares of Dutch Bros from $75.00 to $70.00 and set an “outperform” rating for the company in a research note on Thursday, August 6th. Oppenheimer increased their target price on shares of Dutch Bros from $72.00 to $82.00 and gave the stock an “outperform” rating in a report on Tuesday, June 30th. DA Davidson lowered their price target on shares of Dutch Bros from $90.00 to $85.00 and set a “buy” rating on the stock in a research note on Thursday, August 6th. Citigroup reissued a “buy” rating on shares of Dutch Bros in a research report on Thursday, August 6th. Finally, Stephens restated an “overweight” rating and set a $80.00 price objective on shares of Dutch Bros in a research note on Thursday, August 6th. Two research analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $76.45.

Dutch Bros Stock Performance

BROS opened at $41.40 on Tuesday. The company has a market capitalization of $7.23 billion, a price-to-earnings ratio of 57.49, a P/E/G ratio of 1.50 and a beta of 2.28. The business’s 50-day moving average price is $55.21 and its two-hundred day moving average price is $56.12. Dutch Bros has a 1 year low of $41.17 and a 1 year high of $74.02. The company has a debt-to-equity ratio of 0.20, a current ratio of 1.35 and a quick ratio of 1.19.

Dutch Bros (NYSE:BROS) last posted its quarterly earnings data on Wednesday, August 5th. The company reported $0.33 earnings per share for the quarter, topping the consensus estimate of $0.29 by $0.04. Dutch Bros had a return on equity of 10.01% and a net margin of 4.91%.The company had revenue of $550.85 million during the quarter, compared to analysts’ expectations of $525.38 million. During the same period in the prior year, the firm earned $0.26 earnings per share. Dutch Bros’s revenue for the quarter was up 32.5% compared to the same quarter last year. Equities analysts expect that Dutch Bros will post 0.87 EPS for the current fiscal year.

Insider Transactions at Dutch Bros

In other news, Director Todd Penegor purchased 2,000 shares of the business’s stock in a transaction on Thursday, August 13th. The stock was purchased at an average price of $51.56 per share, for a total transaction of $103,120.00. Following the completion of the purchase, the director directly owned 7,358 shares in the company, valued at $379,378.48. The trade was a 37.33% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 38.90% of the company’s stock.

Institutional Investors Weigh In On Dutch Bros

A number of institutional investors and hedge funds have recently modified their holdings of BROS. D.A. Davidson & CO. lifted its position in shares of Dutch Bros by 0.4% during the 1st quarter. D.A. Davidson & CO. now owns 57,042 shares of the company’s stock worth $2,890,000 after buying an additional 211 shares in the last quarter. AdvisorShares Investments LLC increased its position in shares of Dutch Bros by 7.2% during the fourth 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 last quarter. Arizona State Retirement System increased its position in shares of Dutch Bros by 0.7% during the second quarter. Arizona State Retirement System now owns 35,124 shares of the company’s stock valued at $2,522,000 after acquiring an additional 238 shares during the last quarter. Nemes Rush Group LLC lifted its holdings in Dutch Bros by 25.9% during the fourth quarter. Nemes Rush Group LLC now owns 1,360 shares of the company’s stock worth $83,000 after acquiring an additional 280 shares during the period. Finally, Brown Lisle Cummings Inc. boosted its position in Dutch Bros by 63.8% in the first quarter. Brown Lisle Cummings Inc. now owns 819 shares of the company’s stock worth $41,000 after purchasing an additional 319 shares during the last quarter. 85.54% of the stock is owned by institutional investors.

Key Headlines Impacting Dutch Bros

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

• Positive Sentiment: Dutch Bros continues to expand its store base, with new drive-thru locations planned or announced in Augusta, Hampton Roads, Conroe and other markets. Continued unit growth could support long-term revenue expansion and improve investor sentiment. Dutch Bros to open Augusta drive-thru by year’s end
• Positive Sentiment: Some analysts and valuation commentators consider BROS undervalued relative to its expected cash-flow growth. The company also maintains a “Moderate Buy” average analyst rating, potentially limiting downside if operating growth remains strong. Dutch Bros Stock Looks Cheap Against Its Cash Flow Outlook
• Neutral Sentiment: CEO Christine Barone discussed expansion and inflation, highlighting the company’s growth plans while acknowledging cost pressures that could affect margins. Dutch Bros CEO Christine Barone on Expansion & Inflation
• Negative Sentiment: The immediate pressure on Dutch Bros Inc. (BROS) appears to be sector-wide selling across restaurant and beverage stocks, amplified by broader weakness in the Nasdaq and S&P 500. Why Is Dutch Bros Stock Falling on Tuesday?
• Negative Sentiment: Recent coverage emphasizes the stock’s sharp decline and elevated valuation risk. A shelf registration filing may also have raised concerns about potential future share issuance and dilution, even though no specific offering was announced. Is Dutch Bros Undervalued After Its Shelf Filing?

Dutch Bros Company Profile

Dutch Bros Inc is a drive-thru beverage company that operates and franchises coffee shops across the United States. Founded in 1992 by brothers Dane and Travis Boersma in Grants Pass, Oregon, the company has expanded from a single coffee cart into a national chain with locations in more than 20 states.

Dutch Bros’ menu includes specialty espresso-based coffees, cold brew, teas, Dutch Bros Blue Rebel energy drinks, smoothies, lemonades, sodas and other flavored beverages. Its shops emphasize drive-thru convenience, customizable drinks and customer-focused service, with some locations also offering walk-up windows or limited indoor seating.

The company combines company-operated shops with franchised locations, although its growth strategy has increasingly emphasized company-operated stores.