Dutch Bros (NYSE:BROS) Trading Down 7% – Time to Sell?
by Sarita Garza · The Markets DailyDutch Bros Inc. (NYSE:BROS – Get Free Report) fell 7% during mid-day trading on Thursday . The company traded as low as $49.55 and last traded at $49.7070. 3,700,055 shares were traded during trading, a decline of 32% from the average session volume of 5,480,229 shares. The stock had previously closed at $53.42.
Analyst Upgrades and Downgrades
Several analysts have recently weighed in on the company. Evercore set a $73.00 price objective on Dutch Bros in a report on Monday, January 5th. Morgan Stanley reiterated an “overweight” rating and issued a $85.00 price target on shares of Dutch Bros in a research report on Friday, February 13th. Zacks Research lowered shares of Dutch Bros from a “strong-buy” rating to a “hold” rating in a research report on Friday, November 21st. Sanford C. Bernstein reaffirmed an “overweight” rating and issued a $76.00 price objective on shares of Dutch Bros in a research note on Wednesday, January 7th. Finally, UBS Group reissued a “buy” rating on shares of Dutch Bros in a research note on Monday, February 9th. One analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $77.05.
Dutch Bros Stock Down 1.8%
The firm has a market cap of $8.04 billion, a PE ratio of 76.31, a P/E/G ratio of 1.79 and a beta of 2.54. The company has a debt-to-equity ratio of 0.22, a current ratio of 1.49 and a quick ratio of 1.32. The business has a fifty day moving average price of $59.22 and a two-hundred day moving average price of $59.12.
Dutch Bros (NYSE:BROS – Get Free Report) last posted its quarterly earnings results on Thursday, February 12th. The company reported $0.17 EPS for the quarter, beating the consensus estimate of $0.10 by $0.07. Dutch Bros had a net margin of 4.87% and a return on equity of 9.56%. The business had revenue of $443.61 million for the quarter, compared to analysts’ expectations of $424.44 million. During the same period in the previous year, the company posted $0.07 EPS. Dutch Bros’s revenue was up 29.4% on a year-over-year basis. On average, analysts anticipate that Dutch Bros Inc. will post 0.57 EPS for the current fiscal year.
Insider Activity at Dutch Bros
In other Dutch Bros news, major shareholder Dm Individual Aggregator, Llc sold 648,089 shares of the company’s stock in a transaction that occurred on Tuesday, November 25th. The shares were sold at an average price of $55.44, for a total value of $35,930,054.16. Following the completion of the sale, the insider owned 9,817 shares of the company’s stock, valued at approximately $544,254.48. This represents a 98.51% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Chairman Travis Boersma sold 1,678,616 shares of the company’s stock in a transaction on Tuesday, November 25th. The shares were sold at an average price of $55.44, for a total transaction of $93,062,471.04. Following the completion of the sale, the chairman owned 9,817 shares of the company’s stock, valued at approximately $544,254.48. This represents a 99.42% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 3,465,214 shares of company stock valued at $189,800,291. 42.40% of the stock is owned by corporate insiders.
Institutional Investors Weigh In On Dutch Bros
Hedge funds and other institutional investors have recently made changes to their positions in the stock. Osterweis Capital Management Inc. bought a new position in Dutch Bros during the 2nd quarter worth about $27,000. Rakuten Securities Inc. grew its holdings in shares of Dutch Bros by 557.4% during the second quarter. Rakuten Securities Inc. now owns 447 shares of the company’s stock worth $31,000 after buying an additional 379 shares in the last quarter. Brown Lisle Cummings Inc. acquired a new stake in Dutch Bros in the 4th quarter valued at approximately $31,000. Ankerstar Wealth LLC bought a new stake in Dutch Bros in the 4th quarter valued at approximately $31,000. Finally, Quarry LP boosted 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 currently owned by institutional investors and hedge funds.
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.