Seaport Research Partners Upgrades Dutch Bros (NYSE:BROS) to Strong-Buy

by · The Markets Daily

Dutch Bros (NYSE:BROS – Get Free Report) was upgraded by Seaport Research Partners to a “strong-buy” rating in a research report issued to clients and investors on Tuesday, Zacks reports.

Other research analysts have also recently issued research reports about the stock. TD Cowen dropped their price objective on shares of Dutch Bros from $73.00 to $59.00 and set a “buy” rating for the company in a research report on Friday, September 11th. Freedom Capital upgraded Dutch Bros to a “strong-buy” rating in a research report on Wednesday, July 1st. Robert W. Baird raised Dutch Bros to a “strong-buy” rating in a research note on Monday, August 24th. Morgan Stanley lifted their price objective on Dutch Bros from $87.00 to $88.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 15th. Finally, Citigroup reissued a “buy” rating on shares of Dutch Bros in a report on Thursday, August 6th. Two research analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $76.45.

View Our Latest Report on Dutch Bros

Dutch Bros Trading Down 1.4%

Shares of Dutch Bros stock opened at $41.40 on Tuesday. Dutch Bros has a 12-month low of $41.17 and a 12-month high of $74.02. The stock has a market capitalization of $7.23 billion, a P/E ratio of 57.49, a price-to-earnings-growth ratio of 1.50 and a beta of 2.28. The company has a 50-day simple moving average of $55.21 and a 200 day simple moving average of $56.12. The company has a quick ratio of 1.19, a current ratio of 1.35 and a debt-to-equity ratio of 0.20.

Dutch Bros (NYSE:BROS – Get Free Report) last issued 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 net margin of 4.91% and a return on equity of 10.01%. The firm had revenue of $550.85 million for 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. The company’s quarterly revenue was up 32.5% compared to the same quarter last year. Research analysts expect that Dutch Bros will post 0.87 earnings per share for the current fiscal year.

Insider Transactions at Dutch Bros

In related news, Director Todd Penegor bought 2,000 shares of the firm’s stock in a transaction dated Thursday, August 13th. The stock was bought at an average cost of $51.56 per share, for a total transaction of $103,120.00. Following the transaction, the director owned 7,358 shares of the company’s stock, valued at $379,378.48. This represents a 37.33% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 38.90% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. Ancora Advisors LLC bought a new stake in shares of Dutch Bros in the 2nd quarter valued at $29,000. Brown Lisle Cummings Inc. raised its position in shares of Dutch Bros by 63.8% during 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 period. Glen Eagle Advisors LLC acquired a new stake in shares of Dutch Bros during the fourth quarter worth about $74,000. Nemes Rush Group LLC lifted its holdings in shares of Dutch Bros by 25.9% during the 4th quarter. Nemes Rush Group LLC now owns 1,360 shares of the company’s stock valued at $83,000 after purchasing an additional 280 shares in the last quarter. Finally, Clearstead Advisors LLC lifted its holdings in shares of Dutch Bros by 35,275.0% during the 4th quarter. Clearstead Advisors LLC now owns 1,415 shares of the company’s stock valued at $87,000 after purchasing an additional 1,411 shares in the last quarter. Institutional investors and hedge funds own 85.54% of the company’s stock.

More Dutch Bros News

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

(Get Free Report)

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.

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