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Dutch Bros(BROS) - 2025 Q1 - Quarterly Results
2025-05-07 20:20
Exhibit 99.1 Dutch Bros Inc. Reports First Quarter 2025 Financial Results Achieves 29% Year-Over-Year Revenue Growth in the First Quarter Delivers 4.7% System and 6.9% Company-Operated Same Shop Sales Growth in the First Quarter Continues Momentum with Another Quarter of Positive Transaction Growth GRANTS PASS, Oregon - May 7, 2025 - Dutch Bros Inc. (NYSE: BROS; "Dutch Bros" or the "Company"), one of the fastest-growing brands in the U.S. quick service beverage industry, today reported financial results for ...
Wall Street's Insights Into Key Metrics Ahead of Dutch Bros (BROS) Q1 Earnings
ZACKS· 2025-05-05 14:21
The upcoming report from Dutch Bros (BROS) is expected to reveal quarterly earnings of $0.10 per share, indicating an increase of 11.1% compared to the year-ago period. Analysts forecast revenues of $343.5 million, representing an increase of 24.9% year over year.The current level reflects a downward revision of 1.5% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this peri ...
And Here's Another Reason to Buy Dutch Bros Stock
The Motley Fool· 2025-05-04 12:45
The fast-growing coffee chain is better loved by consumers than you-know-what in the business, according to a recent survey.If you're not quite sure what to make of Dutch Bros (BROS 1.98%) stock here, you're not alone. The coffee drive-thru chain's continued growth pushed shares sharply higher in 2024 and into early 2025. Then, like so many other tickers in February, this one was upended by tariff fears and has been drifting sideways ever since.Does that mean it's not the growth stock many investors thought ...
Here's Why Dutch Bros (BROS) Gained But Lagged the Market Today
ZACKS· 2025-05-01 23:06
Dutch Bros (BROS) closed at $59.96 in the latest trading session, marking a +0.37% move from the prior day. The stock fell short of the S&P 500, which registered a gain of 0.63% for the day. Elsewhere, the Dow gained 0.21%, while the tech-heavy Nasdaq added 1.52%.Shares of the drive-thru coffee chain operator and franchisor have depreciated by 4.64% over the course of the past month, underperforming the Retail-Wholesale sector's loss of 0.09% and the S&P 500's loss of 0.7%.The investment community will be p ...
Stock-Market Correction: 1 Brilliant Growth Stock Down 28% to Buy on the Dip
The Motley Fool· 2025-04-29 08:28
Core Viewpoint - The S&P 500 has entered correction territory, dropping nearly 20%, but growth stocks like Dutch Bros are seen as attractive buying opportunities due to their potential for recovery and growth [1] Company Overview - Dutch Bros operates 982 shops across 18 states and is recognized as a promising growth stock in the market [3] Unique Selling Proposition - The company offers a wide range of customizable drinks, with 87% of its offerings being iced or blended, and over 50% of sales coming from non-coffee categories, differentiating it from traditional coffee chains [4] Growth Potential - Dutch Bros has significant expansion plans, aiming to grow from its current shop count to approximately 3,500 shops in its existing states and potentially 7,000 shops nationwide [5][6] Company Culture - Dutch Bros ranks No. 4 on Forbes' 2024 list of America's Best Employers for New Grads, indicating a strong company culture that attracts talent [8] - The company also achieved the No. 1 customer service ranking from Newsweek in 2025, reflecting its commitment to speed, quality, and service [9] Customer Loyalty - The Dutch Rewards program, launched in 2021, accounts for 71% of transactions, indicating strong customer loyalty [10] - Customers perceive Dutch Bros as offering the best value for money, surpassing competitors like McDonald's [11] Operational Efficiency - The introduction of mobile ordering has ramped up to 99% of company-owned stores, contributing to approximately 10% of sales and enhancing throughput and profitability [12][13] Financial Performance - Dutch Bros reported a 33% revenue increase and an 18% shop count growth in 2024, while maintaining positive free cash flow despite significant capital expenditures [14][16] - The company's price-to-cash flow ratio of 45 is considered reasonable given its growth rates and the potential of its young shops [16][17] Investment Thesis - The combination of shop expansion, strong company culture, customer loyalty, and operational improvements positions Dutch Bros for rapid growth, making it an attractive investment opportunity [18]
Dutch Bros Stock Sell-Off: Should You Buy the Dip?
The Motley Fool· 2025-04-25 09:45
Dutch Bros (BROS 0.35%) was energizing investor portfolios -- for a short period of time. From its 52-week low to its 52-week high, shares of the coffeehouse chain soared 224%. General market sentiment toward the business was clearly trending in the right direction.In the past couple of months, it's been a completely different story. This coffee stock is selling off, down 32% from its peak (as of April 18), which was established in February. Investors seem worried that economic weakness is on the horizon.Ma ...
Dutch Bros (BROS) Rises Yet Lags Behind Market: Some Facts Worth Knowing
ZACKS· 2025-04-24 23:00
The latest trading session saw Dutch Bros (BROS) ending at $61.51, denoting a +0.65% adjustment from its last day's close. The stock's change was less than the S&P 500's daily gain of 2.03%. Elsewhere, the Dow saw an upswing of 1.23%, while the tech-heavy Nasdaq appreciated by 2.74%.The drive-thru coffee chain operator and franchisor's shares have seen a decrease of 11.14% over the last month, not keeping up with the Retail-Wholesale sector's loss of 2.36% and the S&P 500's loss of 5.07%.The upcoming earnin ...
3 Great Stocks Warren Buffett Probably Can't Buy, But You Can
The Motley Fool· 2025-04-20 12:30
Group 1: Warren Buffett and Berkshire Hathaway - Warren Buffett faces challenges due to the size of Berkshire Hathaway, which manages over $600 billion in investable assets, limiting its ability to capitalize on smaller stock opportunities [1] - Buffett's portfolio has shifted towards smaller companies with market caps between $15 billion and $50 billion, as he has sold off significant portions of larger stocks [1] Group 2: Dutch Bros - Dutch Bros is a coffee chain designed for the 2020s consumer behavior, focusing on drive-thru service and rapid beverage production [3] - The company's loyalty program, Dutch Rewards, accounted for 71% of sales in Q4, up 5 percentage points year over year, driving repeat purchases and efficient service [4] - Dutch Bros plans to more than double its locations from 982 shops by 2029, with capital expenditures per unit expected to decrease from $1.7 million to $1.25 million [5] - The company aims to expand its menu with food items to increase ticket size while balancing efficiency [6] - Dutch Bros has a market cap of about $7 billion and trades at an enterprise value-to-EBITDA ratio of 27, indicating potential for profitable growth [7] Group 3: Roku - Roku is the leading connected-TV operating system in the U.S., with nearly 90 million households streaming over 4 hours per day on its platform [8] - The company's primary revenue source is advertising, leveraging its position to negotiate favorable terms with media companies [9][10] - Roku has significant growth potential in international markets, particularly in Europe and Latin America, where it is establishing its presence [11] - The stock trades at an enterprise value about 19 times analysts' expectations for EBITDA, with a market capitalization of $8.7 billion [12] Group 4: FuboTV - FuboTV is a small virtual multichannel video programming distributor with 1.7 million subscribers, focusing on live sports streaming [13] - A proposed deal with Disney could enhance Fubo's negotiating power and operational results, with Disney taking a 70% controlling stake [14][15] - Even if the Disney deal does not materialize, Fubo will receive $130 million and has shown positive free cash flow [16] - Fubo's market cap is about $1 billion, and its operations are undervalued, trading at just 3 times book value, potentially falling to 2.4 if the Disney deal goes through [17]
3 Reasons Dutch Bros Is the Stock to Watch in 2025
The Motley Fool· 2025-04-12 20:00
Core Viewpoint - Dutch Bros is emerging as a significant growth stock in the food and beverage industry, distinguished by its unique drive-thru model and a loyal customer base, making it a compelling investment opportunity for the long term [1]. Group 1: Proven Operating Model - Dutch Bros has transformed the drive-thru coffee experience by emphasizing speed, efficiency, and customer satisfaction, which allows for serving more customers per hour [2]. - The company is recognized for its customizable drinks, particularly cold and ice-blended beverages, which resonate with younger consumers; in 2024, cold beverages made up 94% of all drinks sold to Generation Z [3]. - The focus on excellent customer service, community engagement through social media, and a loyalty program has resulted in 71% of transactions in Q4 2024 being through the loyalty program, up from 44% in Q1 2021 [4]. - Over the past five years, Dutch Bros has achieved a 42% compound annual growth rate (CAGR) in store count and a 50% increase in revenue [5]. Group 2: Strong Store Economics - Dutch Bros stores exhibit strong financial performance due to an efficient cost structure and rapid profitability, contrasting with many restaurant chains facing high overhead costs [6]. - The company anticipates spending $1.25 million on capital expenditures (capex) for each new store, with expected annual sales of $1.8 million in the second year, leading to a return on investment of approximately 43% and a payback period of just over two years [7]. - The smaller size of Dutch Bros stores and fewer employees contribute to lower operating expenses, enabling strong store-level margins early in operations [8]. - Same-store sales growth (SSSG) has been consistent, with stores opened in 2020 and prior achieving 4.6% SSSG in 2024, while newer stores opened in 2023 reached 13.7% SSSG [9]. Group 3: Growth Potential - Dutch Bros has validated its business model and store economics, with plans to scale and expand into new markets and product offerings [10]. - The company currently operates just under 1,000 stores across 18 states and aims to add 3,500 stores, including at least 160 in 2025, potentially quadrupling its store count [11]. - The company is also focusing on expanding its food menu, which currently accounts for less than 2% of revenue, presenting a significant opportunity for increasing same-store sales [12]. - The energy drinks segment, which constitutes around 25% of sales, is expected to grow faster than the coffee industry, positioning Dutch Bros to capitalize on this trend [13]. - Overall, the company anticipates a 20% growth in its top line in the coming years, with new stores growing at a mid-teens rate and SSSG in the low digits [13]. Group 4: Investment Consideration - Dutch Bros is recognized as a promising growth stock due to its proven operating model, solid store economics, and extensive growth potential [14]. - The stock currently has a high price-to-earnings (PE) ratio of 179, suggesting that it may be prudent to monitor for a more favorable entry point [14].
Should You Buy Dutch Bros Stock on the Dip?
The Motley Fool· 2025-04-12 11:03
Core Viewpoint - Dutch Bros (BROS) is expected to perform relatively well despite rising prices for goods in the U.S. economy [1] Group 1 - The company is positioned to withstand economic pressures from inflation [1] - Stock prices referenced were from the afternoon of April 9, 2025 [1] - The video discussing this information was published on April 11, 2025 [1]