Think It's Too Late to Buy Dutch Bros? Here's the Biggest Reason Why There's Still Time.

Core Viewpoint - Dutch Bros has experienced significant stock growth in 2024, with a 75% increase over the past 52 weeks, driven by soaring sales and earnings growth that surpass Wall Street expectations [1][2] Group 1: Financial Performance - The company is currently trading at a high valuation of 176 times earnings, which raises concerns among value investors, although growth investors remain optimistic due to the company's rapid growth [2] - Dutch Bros has reported strong financial results, with expectations for continued revenue surges in the foreseeable future [2] Group 2: Expansion Plans - Dutch Bros currently operates 950 locations, a 20% increase from 794 stores a year ago, with plans to open about 30 more drive-through shops by the end of the year and an additional 160 shops in 2025 [4] - The long-term goal is to establish at least 4,000 locations in the United States, as outlined in its IPO filings three years ago, with recent expansions into seven more states potentially enhancing this target [5] Group 3: Marketing and Growth Strategy - The company is investing in a robust digital marketing strategy to support its expansion, including a customer loyalty program called Dutch Rewards, which plays a significant role in attracting and retaining customers [6] - The ambitious and effective expansion plan suggests that a growth-based investment thesis for Dutch Bros is valid, with many years needed to saturate the projected American market and potential international ambitions in the future [7]