Beyond The Numbers: 7 Analysts Discuss Dutch Bros Stock

Throughout the last three months, 7 analysts have evaluated Dutch Bros BROS, offering a diverse set of opinions from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 1 4 2 0 0
Last 30D 1 0 0 0 0
1M Ago 0 1 1 0 0
2M Ago 0 1 0 0 0
3M Ago 0 2 1 0 0

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $32.86, a high estimate of $37.00, and a low estimate of $26.00. This upward trend is evident, with the current average reflecting a 3.14% increase from the previous average price target of $31.86.

price target chart

Interpreting Analyst Ratings: A Closer Look

In examining recent analyst actions, we gain insights into how financial experts perceive Dutch Bros. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Chris O'Cull Stifel Raises Buy $35.00 $32.00
Jeffrey Bernstein Barclays Raises Equal-Weight $31.00 $28.00
Nick Setyan Wedbush Raises Outperform $37.00 $35.00
John Ivankoe JP Morgan Raises Overweight $35.00 $30.00
Nick Setyan Wedbush Raises Outperform $35.00 $31.00
Nick Setyan Wedbush Lowers Outperform $31.00 $37.00
Jeffrey Bernstein Barclays Lowers Equal-Weight $26.00 $30.00

Key Insights:

  • Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Dutch Bros. This information offers a snapshot of how analysts perceive the current state of the company.
  • Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Dutch Bros compared to the broader market.
  • Price Targets: Gaining insights, analysts provide estimates for the future value of Dutch Bros's stock. This comparison reveals trends in analysts' expectations over time.

For valuable insights into Dutch Bros's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Dutch Bros analyst ratings.

Discovering Dutch Bros: A Closer Look

Dutch Bros Inc is an operator and franchisor of drive-thru coffee shops that are focused on serving hand-crafted beverages. The company's hand-crafted beverage-focused lineup features hot and cold espresso-based beverages, cold brew coffee products, proprietary energy drinks, tea, lemonade, smoothies and other beverages. The company has two reportable operating segments company-operated shops and franchising and other.

Breaking Down Dutch Bros's Financial Performance

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Dutch Bros's remarkable performance in 3 months is evident. As of 30 September, 2023, the company achieved an impressive revenue growth rate of 33.15%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Net Margin: Dutch Bros's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 1.59%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Dutch Bros's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 1.8%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Dutch Bros's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.28%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Dutch Bros's debt-to-equity ratio is below the industry average at 1.95, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Significance of Analyst Ratings Explained

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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