Dutch Bros (NYSE:BROS) Downgraded by Zacks Research to “Strong Sell”

Zacks Research cut shares of Dutch Bros (NYSE:BROS) from a hold rating to a strong sell rating in a report released on Thursday morning,Zacks reports.

BROS has been the subject of several other research reports. DA Davidson dropped their price objective on Dutch Bros from $85.00 to $60.00 and set a “buy” rating for the company in a report on Monday, September 28th. Robert W. Baird reduced their target price on Dutch Bros from $82.00 to $60.00 and set an “outperform” rating on the stock in a research note on Friday, October 2nd. Citigroup decreased their target price on Dutch Bros from $69.00 to $64.00 and set a “buy” rating for the company in a report on Friday, November 6th. Jefferies Financial Group dropped their price target on Dutch Bros from $75.00 to $60.00 and set an “overweight” rating for the company in a research note on Tuesday, September 29th. Finally, Stifel Nicolaus initiated coverage on shares of Dutch Bros in a report on Monday, November 9th. They issued a “buy” rating and a $48.00 price target on the stock. Two research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $61.08.

Dutch Bros Trading Up 6.6%

Shares of BROS stock traded up $2.24 during mid-day trading on Thursday, reaching $35.95. The stock had a trading volume of 6,217,822 shares, compared to its average volume of 5,546,611. The stock’s 50-day moving average price is $40.17 and its two-hundred day moving average price is $52.27. Dutch Bros has a 52-week low of $33.17 and a 52-week high of $74.02. The firm has a market capitalization of $6.28 billion, a PE ratio of 46.09, a price-to-earnings-growth ratio of 1.14 and a beta of 1.97. The company has a current ratio of 1.03, a quick ratio of 0.88 and a debt-to-equity ratio of 0.19.

Dutch Bros (NYSE:BROS) last issued its quarterly earnings data on Wednesday, November 4th. The company reported $0.25 EPS for the quarter, beating the consensus estimate of $0.24 by $0.01. The firm had revenue of $549.84 million during the quarter, compared to the consensus estimate of $548.27 million. Dutch Bros had a net margin of 5.08% and a return on equity of 10.46%. The company’s quarterly revenue was up 29.8% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.19 earnings per share. Equities analysts expect that Dutch Bros will post 0.81 earnings per share for the current fiscal year.

Insider Activity

In other Dutch Bros news, major shareholder Dm Individual Aggregator, Llc sold 359,284 shares of Dutch Bros stock in a transaction that occurred on Wednesday, November 4th. The stock was sold at an average price of $44.73, for a total transaction of $16,070,773.32. Following the sale, the insider directly owned 1,366,580 shares of the company’s stock, valued at approximately $61,127,123.40. The trade was a 20.82% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Travis Boersma sold 1,032,216 shares of the company’s stock in a transaction that occurred on Wednesday, November 4th. The stock was sold at an average price of $44.73, for a total value of $46,171,021.68. Following the transaction, the chairman owned 1,366,580 shares in the company, valued at $61,127,123.40. This trade represents a 43.03% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 4,044,220 shares of company stock valued at $179,732,644 over the last 90 days. 38.90% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Dutch Bros

Several hedge funds and other institutional investors have recently added to or reduced their stakes in BROS. Ancora Advisors LLC bought a new position in Dutch Bros in the second quarter worth $29,000. GK Wealth Management LLC bought a new stake in shares of Dutch Bros during the 3rd quarter valued at $56,000. Bessemer Group Inc. grew its position in shares of Dutch Bros by 243.8% in the 3rd quarter. Bessemer Group Inc. now owns 1,420 shares of the company’s stock worth $56,000 after buying an additional 1,007 shares during the period. State of Wyoming purchased a new stake in shares of Dutch Bros in the 3rd quarter worth about $66,000. Finally, Harbour Investments Inc. increased its stake in shares of Dutch Bros by 72.2% in the 3rd quarter. Harbour Investments Inc. now owns 1,879 shares of the company’s stock worth $72,000 after acquiring an additional 788 shares in the last quarter. 85.54% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Dutch Bros

Investors following BROS have been watching these headlines:

• Positive Sentiment: The company’s Q3 earnings-call coverage highlighted growth and expansion, reinforcing its growth story. Article: Dutch Bros Earnings Call Highlights Growth and Expansion
• Neutral Sentiment: Dutch Bros plans a second location in Springfield, adding to its store rollout, though the article provides no details on expected sales or timing. Article: Dutch Bros Coffee plans 2nd Springfield location
• Negative Sentiment: Zacks added BROS to its Rank #5 (Strong Sell) list, a bearish analyst signal that could pressure the stock. Article: New Strong Sell Stocks for November 13th

Dutch Bros Company Profile

Dutch Bros Inc. is a drive-through beverage company that operates the Dutch Bros coffee shop brand. Founded in 1992 in Grants Pass, Oregon, by brothers Dane and Travis Boersma, the company began as a small coffee pushcart and has grown into a multistate U.S. chain. Dutch Bros has expanded from its roots in the western United States into additional regions across the country. Christine Barone serves as the company’s chief executive officer, and co-founder Travis Boersma is its executive chairman.