Is Dutch Bros Stock a Good Investment?
Dutch Bros Investment Advice | BROS |
- Examine Dutch Bros' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Dutch Bros' leadership team and their track record. Good management can help Dutch Bros navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Hotels, Restaurants & Leisure space and any emerging trends that could impact Dutch Bros' business and its evolving consumer preferences.
- Compare Dutch Bros' performance and market position to its competitors. Analyze how Dutch Bros is positioned in terms of product offerings, innovation, and market share.
- Check if Dutch Bros pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Dutch Bros' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Dutch Bros stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Dutch Bros is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Solid | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine Dutch Bros Stock
Researching Dutch Bros' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 87.0% of the company shares are held by institutions such as insurance companies. The company had not issued any dividends in recent years.
To determine if Dutch Bros is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Dutch Bros' research are outlined below:
| Dutch Bros appears to be risky and price may revert if volatility continues | |
| Dutch Bros currently holds 676.58 M in liabilities with Debt to Equity (D/E) ratio of 2.33, implying the company greatly relies on financing operations through barrowing. Dutch Bros has a current ratio of 0.48, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Dutch Bros' use of debt, we should always consider it together with its cash and equity. | |
| Dutch Bros has a strong financial position based on the latest SEC filings | |
| Over 87.0% of Dutch Bros shares are held by institutions such as insurance companies | |
| Latest headline from bizjournals.com: Why Dutch Bros stock price keeps rising |
Dutch Bros Quarterly Gross Profit |
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Dutch Bros uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Dutch Bros. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Dutch Bros' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 28th of February 2024 Upcoming Quarterly Report | View | |
| 14th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 28th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Dutch Bros' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Dutch Bros' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2022-11-09 | 2022-09-30 | 0.08 | 0.09 | 0.01 | 12 | ||
2024-02-21 | 2023-12-31 | 0.02 | 0.04 | 0.02 | 100 | ||
2022-08-10 | 2022-06-30 | 0.07 | 0.05 | -0.02 | 28 | ||
2022-05-11 | 2022-03-31 | 0.01 | -0.02 | -0.03 | 300 | ||
2024-11-06 | 2024-09-30 | 0.12 | 0.16 | 0.04 | 33 | ||
2023-02-22 | 2022-12-31 | 0.07 | 0.03 | -0.04 | 57 | ||
2023-05-09 | 2023-03-31 | -0.01 | -0.0678 | -0.0578 | 578 | ||
2024-08-07 | 2024-06-30 | 0.13 | 0.19 | 0.06 | 46 |
Know Dutch Bros' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Dutch Bros is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Dutch Bros backward and forwards among themselves. Dutch Bros' institutional investor refers to the entity that pools money to purchase Dutch Bros' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Driehaus Capital Management Llc | 2024-06-30 | 2.2 M | Ameriprise Financial Inc | 2024-06-30 | 2.1 M | Waratah Capital Advisors Ltd | 2024-06-30 | 2.1 M | Joho Capital Llc | 2024-09-30 | 1.9 M | Geode Capital Management, Llc | 2024-09-30 | 1.8 M | Alliancebernstein L.p. | 2024-06-30 | 1.6 M | American Century Companies Inc | 2024-09-30 | 1.6 M | State Street Corp | 2024-06-30 | 1.3 M | Eagle Asset Management, Inc. | 2024-06-30 | 1.3 M | Vanguard Group Inc | 2024-09-30 | 10 M | Baillie Gifford & Co Limited. | 2024-09-30 | 7 M |
Dutch Bros' market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 8 B.Market Cap |
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Dutch Bros' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Capital Employed | 0.03 | 0.03 |
Determining Dutch Bros' profitability involves analyzing its financial statements and using various financial metrics to determine if Dutch Bros is a good buy. For example, gross profit margin measures Dutch Bros' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Dutch Bros' profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Dutch Bros' accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Dutch Bros. Check Dutch Bros' Beneish M Score to see the likelihood of Dutch Bros' management manipulating its earnings.
Evaluate Dutch Bros' management efficiency
Dutch Bros has return on total asset (ROA) of 0.0327 % which means that it generated a profit of $0.0327 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.0791 %, meaning that it created $0.0791 on every $100 dollars invested by stockholders. Dutch Bros' management efficiency ratios could be used to measure how well Dutch Bros manages its routine affairs as well as how well it operates its assets and liabilities. Return On Capital Employed is likely to gain to 0.03 in 2024, whereas Return On Tangible Assets are likely to drop 0.0009 in 2024. At this time, Dutch Bros' Total Assets are comparatively stable compared to the past year. Net Tangible Assets is likely to gain to about 119.2 M in 2024, whereas Other Current Assets are likely to drop slightly above 9.7 M in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 10.89 | 11.43 | |
| Tangible Book Value Per Share | 10.45 | 10.98 | |
| Enterprise Value Over EBITDA | 21.21 | 33.96 | |
| Price Book Value Ratio | 5.40 | 5.13 | |
| Enterprise Value Multiple | 21.21 | 33.96 | |
| Price Fair Value | 5.40 | 5.13 |
The management team at Dutch Bros has a track record of steering the company towards sustained growth. Evaluating their strategies helps in understanding the stock's long-term potential.
Beta 2.484 |
Basic technical analysis of Dutch Stock
As of the 27th of November, Dutch Bros shows the Coefficient Of Variation of 494.48, mean deviation of 2.16, and Downside Deviation of 1.97. Dutch Bros technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices. Please confirm Dutch Bros variance, value at risk, as well as the relationship between the Value At Risk and skewness to decide if Dutch Bros is priced favorably, providing market reflects its regular price of 52.97 per share. Given that Dutch Bros has jensen alpha of 0.699, we urge you to verify Dutch Bros's prevailing market performance to make sure the company can sustain itself at a future point.Dutch Bros' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Dutch Bros insiders, such as employees or executives, is commonly permitted as long as it does not rely on Dutch Bros' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Dutch Bros insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Dutch Bros' Outstanding Corporate Bonds
Dutch Bros issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Dutch Bros uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Dutch bonds can be classified according to their maturity, which is the date when Dutch Bros has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Dutch Bros' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Dutch Bros' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1627 | |||
| Market Risk Adjusted Performance | 0.8475 | |||
| Mean Deviation | 2.16 | |||
| Semi Deviation | 1.35 | |||
| Downside Deviation | 1.97 | |||
| Coefficient Of Variation | 494.48 | |||
| Standard Deviation | 4.08 | |||
| Variance | 16.61 | |||
| Information Ratio | 0.1707 | |||
| Jensen Alpha | 0.699 | |||
| Total Risk Alpha | 0.1816 | |||
| Sortino Ratio | 0.3539 | |||
| Treynor Ratio | 0.8375 | |||
| Maximum Drawdown | 30.86 | |||
| Value At Risk | (2.77) | |||
| Potential Upside | 5.38 | |||
| Downside Variance | 3.86 | |||
| Semi Variance | 1.81 | |||
| Expected Short fall | (2.59) | |||
| Skewness | 4.73 | |||
| Kurtosis | 31.2 |
| Risk Adjusted Performance | 0.1627 | |||
| Market Risk Adjusted Performance | 0.8475 | |||
| Mean Deviation | 2.16 | |||
| Semi Deviation | 1.35 | |||
| Downside Deviation | 1.97 | |||
| Coefficient Of Variation | 494.48 | |||
| Standard Deviation | 4.08 | |||
| Variance | 16.61 | |||
| Information Ratio | 0.1707 | |||
| Jensen Alpha | 0.699 | |||
| Total Risk Alpha | 0.1816 | |||
| Sortino Ratio | 0.3539 | |||
| Treynor Ratio | 0.8375 | |||
| Maximum Drawdown | 30.86 | |||
| Value At Risk | (2.77) | |||
| Potential Upside | 5.38 | |||
| Downside Variance | 3.86 | |||
| Semi Variance | 1.81 | |||
| Expected Short fall | (2.59) | |||
| Skewness | 4.73 | |||
| Kurtosis | 31.2 |
Consider Dutch Bros' intraday indicators
Dutch Bros intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Dutch Bros stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 44733.05 | |||
| Daily Balance Of Power | 0.7114 | |||
| Rate Of Daily Change | 1.02 | |||
| Day Median Price | 52.55 | |||
| Day Typical Price | 52.69 | |||
| Price Action Indicator | 0.96 | |||
| Period Momentum Indicator | 1.06 |
Dutch Bros Corporate Filings
13A | 14th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
10Q | 7th of November 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
8K | 6th of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 5th of November 2024 Other Reports | ViewVerify |
Dutch Stock media impact
Far too much social signal, news, headlines, and media speculation about Dutch Bros that are available to investors today. That information is available publicly through Dutch media outlets and privately through word of mouth or via Dutch internal channels. However, regardless of the origin, that massive amount of Dutch data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Dutch Bros news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Dutch Bros relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Dutch Bros' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Dutch Bros alpha.
Dutch Bros Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Dutch Bros can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Dutch Bros Historical Investor Sentiment
Investor biases related to Dutch Bros' public news can be used to forecast risks associated with an investment in Dutch. The trend in average sentiment can be used to explain how an investor holding Dutch can time the market purely based on public headlines and social activities around Dutch Bros. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Dutch Bros' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Dutch Bros and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Dutch Bros news discussions. The higher the estimate score, the more favorable the investor's outlook on Dutch Bros.
Dutch Bros Corporate Management
| Charley Jemley | Chief Officer | Profile | |
| Leigh Gower | Chief Officer | Profile | |
| Christine Schmidt | Chief Officer | Profile | |
| Joshua Guenser | Chief Officer | Profile | |
| Jonathan Ricci | Pres CEO | Profile | |
| Victoria Tullett | Chief Secretary | Profile |
Additional Tools for Dutch Stock Analysis
When running Dutch Bros' price analysis, check to measure Dutch Bros' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Dutch Bros is operating at the current time. Most of Dutch Bros' value examination focuses on studying past and present price action to predict the probability of Dutch Bros' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Dutch Bros' price. Additionally, you may evaluate how the addition of Dutch Bros to your portfolios can decrease your overall portfolio volatility.