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 paying close attention to the earnings performance of Dutch Bros in its upcoming release. The company is slated to reveal its earnings on May 7, 2025. The company is forecasted to report an EPS of $0.10, showcasing a 11.11% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $343.5 million, up 24.86% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.62 per share and revenue of $1.58 billion. These totals would mark changes of +26.53% and +23.4%, respectively, from last year.
Investors should also take note of any recent adjustments to analyst estimates for Dutch Bros. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 2.26% lower. Dutch Bros is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, Dutch Bros is presently trading at a Forward P/E ratio of 96.94. This represents a premium compared to its industry's average Forward P/E of 21.12.
We can additionally observe that BROS currently boasts a PEG ratio of 3.03. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Retail - Restaurants industry stood at 2.32 at the close of the market yesterday.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 201, placing it within the bottom 19% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Dutch Bros Inc. (BROS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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