News about Dutch Bros

Dutch Bros trades at a P/E ratio of 58, more than double the S&P 500's 26, though it was about 100 at the start of the year and rose to about 110 in late June. Its three-year median P/E is 141, and the shares gained 64.5% over the three years ended Oct. 16, trailing the S&P 500's 84.5% total return. The company opened 48 locations in the June quarter, and second-quarter same-store sales grew 5.8%, with higher traffic contributing 1.7 percentage points, marking 13 straight quarters of comparable sales growth. The author says the current multiple is more reasonable than earlier levels and that the P/E alone should not keep investors away, given the growth opportunity.

Dutch Bros (BROS) shares were down 33% year-to-date as of Oct. 16, even as the coffee chain's business performance remains strong. The author notes the company regularly beats analyst expectations, with sales up 58% over three years, store count up 62% to 1,225, diluted EPS up 142%, and free cash flow tripled. Same-store sales rose 3.8% year over year in Q2 2026, and management targets 2,029 stores by 2029 and 7,000 domestic stores over time. The article credits its outgoing barista culture, wide customization options, strong cold-drink sales, and drive-through-focused format without sit-down seating, which keeps stores small and cheaper to build. The author concludes it is time to buy the stock.