DUTCH BROS INC-CLASS A (BROS) Stock Fundamental Analysis
NYSE:BROS - New York Stock Exchange, Inc. - US26701L1008 - Common Stock - Currency: USD
Taking everything into account, BROS scores 4 out of 10 in our fundamental rating. BROS was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. While BROS seems to be doing ok healthwise, there are quite some concerns on its profitability. BROS is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
BROS had positive earnings in the past year.
BROS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: BROS reported negative net income in multiple years.
Each year in the past 5 years BROS had a positive operating cash flow.
1.2 Ratios
BROS has a Return On Assets (1.41%) which is in line with its industry peers.
BROS has a better Return On Equity (6.56%) than 60.31% of its industry peers.
The Return On Invested Capital of BROS (3.70%) is worse than 60.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.41% | ||
| ROE | 6.56% | ||
| ROIC | 3.7% |
ROA(3y)0.37%
ROA(5y)-0.24%
ROE(3y)1.1%
ROE(5y)-2.02%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 2.75%, BROS perfoms like the industry average, outperforming 48.85% of the companies in the same industry.
BROS's Profit Margin has declined in the last couple of years.
BROS has a Operating Margin (9.68%) which is in line with its industry peers.
In the last couple of years the Operating Margin of BROS has declined.
With a Gross Margin value of 29.52%, BROS is not doing good in the industry: 79.39% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of BROS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.68% | ||
| PM (TTM) | 2.75% | ||
| GM | 29.52% |
OM growth 3YN/A
OM growth 5Y-5.29%
PM growth 3YN/A
PM growth 5Y-25.4%
GM growth 3Y-0.28%
GM growth 5Y-4.98%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BROS is destroying value.
BROS has less shares outstanding than it did 1 year ago.
BROS has less shares outstanding than it did 5 years ago.
BROS has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.49 indicates that BROS is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 4.49, BROS belongs to the best of the industry, outperforming 87.79% of the companies in the same industry.
BROS has a debt to FCF ratio of 25.09. This is a negative value and a sign of low solvency as BROS would need 25.09 years to pay back of all of its debts.
BROS has a Debt to FCF ratio (25.09) which is in line with its industry peers.
BROS has a Debt/Equity ratio of 1.10. This is a high value indicating a heavy dependency on external financing.
BROS has a Debt to Equity ratio of 1.10. This is in the better half of the industry: BROS outperforms 62.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 25.09 | ||
| Altman-Z | 4.49 |
ROIC/WACC0.4
WACC9.29%
2.3 Liquidity
A Current Ratio of 1.76 indicates that BROS should not have too much problems paying its short term obligations.
With an excellent Current ratio value of 1.76, BROS belongs to the best of the industry, outperforming 80.92% of the companies in the same industry.
BROS has a Quick Ratio of 1.58. This is a normal value and indicates that BROS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.58, BROS is in the better half of the industry, outperforming 77.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.58 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 64.52% over the past year.
The earnings per share for BROS have been decreasing by -11.03% on average. This is quite bad
Looking at the last year, BROS shows a very strong growth in Revenue. The Revenue has grown by 32.63%.
The Revenue has been growing by 39.97% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)64.52%
EPS 3YN/A
EPS 5Y-11.03%
EPS Q2Q%75%
Revenue 1Y (TTM)32.63%
Revenue growth 3Y37.03%
Revenue growth 5Y39.97%
Sales Q2Q%34.89%
3.2 Future
The Earnings Per Share is expected to grow by 25.87% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 19.03% on average over the next years. This is quite good.
EPS Next Y19.29%
EPS Next 2Y27.28%
EPS Next 3Y26.31%
EPS Next 5Y25.87%
Revenue Next Year25.27%
Revenue Next 2Y23.87%
Revenue Next 3Y22.38%
Revenue Next 5Y19.03%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
BROS is valuated quite expensively with a Price/Earnings ratio of 148.62.
BROS's Price/Earnings ratio is a bit more expensive when compared to the industry. BROS is more expensive than 68.70% of the companies in the same industry.
BROS is valuated expensively when we compare the Price/Earnings ratio to 29.98, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 124.58, which means the current valuation is very expensive for BROS.
67.94% of the companies in the same industry are cheaper than BROS, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.66. BROS is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 148.62 | ||
| Fwd PE | 124.58 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BROS is valued more expensive than 81.68% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BROS indicates a slightly more expensive valuation: BROS is more expensive than 65.65% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 473.27 | ||
| EV/EBITDA | 57.75 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as BROS's earnings are expected to grow with 26.31% in the coming years.
PEG (NY)7.7
PEG (5Y)N/A
EPS Next 2Y27.28%
EPS Next 3Y26.31%
5. Dividend
5.1 Amount
BROS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:BROS (3/3/2025, 3:47:08 PM)
75.795
-3.36 (-4.25%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners85.36%
Inst Owner Change5.55%
Ins Owners0.94%
Ins Owner Change50.89%
Market Cap11.69B
Analysts88.42
Price Target85.31 (12.55%)
Short Float %6.71%
Short Ratio2.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)127.85%
Min EPS beat(2)31.52%
Max EPS beat(2)224.17%
EPS beat(4)4
Avg EPS beat(4)182.16%
Min EPS beat(4)31.52%
Max EPS beat(4)427.41%
EPS beat(8)8
Avg EPS beat(8)141.46%
EPS beat(12)9
Avg EPS beat(12)52.58%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.86%
Min Revenue beat(2)1.98%
Max Revenue beat(2)5.75%
Revenue beat(4)4
Avg Revenue beat(4)3.4%
Min Revenue beat(4)0.46%
Max Revenue beat(4)5.75%
Revenue beat(8)5
Avg Revenue beat(8)0.22%
Revenue beat(12)8
Avg Revenue beat(12)0.48%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)32.06%
PT rev (3m)68.68%
EPS NQ rev (1m)17.41%
EPS NQ rev (3m)16.43%
EPS NY rev (1m)6.81%
EPS NY rev (3m)10.61%
Revenue NQ rev (1m)2.93%
Revenue NQ rev (3m)3.22%
Revenue NY rev (1m)3.01%
Revenue NY rev (3m)3.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 148.62 | ||
| Fwd PE | 124.58 | ||
| P/S | 9.12 | ||
| P/FCF | 473.27 | ||
| P/OCF | 47.42 | ||
| P/B | 21.75 | ||
| P/tB | 22.79 | ||
| EV/EBITDA | 57.75 |
EPS(TTM)0.51
EY0.67%
EPS(NY)0.61
Fwd EY0.8%
FCF(TTM)0.16
FCFY0.21%
OCF(TTM)1.6
OCFY2.11%
SpS8.31
BVpS3.49
TBVpS3.33
PEG (NY)7.7
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.41% | ||
| ROE | 6.56% | ||
| ROCE | 5.4% | ||
| ROIC | 3.7% | ||
| ROICexc | 4.24% | ||
| ROICexgc | 4.29% | ||
| OM | 9.68% | ||
| PM (TTM) | 2.75% | ||
| GM | 29.52% | ||
| FCFM | 1.93% |
ROA(3y)0.37%
ROA(5y)-0.24%
ROE(3y)1.1%
ROE(5y)-2.02%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-28.12%
ROICexc growth 3YN/A
ROICexc growth 5Y-24.54%
OM growth 3YN/A
OM growth 5Y-5.29%
PM growth 3YN/A
PM growth 5Y-25.4%
GM growth 3Y-0.28%
GM growth 5Y-4.98%
F-Score7
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 25.09 | ||
| Debt/EBITDA | 2.71 | ||
| Cap/Depr | 238.42% | ||
| Cap/Sales | 17.31% | ||
| Interest Coverage | 3.17 | ||
| Cash Conversion | 113.56% | ||
| Profit Quality | 70.04% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.58 | ||
| Altman-Z | 4.49 |
F-Score7
WACC9.29%
ROIC/WACC0.4
Cap/Depr(3y)329.63%
Cap/Depr(5y)343.93%
Cap/Sales(3y)22.13%
Cap/Sales(5y)20.51%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)64.52%
EPS 3YN/A
EPS 5Y-11.03%
EPS Q2Q%75%
EPS Next Y19.29%
EPS Next 2Y27.28%
EPS Next 3Y26.31%
EPS Next 5Y25.87%
Revenue 1Y (TTM)32.63%
Revenue growth 3Y37.03%
Revenue growth 5Y39.97%
Sales Q2Q%34.89%
Revenue Next Year25.27%
Revenue Next 2Y23.87%
Revenue Next 3Y22.38%
Revenue Next 5Y19.03%
EBIT growth 1Y153.7%
EBIT growth 3YN/A
EBIT growth 5Y32.56%
EBIT Next Year168.55%
EBIT Next 3Y59.25%
EBIT Next 5Y43.22%
FCF growth 1Y127.89%
FCF growth 3YN/A
FCF growth 5Y7.46%
OCF growth 1Y76.13%
OCF growth 3Y45.27%
OCF growth 5Y34.16%