DUTCH BROS INC-CLASS A (BROS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BROS - US26701L1008 - Common Stock
61.05 USD
-0.99 (-1.6%)
We assign a fundamental rating of 5 out of 10 to BROS. BROS was compared to 133 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.
In the past 5 years BROS always reported a positive cash flow from operatings.
1.2 Ratios
BROS has a Return On Assets (2.12%) which is in line with its industry peers.
BROS has a better Return On Equity (9.46%) than 67.67% of its industry peers.
With a Return On Invested Capital value of 3.89%, BROS perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.12% | ||
| ROE | 9.46% | ||
| ROIC | 3.89% |
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
The Profit Margin of BROS (4.04%) is comparable to the rest of the industry.
BROS's Profit Margin has declined in the last couple of years.
BROS has a Operating Margin (9.95%) which is comparable to the rest of the industry.
BROS's Operating Margin has declined in the last couple of years.
BROS's Gross Margin of 29.45% is on the low side compared to the rest of the industry. BROS is outperformed by 76.69% of its industry peers.
In the last couple of years the Gross Margin of BROS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.95% | ||
| PM (TTM) | 4.04% | ||
| GM | 29.45% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BROS is destroying value.
Compared to 1 year ago, BROS has less shares outstanding
BROS has less shares outstanding than it did 5 years ago.
BROS has a better debt/assets ratio than last year.
2.2 Solvency
BROS has an Altman-Z score of 3.49. This indicates that BROS is financially healthy and has little risk of bankruptcy at the moment.
BROS has a Altman-Z score of 3.49. This is in the better half of the industry: BROS outperforms 78.95% of its industry peers.
The Debt to FCF ratio of BROS is 9.26, which is on the high side as it means it would take BROS, 9.26 years of fcf income to pay off all of its debts.
BROS has a Debt to FCF ratio of 9.26. This is in the better half of the industry: BROS outperforms 62.41% of its industry peers.
A Debt/Equity ratio of 0.89 indicates that BROS is somewhat dependend on debt financing.
BROS has a Debt to Equity ratio of 0.89. This is in the better half of the industry: BROS outperforms 61.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 9.26 | ||
| Altman-Z | 3.49 |
ROIC/WACC0.45
WACC8.56%
2.3 Liquidity
BROS has a Current Ratio of 1.52. This is a normal value and indicates that BROS is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of BROS (1.52) is better than 71.43% of its industry peers.
A Quick Ratio of 1.32 indicates that BROS should not have too much problems paying its short term obligations.
The Quick ratio of BROS (1.32) is better than 69.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
BROS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 37.50%, which is quite impressive.
Measured over the past years, BROS shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.03% on average per year.
The Revenue has grown by 28.93% in the past year. This is a very strong growth!
The Revenue has been growing by 39.97% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)37.5%
EPS 3YN/A
EPS 5Y-11.03%
EPS Q2Q%18.75%
Revenue 1Y (TTM)28.93%
Revenue growth 3Y37.03%
Revenue growth 5Y39.97%
Sales Q2Q%25.24%
3.2 Future
Based on estimates for the next years, BROS will show a very strong growth in Earnings Per Share. The EPS will grow by 32.80% on average per year.
The Revenue is expected to grow by 24.61% on average over the next years. This is a very strong growth
EPS Next Y36.82%
EPS Next 2Y34.7%
EPS Next 3Y33.31%
EPS Next 5Y32.8%
Revenue Next Year28.78%
Revenue Next 2Y27.16%
Revenue Next 3Y25.61%
Revenue Next 5Y24.61%
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
With a Price/Earnings ratio of 92.50, BROS can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of BROS is on the same level as its industry peers.
BROS's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.77.
Based on the Price/Forward Earnings ratio of 65.98, the valuation of BROS can be described as expensive.
Based on the Price/Forward Earnings ratio, BROS is valued a bit more expensive than 61.65% of the companies in the same industry.
BROS is valuated expensively when we compare the Price/Forward Earnings ratio to 23.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 92.5 | ||
| Fwd PE | 65.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BROS is valued a bit more expensive than 78.95% of the companies in the same industry.
BROS's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 153.56 | ||
| EV/EBITDA | 40.26 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BROS does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as BROS's earnings are expected to grow with 33.31% in the coming years.
PEG (NY)2.51
PEG (5Y)N/A
EPS Next 2Y34.7%
EPS Next 3Y33.31%
5. Dividend
5.1 Amount
BROS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NYSE:BROS (12/31/2025, 1:15:10 PM)
61.05
-0.99 (-1.6%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners90.94%
Inst Owner Change4.3%
Ins Owners0.92%
Ins Owner Change-144.89%
Market Cap10.04B
Revenue(TTM)1.54B
Net Income(TTM)62.08M
Analysts84.62
Price Target76.88 (25.93%)
Short Float %11.09%
Short Ratio3.89
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)24.59%
Min EPS beat(2)7.83%
Max EPS beat(2)41.35%
EPS beat(4)4
Avg EPS beat(4)75.22%
Min EPS beat(4)7.83%
Max EPS beat(4)224.17%
EPS beat(8)8
Avg EPS beat(8)114.38%
EPS beat(12)11
Avg EPS beat(12)95.82%
EPS beat(16)13
Avg EPS beat(16)45.69%
Revenue beat(2)2
Avg Revenue beat(2)0.63%
Min Revenue beat(2)0.27%
Max Revenue beat(2)0.98%
Revenue beat(4)4
Avg Revenue beat(4)2%
Min Revenue beat(4)0.27%
Max Revenue beat(4)5.75%
Revenue beat(8)7
Avg Revenue beat(8)1.8%
Revenue beat(12)9
Avg Revenue beat(12)0.43%
Revenue beat(16)12
Avg Revenue beat(16)0.61%
PT rev (1m)1.39%
PT rev (3m)-8.44%
EPS NQ rev (1m)2.94%
EPS NQ rev (3m)-8.57%
EPS NY rev (1m)0.24%
EPS NY rev (3m)0.33%
Revenue NQ rev (1m)0.51%
Revenue NQ rev (3m)1.29%
Revenue NY rev (1m)0.92%
Revenue NY rev (3m)0.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 92.5 | ||
| Fwd PE | 65.98 | ||
| P/S | 6.53 | ||
| P/FCF | 153.56 | ||
| P/OCF | 36.11 | ||
| P/B | 15.3 | ||
| P/tB | 15.86 | ||
| EV/EBITDA | 40.26 |
EPS(TTM)0.66
EY1.08%
EPS(NY)0.93
Fwd EY1.52%
FCF(TTM)0.4
FCFY0.65%
OCF(TTM)1.69
OCFY2.77%
SpS9.34
BVpS3.99
TBVpS3.85
PEG (NY)2.51
PEG (5Y)N/A
Graham Number7.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.12% | ||
| ROE | 9.46% | ||
| ROCE | 5.67% | ||
| ROIC | 3.89% | ||
| ROICexc | 4.32% | ||
| ROICexgc | 4.36% | ||
| OM | 9.95% | ||
| PM (TTM) | 4.04% | ||
| GM | 29.45% | ||
| FCFM | 4.25% |
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
ROICexgc growth 3YN/A
ROICexgc 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 Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 9.26 | ||
| Debt/EBITDA | 2.24 | ||
| Cap/Depr | 195.33% | ||
| Cap/Sales | 13.84% | ||
| Interest Coverage | 3.91 | ||
| Cash Conversion | 106.2% | ||
| Profit Quality | 105.35% | ||
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 3.49 |
F-Score7
WACC8.56%
ROIC/WACC0.45
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)37.5%
EPS 3YN/A
EPS 5Y-11.03%
EPS Q2Q%18.75%
EPS Next Y36.82%
EPS Next 2Y34.7%
EPS Next 3Y33.31%
EPS Next 5Y32.8%
Revenue 1Y (TTM)28.93%
Revenue growth 3Y37.03%
Revenue growth 5Y39.97%
Sales Q2Q%25.24%
Revenue Next Year28.78%
Revenue Next 2Y27.16%
Revenue Next 3Y25.61%
Revenue Next 5Y24.61%
EBIT growth 1Y43.75%
EBIT growth 3YN/A
EBIT growth 5Y32.56%
EBIT Next Year188.75%
EBIT Next 3Y66.44%
EBIT Next 5Y49.19%
FCF growth 1Y160.03%
FCF growth 3YN/A
FCF growth 5Y7.46%
OCF growth 1Y148.3%
OCF growth 3Y45.27%
OCF growth 5Y34.16%
DUTCH BROS INC-CLASS A / BROS FAQ
What is the ChartMill fundamental rating of DUTCH BROS INC-CLASS A (BROS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to BROS.
What is the valuation status of DUTCH BROS INC-CLASS A (BROS) stock?
ChartMill assigns a valuation rating of 2 / 10 to DUTCH BROS INC-CLASS A (BROS). This can be considered as Overvalued.
What is the profitability of BROS stock?
DUTCH BROS INC-CLASS A (BROS) has a profitability rating of 3 / 10.
Can you provide the financial health for BROS stock?
The financial health rating of DUTCH BROS INC-CLASS A (BROS) is 6 / 10.