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 5 out of 10 in our fundamental rating. BROS was compared to 134 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 expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
In the past year BROS was profitable.
In the past year BROS had a positive cash flow from operations.
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
The Return On Assets of BROS (1.57%) is comparable to the rest of the industry.
With a decent Return On Equity value of 7.27%, BROS is doing good in the industry, outperforming 65.41% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 3.42%, BROS is doing worse than 63.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.57% | ||
| ROE | 7.27% | ||
| ROIC | 3.42% |
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
BROS has a Profit Margin of 3.20%. This is comparable to the rest of the industry: BROS outperforms 51.13% of its industry peers.
BROS's Profit Margin has declined in the last couple of years.
BROS has a Operating Margin (9.41%) which is in line with its industry peers.
In the last couple of years the Operating Margin of BROS has declined.
Looking at the Gross Margin, with a value of 29.34%, BROS is doing worse than 78.20% of the companies in the same industry.
In the last couple of years the Gross Margin of BROS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.41% | ||
| PM (TTM) | 3.2% | ||
| GM | 29.34% |
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.
Compared to 1 year ago, BROS has less shares outstanding
Compared to 5 years ago, BROS has less shares outstanding
Compared to 1 year ago, BROS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.81 indicates that BROS is not in any danger for bankruptcy at the moment.
The Altman-Z score of BROS (3.81) is better than 81.95% of its industry peers.
The Debt to FCF ratio of BROS is 20.80, which is on the high side as it means it would take BROS, 20.80 years of fcf income to pay off all of its debts.
BROS has a Debt to FCF ratio of 20.80. This is comparable to the rest of the industry: BROS outperforms 45.11% of its industry peers.
BROS has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
BROS has a better Debt to Equity ratio (1.06) than 60.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 20.8 | ||
| Altman-Z | 3.81 |
ROIC/WACC0.38
WACC9.09%
2.3 Liquidity
A Current Ratio of 1.95 indicates that BROS should not have too much problems paying its short term obligations.
The Current ratio of BROS (1.95) is better than 81.95% of its industry peers.
A Quick Ratio of 1.75 indicates that BROS should not have too much problems paying its short term obligations.
BROS's Quick ratio of 1.75 is amongst the best of the industry. BROS outperforms 81.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.75 |
3. Growth
3.1 Past
BROS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.00%, 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.
BROS shows a strong growth in Revenue. In the last year, the Revenue has grown by 30.42%.
Measured over the past years, BROS shows a very strong growth in Revenue. The Revenue has been growing by 39.97% on average per year.
EPS 1Y (TTM)40%
EPS 3YN/A
EPS 5Y-11.03%
EPS Q2Q%55.56%
Revenue 1Y (TTM)30.42%
Revenue growth 3Y37.03%
Revenue growth 5Y39.97%
Sales Q2Q%29.1%
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 30.74% on average per year.
BROS is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 22.12% yearly.
EPS Next Y20.56%
EPS Next 2Y29.19%
EPS Next 3Y28.87%
EPS Next 5Y30.74%
Revenue Next Year26.13%
Revenue Next 2Y25.15%
Revenue Next 3Y23.98%
Revenue Next 5Y22.12%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 120.04.
BROS's Price/Earnings ratio is a bit more expensive when compared to the industry. BROS is more expensive than 61.65% of the companies in the same industry.
BROS's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.45.
Based on the Price/Forward Earnings ratio of 78.97, the valuation of BROS can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BROS indicates a slightly more expensive valuation: BROS is more expensive than 67.67% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.90, BROS is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 120.04 | ||
| Fwd PE | 78.97 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BROS is valued a bit more expensive than 77.44% 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 62.41% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 342.34 | ||
| EV/EBITDA | 50.45 |
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.
BROS's earnings are expected to grow with 28.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.84
PEG (5Y)N/A
EPS Next 2Y29.19%
EPS Next 3Y28.87%
5. Dividend
5.1 Amount
No dividends for BROS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
67.22
+1.17 (+1.77%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners78.56%
Inst Owner Change-2.56%
Ins Owners0.9%
Ins Owner Change60.34%
Market Cap11.06B
Analysts85
Price Target80.22 (19.34%)
Short Float %6.13%
Short Ratio2.48
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)125.84%
Min EPS beat(2)27.51%
Max EPS beat(2)224.17%
EPS beat(4)4
Avg EPS beat(4)82.18%
Min EPS beat(4)27.51%
Max EPS beat(4)224.17%
EPS beat(8)8
Avg EPS beat(8)132.4%
EPS beat(12)10
Avg EPS beat(12)90.44%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.38%
Min Revenue beat(2)1.02%
Max Revenue beat(2)5.75%
Revenue beat(4)4
Avg Revenue beat(4)2.3%
Min Revenue beat(4)0.46%
Max Revenue beat(4)5.75%
Revenue beat(8)6
Avg Revenue beat(8)1.29%
Revenue beat(12)8
Avg Revenue beat(12)0.36%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.32%
PT rev (3m)-5.55%
EPS NQ rev (1m)-0.51%
EPS NQ rev (3m)-11.26%
EPS NY rev (1m)-0.67%
EPS NY rev (3m)-0.46%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-0.53%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)0.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 120.04 | ||
| Fwd PE | 78.97 | ||
| P/S | 8.12 | ||
| P/FCF | 342.34 | ||
| P/OCF | 45.66 | ||
| P/B | 18.46 | ||
| P/tB | 19.23 | ||
| EV/EBITDA | 50.45 |
EPS(TTM)0.56
EY0.83%
EPS(NY)0.85
Fwd EY1.27%
FCF(TTM)0.2
FCFY0.29%
OCF(TTM)1.47
OCFY2.19%
SpS8.27
BVpS3.64
TBVpS3.5
PEG (NY)5.84
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.57% | ||
| ROE | 7.27% | ||
| ROCE | 4.98% | ||
| ROIC | 3.42% | ||
| ROICexc | 3.9% | ||
| ROICexgc | 3.94% | ||
| OM | 9.41% | ||
| PM (TTM) | 3.2% | ||
| GM | 29.34% | ||
| FCFM | 2.37% |
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-Score6
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 20.8 | ||
| Debt/EBITDA | 2.81 | ||
| Cap/Depr | 213.71% | ||
| Cap/Sales | 15.42% | ||
| Interest Coverage | 3.16 | ||
| Cash Conversion | 107.04% | ||
| Profit Quality | 74.16% | ||
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.75 | ||
| Altman-Z | 3.81 |
F-Score6
WACC9.09%
ROIC/WACC0.38
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)40%
EPS 3YN/A
EPS 5Y-11.03%
EPS Q2Q%55.56%
EPS Next Y20.56%
EPS Next 2Y29.19%
EPS Next 3Y28.87%
EPS Next 5Y30.74%
Revenue 1Y (TTM)30.42%
Revenue growth 3Y37.03%
Revenue growth 5Y39.97%
Sales Q2Q%29.1%
Revenue Next Year26.13%
Revenue Next 2Y25.15%
Revenue Next 3Y23.98%
Revenue Next 5Y22.12%
EBIT growth 1Y65.07%
EBIT growth 3YN/A
EBIT growth 5Y32.56%
EBIT Next Year177.23%
EBIT Next 3Y63.77%
EBIT Next 5Y46.41%
FCF growth 1Y125.34%
FCF growth 3YN/A
FCF growth 5Y7.46%
OCF growth 1Y279.98%
OCF growth 3Y45.27%
OCF growth 5Y34.16%