In a report released on March 29, Brian Harbour from Morgan Stanley maintained a Buy rating on Dutch Bros Inc (BROS – Research Report), with a price target of $82.00.
Brian Harbour has given his Buy rating due to a combination of factors that highlight Dutch Bros Inc’s growth potential and strategic initiatives. The company’s recent Investor Day reinforced Harbour’s positive outlook, as it aligned with previous growth expectations and showcased the management team’s capability to drive future success. Harbour noted that the company’s sales initiatives appear promising, and while there are some uncertainties regarding the timing and impact of food and throughput, these areas are expected to develop over time.
Additionally, Harbour emphasized the company’s long-term growth algorithm, which includes mid-teens unit growth, significant revenue and EBITDA growth, and strong shop margins. The potential expansion to 7,000 U.S. units, up from the previous 4,000, was a key discussion point, indicating a robust growth trajectory. Despite macroeconomic concerns and some near-term consumer questions, Harbour remains optimistic about Dutch Bros Inc’s compelling sales and development opportunities, maintaining an Overweight rating with a price target of $82.
In another report released today, Wedbush also reiterated a Buy rating on the stock with a $90.00 price target.