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Stock impact report

1 Wall Street Analyst Thinks Dutch Bros Stock Is Going to $80. Is It a Buy? [Yahoo! Finance]

Dutch Bros Inc. (BROS) 
Company Research Source: Yahoo! Finance
Wells Fargo analyst Anthony Trainor initiated coverage of Dutch Bros with an overweight (buy) rating and a $80 price target , implying 28% over the current $62.50 share price. Should a long-term investor start a position in the stock right now? Dutch Bros stock rocketed to a 52-week high of $86.88 this year. It closed Apr. 2 trading 28% off those highs, bringing its valuation back to a reasonable level. The company said that revenue grew 35% year over year last quarter, with same-shop sales up 6.9%. Management had previously set its long-term goal at 4,000 locations within 15 years. That would suggest tremendous long-term upside over the 982 locations opened last quarter. However, at a recent investor presentation, management updated its long-term goal to 7,000 shops. The company is aiming for 20% annual revenue growth while growing the number of locations at a mid-teens rate with low-single-digit same-shop sales. These growth targets should support the stock's current valuation Show less Read more
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