Barclays has adjusted its price target for Dutch Bros (BROS, Financial), reducing it from $94 to $76, while maintaining an Overweight rating on the stock. This revision is part of a broader first-quarter preview for the restaurant sector, highlighting some challenges and potential headwinds.
The beginning of the first quarter was notably difficult for Dutch Bros, as weather conditions negatively impacted comparable store sales. Despite this, there was some recovery observed in March. However, the rebound was not sufficient to indicate a complete turnaround, suggesting a more significant underlying trend of decreased consumer spending.
While many restaurants are somewhat shielded from supply chain disruptions and tariff impacts, there is still concern over a potential decline in demand. This caution stems from the observation that consumer spending patterns appear to be softening, which could influence future performance for companies like Dutch Bros.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 14 analysts, the average target price for Dutch Bros Inc (BROS, Financial) is $77.58 with a high estimate of $90.00 and a low estimate of $66.00. The average target implies an upside of 36.03% from the current price of $57.03. More detailed estimate data can be found on the Dutch Bros Inc (BROS) Forecast page.
Based on the consensus recommendation from 16 brokerage firms, Dutch Bros Inc's (BROS, Financial) average brokerage recommendation is currently 1.6, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Dutch Bros Inc (BROS, Financial) in one year is $34.46, suggesting a downside of 39.58% from the current price of $57.03. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Dutch Bros Inc (BROS) Summary page.
