Dutch BrothersBROSCOMMENTSep 28, 2026Stock price when the opinion was issued
Third-largest coffee chain in the US, with just over 1k stores in 20 states. (SBUX has 17k stores, DNKN has ~9.5k.) Long runway of growth. Opening stores aggressively. Growth rate tipping down from 50% to 25%. Trades at 50x 2027 anticipated earnings for a coffee shop chain. Hmmm. Pretty near priced for perfection.
It has terrific growth and the shares don't deserve to be crushed. It's down 19% in the past 6 months.