Dutch Bros stock has had a rough year, but Oppenheimer believes the drive-thru coffee chain still has room to run. Shares of Dutch Bros Inc. (BROS) traded around $39 on Wednesday, down sharply from their 52-week high of $74.02 and hovering close to the 52-week low of $37.40.

Analyst Brian Bittner trimmed his price target on BROS to $66 from $82 while keeping his “outperform” rating in place. Despite the lower target, Bittner argues the stock is simply too cheap to ignore at current levels. He pegs the valuation at under 14 times EBITDA estimates — a multiple he views as difficult to justify for a company still growing profit at a rate north of 20%. Set against Wednesday's $39.40 close, the reduced target still leaves the roughly 68% upside he sees intact — a revision that reads more as a recalibration of expectations than a retreat from the thesis.

In Bittner's assessment, the market has grown overly worried about slowing same-store sales as Dutch Bros laps its strongest growth quarters. In his telling, the slowdown reflects tough comparisons rather than a deterioration in the underlying business, and he believes the company has the tools in place to keep comparable-store sales healthy through 2027. The metric matters because it isolates growth at established locations from the boost that comes simply from opening new shops, making it the clearest read on whether customer demand is keeping pace with expansion.

Same-Store Sales Forecast

Bittner's team expects company-wide same-store sales growth of 7.3% in 2026, with the pace forecast to cool to 4.2% in 2027. Those figures give investors a concrete yardstick for upcoming quarterly reports, defining what “healthy” looks like if the tough-comparison thesis holds.

The analyst also pointed out that Dutch Bros has raised its guidance in seven of its last eight quarters — a track record he believes deserves more credit from investors. Earnings estimates for the company have been trending upward lately, and Bittner sees limited risk of that momentum reversing, particularly with coffee costs easing and margin forecasts staying conservative — an input-cost trend that carries particular weight for a business built on coffee.

Oppenheimer is not the only firm on Wall Street sticking with the stock. The consensus rating sits at “Moderate Buy,” with an average price target of $72.38. Two analysts rate the shares a Strong Buy, twenty rate them a Buy, and four have them at Hold — a notably crowded bullish camp for a stock trading near its lows.

Recent Earnings Beat Expectations

The pullback has come despite a solid quarterly report. On August 5th, Dutch Bros posted earnings per share of $0.33, beating the $0.29 consensus estimate. Revenue came in at $550.85 million, ahead of the $525.38 million analysts expected and up 33% from the same period last year.

The results topped expectations on both the top and bottom lines. The quarter delivered a net margin of 4.91% and a return on equity of 10.01%. For the full year, analysts expect the company to post $0.88 in earnings per share. A quarter that beats on both lines while the stock sits near its 52-week low is precisely the disconnect Bittner is pointing to when he calls the shares too cheap.

Insiders have been buying as well. Director Todd Penegor picked up 2,000 shares in August at an average price of $51.56, boosting his stake by more than 37%. Institutional ownership stands at a heavy 85.54% of the company, while insiders overall own 38.90% of the stock — a shareholder base dominated by professional and affiliated holders rather than retail investors.

Other Analyst Moves

A number of other firms have been active on the name lately. Royal Bank of Canada cut its target to $70 from $75 in August, while TD Cowen restated a Buy rating with a $59 target. Not every call has been rosy: DA Davidson lowered its target from $85 to $60, and JPMorgan and Jefferies both set $60 targets, though all of these firms kept positive ratings. Even the lowest of those targets sits roughly 50% above Wednesday's close, underscoring how far expectations have been marked down alongside the share price.

Spending and Expansion

Some of the caution on the stock ties back to spending. Capital expenditures reportedly jumped 49%, raising questions about near-term cash use. Dutch Bros also lost out on a bidding war for additional store locations, removing one potential path to faster growth.

Store expansion is still moving forward elsewhere, however. The company has new locations planned for Junction City and the Columbus area, and it recently opened a shop in Champaign. How those new shops ramp provide fresh data points on whether unit growth can offset the decelerating pace at established locations.

Shares closed Wednesday's session up 3.4% on the day, trading at $39.40. Short interest on the stock currently stands at 12.4% of the total float — meaning roughly one in eight tradable shares is sold short, a positioning backdrop that keeps the stock sensitive to news in either direction.