From Yahoo Finance: 2025-05-17 04:14:00

Dutch Bros plans to open 7,000 stores, with 1,000 new ones by 2029. Its growth strategy includes product innovation, paid ads, and a rewards program. The company’s stock has dropped 18%, but revenue soared 29% in the first quarter of 2025.

Dutch Bros attributes its success to innovation, marketing, and its rewards program. The coffee chain is known for unique beverages, recently launching boba and protein coffee. It’s expanding its menu and piloting new food items to boost sales, with a focus on mobile ordering and rewards.

Despite market concerns over tariffs, Dutch Bros estimates only 10% of its costs would be impacted. With the U.S. and China reducing tariffs, consumer spending is expected to rise. The company’s future looks promising, but it comes with a high price, trading at a forward P/E ratio of 85.

Considerations: Dutch Bros stock fell 18%, but its long-term potential remains strong. Motley Fool’s Stock Advisor team chose 10 top stocks for investors, excluding Dutch Bros. Historical performances of past recommendations show significant returns, making it a compelling opportunity for investors.

Read more: Dutch Bros Stock Just Plunged 18%. Is Now the Time to Buy?