- I'd Buy This Growth Stock After Its 35% Plunge
May 17, 2026
Key Points
Dutch Bros has a huge expansion opportunity still in front of it. The company is seeing great same-store momentum, despite a tough consumer environment.10 stocks we like better than Dutch Bros ›
One of my favorite beaten-down growth stocks to buy right now is Dutch Bros(NYSE: BROS). The coffee shop operator has been hitting on all cylinders, but its stock is now about 35% off its highs. I own shares at a cost basis just below where the stock is currently trading and think this is a great entry point for new investors.
Long runway ahead
Dutch Bros is a classic regional-to-national expansion story. Its roots are in the Northwest U.S., but it's been gradually expanding eastward. It recently went further east when it acquired the North and South Carolina chain Clutch Coffee Bar and converted its shops into Dutch Bros locations. The initial response has been positive, with the first seven converted shops seeing average unit volumes (AUVs) triple their pre-conversion volumes and score higher than the company's systemwide AUVs. This is a good indication of the brand momentum that Dutch Bros has, even in markets further away from its base.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Despite a tough consumer environment, Dutch Bros has consistently been seeing strong same-store sales growth. This continued in the first quarter, when the company reported an impressive 8.3% increase in comparable-store sales with a 5.1% increase in transactions. Company-owned stores performed even better, with same-store sales up 10.6% on a 6.9% rise in transactions. The growth was driven by drink innovations, including limited-time offerings (LTOs), and by mobile order-ahead.
The company is also getting a lift from the introduction of hot food items, with the 485 stores offering the new menu items seeing about a 4% same-store sales boost. Dutch Bros thinks that three-quarters of its shops can physically support its hot food offerings, which would be about 880 locations based on its current store count. However, newer stores will be built with food in mind, so this percentage should rise over time.
Image source: Getty Images.
Backed by strong sales momentum, Dutch Bros has a big expansion opportunity in front of it. It thinks it can reach 2,029 locations by 2029, up from 1,177 at the end of Q1, and eventually support 7,000 shops across the U.S. That number seems more than reasonable, considering that rival Starbucks has nearly 17,000 stores in just the U.S. and nearly 18,400 in North America.
Dutch Bros stores have a small footprint, typically with two drive-through lanes and no indoor seating. This makes them cheap to build and operate compared to Starbucks. Despite the small physical size, they have AUVs on par with Starbucks and have higher store-level margins. This sets the company up to be highly profitable down the road, when it can spread corporate costs across a wider store base.
Meanwhile, the stock is reasonably valued, trading at a similar price-to-sales (P/S) multiple as Starbucks despite its much larger growth runway. With the stock trading at a reasonable value and a huge growth runway ahead, I'd be buying this growth stock at these levels.
Should you buy stock in Dutch Bros right now?
Before you buy stock in Dutch Bros, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Dutch Bros wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $469,293!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,381,332!*
Now, it’s worth noting Stock Advisor’s total average return is 993% — a market-crushing outperformance compared to 207% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of May 17, 2026.
Geoffrey Seiler has positions in Dutch Bros. The Motley Fool has positions in and recommends Dutch Bros and Starbucks. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
- I'd Buy This Growth Stock After Its 35% Plunge
May 17, 2026
One of my favorite beaten-down growth stocks to buy right now is Dutch Bros(NYSE: BROS). The coffee shop operator has been hitting on all cylinders, but its stock is now about 35% off its highs. I own shares at a cost basis just below where the stock is currently trading and think this is a great entry point for new investors.
Long runway ahead
Dutch Bros is a classic regional-to-national expansion story. Its roots are in the Northwest U.S., but it's been gradually expanding eastward. It recently went further east when it acquired the North and South Carolina chain Clutch Coffee Bar and converted its shops into Dutch Bros locations. The initial response has been positive, with the first seven converted shops seeing average unit volumes (AUVs) triple their pre-conversion volumes and score higher than the company's systemwide AUVs. This is a good indication of the brand momentum that Dutch Bros has, even in markets further away from its base.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Despite a tough consumer environment, Dutch Bros has consistently been seeing strong same-store sales growth. This continued in the first quarter, when the company reported an impressive 8.3% increase in comparable-store sales with a 5.1% increase in transactions. Company-owned stores performed even better, with same-store sales up 10.6% on a 6.9% rise in transactions. The growth was driven by drink innovations, including limited-time offerings (LTOs), and by mobile order-ahead.
The company is also getting a lift from the introduction of hot food items, with the 485 stores offering the new menu items seeing about a 4% same-store sales boost. Dutch Bros thinks that three-quarters of its shops can physically support its hot food offerings, which would be about 880 locations based on its current store count. However, newer stores will be built with food in mind, so this percentage should rise over time.Image source: Getty Images.
Backed by strong sales momentum, Dutch Bros has a big expansion opportunity in front of it. It thinks it can reach 2,029 locations by 2029, up from 1,177 at the end of Q1, and eventually support 7,000 shops across the U.S. That number seems more than reasonable, considering that rival Starbucks has nearly 17,000 stores in just the U.S. and nearly 18,400 in North America.
Dutch Bros stores have a small footprint, typically with two drive-through lanes and no indoor seating. This makes them cheap to build and operate compared to Starbucks. Despite the small physical size, they have AUVs on par with Starbucks and have higher store-level margins. This sets the company up to be highly profitable down the road, when it can spread corporate costs across a wider store base.
Story Continues
Meanwhile, the stock is reasonably valued, trading at a similar price-to-sales (P/S) multiple as Starbucks despite its much larger growth runway. With the stock trading at a reasonable value and a huge growth runway ahead, I'd be buying this growth stock at these levels.
Should you buy stock in Dutch Bros right now?
Before you buy stock in Dutch Bros, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Dutch Bros wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $469,293!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,381,332!*
Now, it’s worth noting Stock Advisor’s total average return is 993% — a market-crushing outperformance compared to 207% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of May 17, 2026.
Geoffrey Seiler has positions in Dutch Bros. The Motley Fool has positions in and recommends Dutch Bros and Starbucks. The Motley Fool has a disclosure policy.
I'd Buy This Growth Stock After Its 35% Plunge was originally published by The Motley Fool
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- I'd Buy This Growth Stock After Its 35% Plunge
May 17, 2026 · fool.com
Dutch Bros has a huge expansion opportunity still in front of it. The company is seeing great same-store momentum, despite a tough consumer environment.
- Is Dutch Bros Stock Is a Buy on the Dip as Same-Store Sales Continue to Sizzle?
May 17, 2026
In one of the more head-scratching moves this earnings season, Dutch Bros (NYSE: BROS) shares sank despite the coffee shop operator turning in another stellar quarter. As of this writing, the stock is down about 13% year to date.
Let's take a closer look at its results and prospects, and at why I think Dutch Bros could be a great long-term stock buy.
Will AI create the world's first trillionaire? Our team just released a report on a little-known company, called an "Indispensable Monopoly," providing the critical technology Nvidia and Intel both need.
Continue »Image source: The Motley Fool.
Same-store sales shine again
In what has been a very uneven consumer environment, Dutch Bros once again found a way to shine. Its same-store sales surged by 8.3% in the quarter, as transactions climbed 5.1%. Company-owned stores once again outperformed, with comparable-shop sales climbing 10.6% on a 6.9% increase in transactions.
The company credited drink innovation, as well as limited-time offerings (LTOs) and merchandise drops, for its strong results. It said it saw a 30% increase in LTO unit sales and 50% higher merchandise sales versus last year.
Use of the Order Ahead option (available via mobile app and the website) continues to rise, now accounting for 15% of all Dutch Bros orders, up from 14% at the end of last year. Meanwhile, 74% of all transactions now come through the Dutch Rewards program. Food continues to deliver a 4% lift in comparables, and it is now being offered at 485 shops.
Dutch Bros also continues to aggressively grow its store base. It opened 41 new shops in the quarter, including 33 company-owned locations. It now expects to add at least 185 new shops in 2026, up from prior guidance for at least 181 stores.
Overall revenue climbed 31% to $464.4 million, while earnings per share (EPS) were flat at $0.13. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) jumped 26% to $79.4 million.
Looking ahead, the company raised its full-year revenue guidance to $2.05 billion to $2.08 billion, up from a prior outlook of $2 billion to $2.03 billion. It also raised its adjusted EBITDA forecast to $370 million to $380 million, up from $355 million to $365 million. It projected same-store sales growth of 4% to 6% for the year and near 5% for the second quarter.
Why the stock is a buy
Dutch Bros is seeing some of the best same-store growth in the restaurant space and has one of the largest expansion opportunities in the industry as well. The only real knocks on the company are rising rent costs as it shifts to built-to-suit leases and higher coffee bean prices.
Story Continues
However, this is still an efficient model. While rent costs as a percentage of revenue are higher than for Starbucks, this is largely due to its rival having a more mature store base. Meanwhile, Dutch Bros has lower labor expenses, and it hasn't understaffed its stores as Starbucks has done in the past.
Dutch Bros is still in the early phases of its growth, yet it trades at a forward price-to-sales (P/S) multiple of 3.2, versus 3.1 for the much more mature Starbucks. That makes it one of the most intriguing growth stocks in the consumer space to own long-term.
Should you buy stock in Dutch Bros right now?
Before you buy stock in Dutch Bros, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Dutch Bros wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $469,293!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,381,332!*
Now, it’s worth noting Stock Advisor’s total average return is 993% — a market-crushing outperformance compared to 207% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of May 17, 2026.
Geoffrey Seiler has positions in Dutch Bros. The Motley Fool has positions in and recommends Dutch Bros and Starbucks. The Motley Fool has a disclosure policy.
Is Dutch Bros Stock Is a Buy on the Dip as Same-Store Sales Continue to Sizzle? was originally published by The Motley Fool
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- Is Dutch Bros Stock Is a Buy on the Dip as Same-Store Sales Continue to Sizzle?
May 17, 2026 · fool.com
Dutch Bros turned in another strong quarter as same-store sales surged. The company trades at a similar sales multiple to rival Starbucks, despite a much longer growth runway.
- 2 Growth Stocks to Hold for the Next 5 Years
May 17, 2026 · fool.com
The bull market continues, leaving these growing companies behind.
- Venti problems? Coffee chain disruptors 7 Brew, Blank Street, and Scooter's are creating buzz
May 16, 2026
[Coffee Beans Background]
pidjoe/iStock via Getty Images
Starbucks (SBUX [https://seekingalpha.com/symbol/SBUX]) is the largest coffee chain in the U.S. but no longer accounts for more than 50% of all chain coffee store sales like it did in 2023. Established chains Dunkin, Panera (PANERA [https://seekingalpha.com/symbol/PANERA]), Caribou Coffee, Peet's (KDP [https://seekingalpha.com/symbol/KDP]), and Tim Hortons (QSR [https://seekingalpha.com/symbol/QSR]) have also had growing pains of their own as Dutch Bros (BROS [https://seekingalpha.com/symbol/BROS]) has rapidly expanded and newer, drive-thru-only chains and niche beverage competitors proliferate. For its part, McDonald's (MCD [https://seekingalpha.com/symbol/MCD]) is leaning into the trend with a significant expansion of its McCafé beverage line to include more cold coffee options and energy-style drinks.
The coffee chain disruption is especially pronounced with younger coffee drinkers. 72% of Gen Z consumers in the U.S. try new beverages monthly, and 75% customize their drinks. Meet some of the coffee chain upstarts below.
7 BREW - ONE OF THE FASTEST-GROWING COFFEE CHAINS IN THE U.S.
7 Brew is the fastest-growing chain in the U.S., according to some industry watchers. The chain started in Arkansas in 2017 with a single location and has grown to 600 locations, with most locations on the East Coast and in the Midwest. 7 Brew has major development agreements to open over 200 new stands across Texas, Florida, Oklahoma, and New Mexico. Florida is a particular focus as the company plans to open approximately 200 more stores across the state alone. The brand is also actively pushing into newer markets like Minnesota, New York, New Jersey, Connecticut, and Pennsylvania. Blackstone (BX [https://seekingalpha.com/symbol/BX]) made a major investment in the brand to fuel that growth. Part of the chain's appeal is the 20K possible drink combinations delivered with a personal, high-energy drive-thru experience. Its rapid expansion pipeline, energetic “Brew Crew” culture, and social-media-friendly, highly customizable drinks have made it a favorite in suburban and small-city markets, especially among younger consumers.
BLACK ROCK COFFEE BAR - FRESH OFF AN IPO
The Oregon-founded chain went public in September 2025. Black Rock Coffee Bar (BRCB [https://seekingalpha.com/symbol/BRCB]) is targeting 20% annual growth through 2027, which would put it at 215 locations by the end of 2026 and 258 by 2027, with a long-term goal of 1,000 units by 2035. The Oregon-founded brand focuses on drive-thru-heavy formats, with about 72% of sales coming through the drive-up lane. The geographic focus has been growing the presence in Western and Sun Belt markets such as Arizona, Texas, and Colorado rather than racing into new states. The chain's mix of specialty coffee, branded energy drinks, and a community-oriented, youth-leaning vibe is working in its favor.
BLANK STREET - A TRENDY URBAN UPSTART TURNING HEADS
Starting as a coffee cart in Brooklyn in 2020, Blank Street reached over 90 U.S. locations by the end of 2025. The chain has a heavy focus on matcha drinks and has created strong buzz with younger, urban consumers. Blank Street is focusing on building a dense urban footprint and courting new customers with a tech-forward, value-oriented brand. Blank Street has a long list of notable backers, including General Catalyst, Tiger Global Management, and HOF Capital.
SCOOTER'S COFFEE - KEEPING IT SIMPLE IN THE MIDWEST
Scooter’s Coffee has quietly evolved into a major contender in the U.S. drive-thru segment, scaling from a few hundred units to a national franchise system with targets that include reaching 1K stores. The Midwest-focused strategy centers on compact, roughly 600-square-foot drive-thru kiosks that prioritize speed and operational simplicity. CEO Joe Thornton has stressed a data-first mindset, using it for decisions ranging from site selection to marketing strategy. Interestingly, Warren Buffett and Berkshire Hathaway (BRK.A [https://seekingalpha.com/symbol/BRK.A]) (BRK.B [https://seekingalpha.com/symbol/BRK.B]) passed on acquiring Scooter's in 2018 but pointed the company to Nebraska-based M-One Capital for funding.
LUCKIN COFFEE - TESTING THE WATERS IN MANHATTAN
Luckin Coffee (LKNCY [https://seekingalpha.com/symbol/LKNCY]) is testing the New York City market to see if its China model featuring heavy discounts, coupons delivered through a proprietary app, tech-driven operations with no cashiers, and a menu that blends familiar espresso drinks with distinctive hits like coconut lattes, colorful refresher beverages can gain traction.
MORE ON THE COFFEE CHAIN SECTOR
* Starbucks: The Comeback Has Started But The Growth Story Is Not Proven [https://seekingalpha.com/article/4903361-starbucks-the-comeback-has-started-but-the-growth-story-is-not-proven]
* Starbucks Earnings: Fully Caffeinated? [https://seekingalpha.com/article/4901857-starbucks-earnings-fully-caffeinated]
* Dutch Bros Inc. 2026 Q1 - Results - Earnings Call Presentation [https://seekingalpha.com/article/4899906-dutch-bros-inc-2026-q1-results-earnings-call-presentation]
* Starbucks conducting another round of corporate layoffs, closing regional offices [https://seekingalpha.com/news/4593800-starbucks-conducting-another-round-of-corporate-layoffs-closing-regional-offices]
* Starbucks perks up after TD Cowen turns bullish [https://seekingalpha.com/news/4592824-starbucks-perks-up-after-td-cowen-turns-bullish]
- Dutch Bros Enters Chicago Suburbs As Expansion And Margin Pressures Collide
May 16, 2026
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Dutch Bros (NYSE:BROS) has opened its first Chicago-area shop in Melrose Park. The launch marks the company’s initial entry into the broader Chicago suburbs and the Midwest. This follows recent acquisitions of large franchise operations in North Carolina and Phoenix, AZ.
Dutch Bros operates drive-through coffee shops focused on speed, customization, and a broad drink menu, and is now extending that model into the Chicago suburbs. For readers tracking the U.S. coffee sector, this move into a major Midwest metro sits alongside recent consolidation of franchise locations in North Carolina and Phoenix, AZ, which shifts more of the system under direct company control. Together, these changes indicate a period of operational reconfiguration that may influence how investors evaluate scale, brand reach, and unit economics.
The Melrose Park opening and recent franchise acquisitions present Dutch Bros as a company pursuing broader geographic reach beyond its core West Coast footprint. As the footprint widens into new regions, investor attention may focus on how consistently the company can replicate its format with different customer bases, manage capital allocation between new builds and acquired units, and balance expansion with store level performance.
Stay updated on the most important news stories for Dutch Bros by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Dutch Bros.NYSE:BROS Earnings & Revenue Growth as at May 2026
📰 Beyond the headline: 0 risks and 3 things going right for Dutch Bros that every investor should see.
For Dutch Bros, the Chicago suburb launch sits squarely within a broader push to scale company-operated stores across the U.S. while consolidating key franchise territories. The Melrose Park shop adds another high-traffic, commuter driven market to a footprint that already includes over 1,000 locations and recent acquisitions in North Carolina and Phoenix. For investors, that combination of organic openings and acquired drive-through sites points to a preference for tighter control over operations, pricing, and brand execution, which can matter for consistency in unit level economics when coffee and labor costs are elevated. At the same time, the move into Chicagoland puts Dutch Bros in closer day to day competition with Starbucks, Dunkin' and McDonald's in a dense, mature coffee market, which may test how well its drive through, beverage focused model travels outside its historical strongholds.
Story Continues
How This Fits Into The Dutch Bros Narrative
The Chicago suburb entry, together with Phoenix and Clutch Coffee Bar acquisitions, lines up with the narrative that Dutch Bros is using rapid store additions and company-operated control to support long term unit growth and higher average unit volumes. Expanding quickly into new regions while coffee costs are described by management as a major margin headwind could challenge assumptions that cost management alone will support higher margins as the store base increases. The specific competitive test of going up against entrenched operators in a large Midwest metro, and the operational work of integrating 29 Phoenix franchise shops, may not be fully captured in a high level growth story focused on national store counts.
Knowing what a company is worth starts with understanding its story. Check out one of the top narratives in the Simply Wall St Community for Dutch Bros to help decide what it's worth to you.
The Risks and Rewards Investors Should Consider
Rapid expansion into new markets, alongside the integration of acquired North Carolina and Phoenix shops, increases execution risk if new units or converted stores do not reach expected sales or profitability levels. Management has pointed to high coffee costs as the biggest headwind to long term margin goals, so adding more stores while absorbing commodity inflation could pressure profitability if pricing or traffic softens. The Melrose Park opening extends Dutch Bros into a large, diversified metro area, supporting the company’s plan to reach at least 1,800 plus stores over the next few years and test its concept across more geographies. First quarter 2026 results showed revenue of US$464.41 million and net income of US$16.1 million, alongside raised full year 2026 revenue guidance to US$2.05b to US$2.08b, which gives investors a clearer framework for thinking about how new shops and acquisitions feed into the top line.
What To Watch Going Forward
From here, pay attention to how the early Chicagoland shops perform relative to existing Illinois stores, whether acquired Phoenix and Clutch Coffee Bar locations track systemwide comparable sales of 8.3%, and how much of the higher coffee cost burden Dutch Bros continues to absorb in margins rather than passing through in price. It is also worth tracking management’s progress toward its 185 shop opening target for 2026 and the 2,029 shop goal for 2029, along with any updates to guidance if input costs or competitive behavior from Starbucks, Dunkin' and McDonald's shift the profit outlook.
To ensure you're always in the loop on how the latest news impacts the investment narrative for Dutch Bros, head to the community page for Dutch Bros to never miss an update on the top community narratives.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include BROS.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- 5 Revealing Analyst Questions From Dutch Bros’s Q1 Earnings Call
May 16, 2026
Dutch Bros delivered first quarter results that exceeded Wall Street’s revenue expectations, but the market responded negatively, reflecting concerns raised during the earnings call. Management attributed outperformance to strong transaction growth, continued expansion of its food platform, and the launch of new menu innovations like limited-time offers and energy drinks. CEO Christine Barone pointed out, “Our new food rollout continues to perform exceptionally well,” highlighting early results from expanded food offerings and robust customer engagement driven by new product drops and digital engagement.
Is now the time to buy BROS? Find out in our full research report (it’s free).
Dutch Bros (BROS) Q1 CY2026 Highlights:
Revenue: $464.4 million vs analyst estimates of $449.9 million (30.8% year-on-year growth, 3.2% beat) Adjusted EPS: $0.16 vs analyst estimates of $0.15 (in line) Adjusted EBITDA: $79.37 million vs analyst estimates of $74.02 million (17.1% margin, 7.2% beat) The company lifted its revenue guidance for the full year to $2.07 billion at the midpoint from $2.02 billion, a 2.5% increase EBITDA guidance for the full year is $375 million at the midpoint, above analyst estimates of $365.3 million Operating Margin: 7.4%, down from 8.7% in the same quarter last year Locations: 1,177 at quarter end, up from 1,012 in the same quarter last year Same-Store Sales rose 8.3% year on year (4.7% in the same quarter last year) Market Capitalization: $6.95 billion
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Dutch Bros’s Q1 Earnings Call
Jeffrey Bernstein (Barclays) asked about competitive threats from larger chains entering energy and refreshers. CEO Christine Barone emphasized Dutch Bros’ category leadership in customizable energy and differentiation through speed and customization. Sharon Zackfia (William Blair) inquired about Texas’ outsized same-store sales growth. Barone credited focused brand-building, paid media, and market densification as key drivers in that state. Brian Harbour (Morgan Stanley) probed the rationale behind Myst’s launch and its effect on market share. Barone explained distinct use cases and stated, “We believe we’re taking share both in the coffee market and the energy market.” Andrew Charles (TD Cowen) asked why Dutch Bros isn’t accelerating development given positive momentum. Barone responded that the operator pipeline and site availability are robust, but disciplined expansion remains the focus. Jon Tower (Citi) sought clarity on rising occupancy costs and whether shop design should evolve. CFO Josh Guenser said build-to-suit leases added about 50 basis points of margin pressure, while Barone reaffirmed the 900 square foot format’s adequacy for current operations.
Story Continues
Catalysts in Upcoming Quarters
In the coming quarters, the StockStory team will be watching (1) the pace and impact of the food program rollout on transaction growth and morning sales, (2) how new shop openings and market densification translate into sustained same-store sales performance, and (3) management’s ability to mitigate ongoing margin pressures from commodity and occupancy costs. We will also follow the adoption and performance of new beverage innovations like Myst.
Dutch Bros currently trades at $50.77, down from $59.06 just before the earnings. Is there an opportunity in the stock?See for yourself in our full research report (it’s free for active Edge members).
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- Uber Technologies Inc: A Major Exit in Robert Karr's Portfolio
May 15, 2026
This article first appeared on GuruFocus.
Insights from Robert Karr (Trades, Portfolio)'s First Quarter 2026 13F Filing
Warning! GuruFocus has detected 1 Warning Sign with MSFT. Is MSFT fairly valued? Test your thesis with our free DCF calculator.
Robert Karr (Trades, Portfolio) recently submitted the 13F filing for the first quarter of 2026, providing insights into his investment moves during this period. Robert Karr (Trades, Portfolio) founded Joho Capital in 1996. He is one of the Tiger Cubs, the hedge fund managers who learned from the legendary Julian Robertson at Tiger Management (Trades, Portfolio). At Tiger Management (Trades, Portfolio), his main focus was Asian equities. Karr tends to hold a concentrated portfolio in the area of new technologies, with a low portfolio turnover rate. Karr believes in the value of a simplistic approach to investing, focusing on a small number of long-term investments in order to conduct more in-depth research on each of the portfolio holdings.Uber Technologies Inc: A Major Exit in Robert Karr's Portfolio
Summary of New Buy
Robert Karr (Trades, Portfolio) added a total of 4 stocks, among them:
The most significant addition was Wix.com Ltd (NASDAQ:WIX), with 276,335 shares, accounting for 6.67% of the portfolio and a total value of $24.89 million. The second largest addition to the portfolio was Hubbell Inc (NYSE:HUBB), consisting of 23,900 shares, representing approximately 3.14% of the portfolio, with a total value of $11.73 million. The third largest addition was WeRide Inc (NASDAQ:WRD), with 787,636 shares, accounting for 1.71% of the portfolio and a total value of $6.37 million.
Key Position Increases
Robert Karr (Trades, Portfolio) also increased stakes in a total of 2 stocks, among them:
The most notable increase was Walmart Inc (NASDAQ:WMT), with an additional 99,000 shares, bringing the total to 119,850 shares. This adjustment represents a significant 474.82% increase in share count, a 3.3% impact on the current portfolio, with a total value of $14.89 million. The second largest increase was Amazon.com Inc (NASDAQ:AMZN), with an additional 2,300 shares, bringing the total to 266,800. This adjustment represents a significant 0.87% increase in share count, with a total value of $55.57 million.
Summary of Sold Out
Robert Karr (Trades, Portfolio) completely exited 3 of the holdings in the first quarter of 2026, as detailed below:
Uber Technologies Inc (NYSE:UBER): Robert Karr (Trades, Portfolio) sold all 901,900 shares, resulting in a -15.73% impact on the portfolio. Quanta Services Inc (NYSE:PWR): Robert Karr (Trades, Portfolio) liquidated all 4,110 shares, causing a -0.37% impact on the portfolio.
Story Continues
Key Position Reduces
Robert Karr (Trades, Portfolio) also reduced positions in 2 stocks. The most significant changes include:
Reduced Microsoft Corp (NASDAQ:MSFT) by 51,000 shares, resulting in a -14.19% decrease in shares and a -5.26% impact on the portfolio. The stock traded at an average price of $418.44 during the quarter and has returned 6.10% over the past 3 months and -11.95% year-to-date. Reduced Amphenol Corp (NYSE:APH) by 44,400 shares, resulting in a -56.57% reduction in shares and a -1.28% impact on the portfolio. The stock traded at an average price of $140.76 during the quarter and has returned -14.33% over the past 3 months and -6.99% year-to-date.
Portfolio Overview
At the first quarter of 2026, Robert Karr (Trades, Portfolio)'s portfolio included 10 stocks, with top holdings including 30.59% in Microsoft Corp (NASDAQ:MSFT), 19.26% in Dutch Bros Inc (NYSE:BROS), 17.22% in Taiwan Semiconductor Manufacturing Co Ltd (NYSE:TSM), 14.89% in Amazon.com Inc (NASDAQ:AMZN), and 6.67% in Wix.com Ltd (NASDAQ:WIX).Uber Technologies Inc: A Major Exit in Robert Karr's Portfolio
The holdings are mainly concentrated in 4 of all the 11 industries: Technology, Consumer Cyclical, Consumer Defensive, and Industrials.Uber Technologies Inc: A Major Exit in Robert Karr's Portfolio
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