Dutch Bros vs Starbucks

Explore a detailed comparison between Dutch Bros Inc. and Starbucks Corporation. This analysis examines their respective business models, financial performance, and broader market context, providing insights into their positions within the competitive beverage industry. Educational content, not financial advice.

Explore a detailed comparison between Dutch Bros Inc. and Starbucks Corporation. This analysis examines their respective business models, financial performance, and broader market context, providing i...

Comparison Snapshot

Key Financial Metrics

BROS

Metric

SBUX

$9.18B

Market Cap

$104.46B

42.75%

Potential Profit

3.24%

Buy

Analyst Rating

Buy

Why It's Moving

Starbucks Powers Ahead with Q1 Sales Surge and China Pivot Despite Margin Squeeze.

Q1 revenues climbed 6% to $9.9B, beating forecasts, with comp sales accelerating to +4% globally (U.S. +4%, China +7%), signaling demand rebound.
China shift to licensed JV model, retaining 40% stake while targeting 20,000 stores, aims to turbocharge expansion without heavy capital outlay.
FY2026 outlook calls for 3%+ comps, 600-650 new stores, and non-GAAP EPS $2.15-$2.40, plus $0.62 dividend, as Starbucks eyes margin recovery in H2.
sentiment_tag

Sentiment:

⚖️Neutral

Starbucks Powers Ahead with Q1 Sales Surge and China Pivot Despite Margin Squeeze.

Q1 revenues climbed 6% to $9.9B, beating forecasts, with comp sales accelerating to +4% globally (U.S. +4%, China +7%), signaling demand rebound.
China shift to licensed JV model, retaining 40% stake while targeting 20,000 stores, aims to turbocharge expansion without heavy capital outlay.
FY2026 outlook calls for 3%+ comps, 600-650 new stores, and non-GAAP EPS $2.15-$2.40, plus $0.62 dividend, as Starbucks eyes margin recovery in H2.
sentiment_tag

Sentiment:

⚖️Neutral

Investment Analysis

Dutch Bros

BROS

Pros

Dutch Bros exhibits robust same-store sales growth through its drive-thru model and digital engagement.
Company anticipates 24.2% sales growth and 27.6% EPS increase in 2026 per consensus estimates.
Stock has outperformed industry with 4.7% year-to-date gain amid sector decline.

Considerations

Elevated P/E ratio of 129x exceeds industry average of 22.81x and fair value estimate.
DCF analysis indicates 37.1% overvaluation relative to intrinsic value of $46 per share.
Higher volatility at 14.91% signals greater price fluctuation risk than peers.

Starbucks

SBUX

Pros

Established global brand supports steady dividend yield of 2.75% over trailing twelve months.
Ongoing operational reset targets U.S. transaction recovery and international expansion.
Lower volatility of 12.09% offers relatively more stable price performance.

Considerations

Persistent U.S. traffic weakness hampers transaction momentum and margin recovery.
Stock has declined 12% over past 12 months, underperforming Dutch Bros significantly.
Earnings estimates reflect softening trends amid operational challenges and slower recovery.

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