Why Dutch Bros Stock Rallied 16% at the Open Today
Shares of Dutch Bros (NYSE: BROS), a coffee chain predominantly located in the western half of the United States, rose a dramatic 16% in early trading on Nov. 11. That said, by roughly 12 noon EST the stock had given back around half of that gain and was sitting with an advance of about 8%. The big news was the company's Nov. 10 earnings release after the close.
Dutch Bros held its initial public offering (IPO) on Sept. 17, meaning the third-quarter earnings release was its first as a public company. The big takeaway is that there's a fair amount of noise in the numbers. Regardless of that fact, investors appeared to like what they saw. And with good reason, noting that the coffee company is still in growth mode. Notably, it opened 33 new locations in the third quarter alone and now has over 500 shops.
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Source Fool.com
