Shares of Dutch Bros (NYSE: BROS) sank as much as 22% this week, according to data from S&P Global Market Intelligence. The drive-thru coffee and drinks chain posted strong growth in the first quarter, but it was well below analyst expectations. Shares of Dutch Bros closed down 20.4% this week and are now down 40% since going public in 2021.

In the first quarter, Dutch Bros revenue grew 30% year over year to $197.3 million after the company opened 45 new shops around the country. This fell well below analyst expectations of $208 million in revenue in the period, which sent shares of Dutch Bros down in the days following the report.

Investors were likely disappointed in Dutch Bros' same-store sales growth, which actually declined 2% from the prior year. However, for all of 2023, management expects the business to grow same-store sales in the low single digits even when compared to major price increases in 2022. Tracking same-store sales will be important in the coming quarters to analyze if traffic and spending at Dutch Bros stores are holding up.

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Source Fool.com