Why You Should Buy the Dip in Dutch Bros Stock
Investors did not react positively to Dutch Bros (NYSE: BROS) stock following the release of the company's earnings report for the first quarter of 2022. Disappointment in same-store sales levels led to a 12% sell-off in the next trading session, taking the stock close to its record lows.
Nonetheless, Dutch Bros is maintaining a rapid pace of expansion, a factor keeping overall revenue growth at high levels. Despite struggles with same-store sales, that expansion is likely a compelling reason to treat the dip in the coffee stock as a buying opportunity. A closer look at the Q1 results reveals why.
For all of its problems, the rapid growth is continuing for Dutch Bros. Revenue came in at $197 million, rising 30% versus the first quarter of 2022. Continued expansion brought about the increase, which included 144 new shop openings over the previous 12 months.
Source Fool.com
