Dutch Bros Inc-Class A (NYSE:BROS) – A Strong Growth Candidate Meeting Minervini’s Criteria

Last update: Jun 13, 2025

Dutch Bros Inc-Class A (NYSE:BROS) has been identified as a high-growth momentum stock that aligns with Mark Minervini’s Trend Template. The company operates and franchises drive-thru beverage shops, specializing in handcrafted coffee, energy drinks, and other customizable beverages. With strong technicals and accelerating fundamentals, BROS presents an interesting opportunity for growth-focused investors.

Why BROS Fits the Minervini Trend Template

The Minervini Trend Template is designed to identify stocks in strong uptrends with favorable risk/reward setups. BROS meets all key criteria:

Price Above Key Moving Averages:
- Current price ($71.40) is above the 50-day ($64.48), 150-day ($61.48), and 200-day ($54.40) moving averages.
- The 50-day MA is above both the 150-day and 200-day MAs, confirming bullish momentum.
- Both the 150-day and 200-day MAs are trending upward.
Strong Relative Strength:
- BROS has a ChartMill Relative Strength (CRS) score of 94.26, meaning it outperforms 94% of all stocks.
- It also ranks in the top 9% of its industry (Hotels, Restaurants & Leisure).
Price Near 52-Week High:
- The stock is currently 17.8% below its 52-week high ($86.88) but 164.8% above its 52-week low ($26.96).
- This indicates sustained upward momentum without being excessively extended.

High Growth Fundamentals

Beyond technical strength, BROS exhibits strong growth metrics that appeal to momentum investors:

Earnings Growth:
- EPS (TTM) grew 40% YoY, with recent quarterly EPS growth of 55.6%.
- The company has beaten EPS estimates in all of the last four quarters, with an average beat of 82.2%.
Revenue Growth:
- Revenue (TTM) increased 30.4% YoY, with consistent quarterly growth (29.1% last quarter).
- Revenue estimates for the next quarter and year have been revised upward by analysts.
Improving Profit Margins:
- Quarterly profit margins expanded from 1.05% to 4.32% over the past two quarters.
- Full-year margins improved from 0.18% to 2.75%, signaling operational efficiency gains.

Technical Setup & Risk Considerations

The stock is consolidating after a strong run, with support around $70.28 (near the 20-day SMA). A breakout above $73.73 could signal the next leg higher. However, traders should monitor:

Market sentiment, as the stock has pulled back slightly in recent weeks.
Broader sector performance, given its high relative strength within the restaurant industry.

For a deeper technical breakdown, review the full technical analysis report for BROS.

Our High Growth Momentum + Trend Template screener lists more stocks with similar growth and technical strength.

Disclaimer

This is not investment advice. The observations are based on current data, but market conditions can change. Always conduct your own research before making investment decisions.