Think It's Too Late to Buy Dutch Bros Stock? Here's the Biggest Reason There's Still Time.

Coffee chain Dutch Bros (NYSE: BROS) is on a roll, and I don't mean with ham and cheese. The stock has more than doubled in six months as Dutch Bros keeps crushing earnings and revenue estimates in every quarterly report.But many investors look at Dutch Bros' stock with a wistful sigh these days. The price chart is skyrocketing, shares are changing hands at nosebleed-inducing price-to-earnings (P/E) ratios, and it must be too late to jump on this bandwagon. After all, who needs another national chain of coffee stores? Surely, there can't be much room for big gains from this lofty level.I'll admit that Dutch Bros faces a challenging market, with sector giant Starbucks (NASDAQ: SBUX) attempting a turnaround and Chinese peer Luckin Coffee (OTC: LKNC.Y) planning an American expansion. But the American coffee market is a massive $67 billion pot of annual revenue, with more than 40% of those tasty sales flowing into 18,537 Starbucks locations.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool