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Dutch Bros executive chairman Travis Boersma sells over $4 million in company stock

Published 13/05/2024, 18:40
BROS
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Dutch Bros Inc. (NYSE:BROS) witnessed significant stock transactions by Executive Chairman Travis Boersma, as recent filings with the Securities and Exchange Commission showed sales totaling over $4 million. Boersma sold shares in two separate transactions on May 10, 2024, both under automatic trading plans.

In the first set of transactions, Boersma disposed of 57,586 shares of Class A Common Stock at an average price of $36.0306, resulting in a total value of approximately $2,074,858. The sales were executed in multiple transactions at prices ranging from $36.00 to $36.22. Following these transactions, the ownership by DM Trust Aggregator, LLC, indirectly associated with Boersma, stood at 2,143,918 shares.

The second set of transactions involved the sale of 57,692 shares, also of Class A Common Stock, at a slightly higher average price of $36.0344 per share, totaling around $2,078,896. These shares were similarly sold in a range of prices within the same bracket. After this sale, DM Individual Aggregator, LLC, another entity indirectly associated with Boersma, held 1,308,967 shares.

Both sets of transactions were carried out in accordance with Rule 10b5-1 trading plans, which had been previously adopted by the respective aggregators on August 15, 2023. These plans allow company insiders to establish pre-arranged plans to buy or sell specific amounts of stock at predetermined times.

The trading plans and transactions are part of the normal course of action for many executives and are often used to diversify their investment portfolios, manage tax liability, or liquidate assets for personal reasons. Investors typically monitor insider transactions for insights into executive confidence in the company's prospects, although these automated plans demonstrate pre-planned financial management rather than real-time decision-making.

Dutch Bros Inc., headquartered in Grants Pass, Oregon, operates in the retail food and beverage industry, particularly known for its drive-thru coffee establishments. As of the date of the transactions, the company's stock is publicly traded on the New York Stock Exchange under the ticker symbol BROS.

InvestingPro Insights

The recent insider transactions at Dutch Bros Inc. (NYSE:BROS) coincide with a period of notable financial metrics and market performance for the company. According to InvestingPro data, Dutch Bros boasts a market capitalization of approximately $5.57 billion USD, reflecting investor confidence in the brand's growth potential. The company has experienced a robust revenue growth of 33.09% over the last twelve months as of Q1 2024, outpacing industry averages and signaling strong business momentum.

InvestingPro Tips suggest that analysts are optimistic about Dutch Bros' future, expecting net income and sales to grow in the current year. This aligns with the company's impressive revenue growth of 39.46% in Q1 2024 alone. Additionally, the company's stock has shown significant returns, with a 27.13% increase over the last week and a 38.47% increase over the past year, indicating a bullish trend in the stock's performance.

For investors seeking a deeper analysis of Dutch Bros' financial health and future prospects, there are additional InvestingPro Tips available at https://www.investing.com/pro/BROS. These tips include insights on the company's valuation multiples, debt levels, and liquidity, which can provide a more comprehensive understanding of its position in the market. To access these expert analyses and more, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With 19 additional tips listed in InvestingPro, investors have a wealth of information at their fingertips to make informed decisions.

It's important to note that while Dutch Bros is trading at high valuation multiples, such as a Price / Book ratio of 15.13 as of Q1 2024, this may reflect the market's high expectations for the company's future growth. As the company continues to expand its footprint and innovate within the drive-thru coffee space, these metrics will be crucial for investors to watch.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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