An insider at Dutch Bros Inc. (NYSE:BROS), a company known for its drive-thru coffee establishments, has sold a significant number of shares, according to a recent SEC filing. The transaction, which took place on May 29, 2024, involved the sale of 248,346 shares of Class A Common Stock at a weighted average price of $36.2139 per share. This sale amounted to a total of approximately $8.99 million.
The insider, DM Trust Aggregator, LLC, which is a ten percent owner of Dutch Bros Inc., carried out the sale automatically pursuant to a Rule 10b5-1 trading plan. This plan was previously adopted on August 15, 2023. Rule 10b5-1 allows company insiders to set up a predetermined plan to sell company stocks at a time when they are not in possession of material non-public information, providing a defense against accusations of insider trading.
The shares were sold in multiple transactions with prices ranging from $36 to $36.42. Following this transaction, DM Trust Aggregator, LLC's stake in Dutch Bros Inc. has been adjusted to 1,008,992 shares of Class A Common Stock.
Investors and followers of Dutch Bros Inc. can request detailed information from the reporting person about the number of shares sold at each price within the specified range. This sale is a notable change in the ownership structure of the company and is publicly documented for transparency with the SEC and stakeholders.
The attorney-in-fact for Travis Boersma, the manager of DM Trust Aggregator, LLC, signed the SEC filing on May 31, 2024.
InvestingPro Insights
As Dutch Bros Inc. (NYSE:BROS) navigates through a significant insider sale, investors are keenly observing the company's financial health and market performance. Current data from InvestingPro reveals a mixed picture that could influence investor sentiment.
The company's market capitalization stands at $5.57 billion, reflecting its substantial presence in the industry. Despite a high price-to-earnings (P/E) ratio of 204.72, which indicates that the stock might be trading at a premium, Dutch Bros Inc. is experiencing robust revenue growth. The last twelve months as of Q1 2024 have seen a 33.09% increase in revenue, suggesting that the company's top-line is expanding significantly.
InvestingPro Tips highlight that Dutch Bros Inc. is expected to see net income growth this year, with analysts also anticipating sales growth in the current year. This could be a sign that the company is on a positive trajectory, despite the insider sale. Moreover, Dutch Bros Inc. has demonstrated strong returns over the last six months, with a 33.48% increase in its stock price, which may reassure investors about the company's market performance.
To gain deeper insights into Dutch Bros Inc. and access additional InvestingPro Tips, investors can visit https://www.investing.com/pro/BROS. There are 17 additional tips available that can provide a more comprehensive view of the company's financial standing and market potential. For those considering an InvestingPro subscription, use the coupon code PRONEWS24 to receive an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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