RBC says competitor beverage innovation unlikely to challenge Dutch Bros

RBC Capital keeps an Outperform rating and $75 price target on Dutch Bros (BROS) as part of a broader research note on Restaurants previewing Q1 results. Competitor beverage innovation is unlikely to be a material headwind to traffic, which has been key pillar of bear case and impossible to disprove until competitors roll out new products this year, the analyst tells investors in a research note. RBC further notes that demand is more durable vs. broader restaurant category and hence more insulated to downside Middle-East scenario.