Dutch Bros' (BROS) better-than-expected 2026 same-store-sales guidance leaves room for upside through the year, RBC Capital Markets said in a Thursday research report.

The company's newly opened non-drive through format location in Los Angeles could represent upside to its unit TAM of 7,000, analysts wrote.

Competition concerns are likely to loom over the coming quarters as McDonald's (MCD) launches new beverages across the US while Starbucks (SBUX) expands its custom energy offering, according to the note.

For 2026 and 2027, the brokerage said it lowered its revenue forecast for the company by 1.6% and 1%, respectively.

RBC said it reiterated its outperform rating on the stock and cut its price target to $75 per share from $80.

Price: 50.46, Change: -0.36, Percent Change: -0.71