3 Ways This Little-Known Company Is Running Laps Around Starbucks

With a $110 cardinal marketplace cap, gross of $9.9 cardinal successful the archetypal 4th of fiscal 2026 (ended Dec. 28, 2025), and much than 41,000 stores worldwide, Starbucks (NASDAQ: SBUX) is the king of the retail java market. But the user favourite hasn't been operating astatine afloat strength. And CEO Brian Niccol is trying to crook things around, arsenic shares commercialized 23% beneath their highest (as of Feb. 4).

Investors tin find a much breathtaking accidental elsewhere successful the industry. There's a little-known coffee stock that's moving laps astir Starbucks.

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Here are 3 things to know.

Dutch Bros (NYSE: BROS) generates astir 75% of its gross aft 10 a.m. This contrasts with the starring chains, which get fractional of their income aft 10 a.m.

The vantage for Dutch Bros is that its request is much dispersed retired passim the day. This tin marque it easier for store absorption teams to unit their locations and grip lawsuit traffic. And its dependable income enactment the company's extremity of $1.8 cardinal successful mean yearly portion volumes. What's more, Dutch Bros is astir apt attracting a antithetic benignant of lawsuit than the idiosyncratic commuting to enactment successful the morning.

Meanwhile, Dutch Bros sees accidental and is utilizing nutrient to people a bigger audience.

"As we grow the nutrient programme passim 2026, we're aiming to beryllium a one-stop store during the greeting daypart," CEO Christine Barone said connected the Q3 2025 net call.

Before reporting same-store income maturation successful Q4 2025, Starbucks posted six consecutive quarters of declines. This metric indicates the show of existing locations connected a year-over-year basis, and maturation indicates operational health.

At the aforesaid time, Dutch Bros registered same-store income increases successful 12 consecutive quarters, a streak that's inactive active. It's lasting retired successful the industry.

Starbucks' guidance calls for same-store income to emergence 3% successful fiscal 2026, an encouraging trend. This outlook besides bodes good for Dutch Bros.

Investors mightiness not beryllium excessively acquainted with Dutch Bros fixed its comparatively tiny marketplace headdress of $9 cardinal and the information that it had conscionable 1,081 locations arsenic of Sept. 30, 2025. It's tiny compared to its bigger peer.

This setup conscionable means determination is overmuch much country for expansion. The Dutch Bros enactment squad believes determination is country for 7,000 stores successful the U.S. There is meaningful abstraction successful the eastbound and bluish parts of the country. If the concern starts to recognize its potential, gross and net are acceptable to soar.