UBS says Keurig Dr Pepper is undervalued and can jump more than 25% (2024)

FAQs

Is Keurig Dr Pepper undervalued? ›

Coupled with improved free cash flow conversion projected for the coming years and a price-to-earnings ratio that suggests the stock is undervalued, the overall narrative for KDP is looking increasingly positive, providing the rationale for the Buy recommendation.

At Keurig Dr Pepper, we stand against intolerance and inequality in any form, and we are committed to maintaining a safe and inclusive workplace that is free from discrimination and where employee actions are consistent with our standards and values.

Current and historical book value per share for Keurig Dr Pepper (KDP) from 2010 to 2023. Book value per share can be defined as the amount of equity available to shareholders expressed on a per common share basis. Keurig Dr Pepper book value per share for the three months ending December 31, 2023 was $18.47.

Keurig Dr Pepper has received a consensus rating of Moderate Buy. The company's average rating score is 2.70, and is based on 7 buy ratings, 3 hold ratings, and no sell ratings.

Strangely, Dr Pepper is only owned by Coca Cola in its European and South Korean markets. Everywhere else it is sold is managed by the Keurig Dr Pepper company.

The majority of Pepsi and co*ke bottlers bottling Dr Pepper are owned by PepsiCo and The Coca-Cola Company after their buyouts of their major bottlers. Presently, Keurig Dr Pepper relies on its own bottling group to bottle and distribute its products in more than 30 states.

Trading of Dr Pepper Snapple Group's shares commenced on May 7, 2008, on the NYSE as "DPS." On July 9, 2018, Keurig Green Mountain acquired Dr Pepper Snapple Group, and became Keurig Dr Pepper; the following day, the merged company began trading anew on the NYSE as "KDP."

Keurig Dr Pepper's competitors and similar companies include Kraft Heinz, Nestle, PepsiCo and The Coca-Cola Company. Keurig Dr Pepper is a beverage company in with a diverse portfolio of flavored soft drinks, including water, ready-to-drink tea and coffee, juice, juice drinks, mixers, and specialty coffee.

Shareholders of Dr Pepper Snapple Group own 13% of the combined company, with Keurig shareholder Mondelez International owning 13% to 14% of that fraction. JAB Holdings owns the remaining 73-74%. In 2021, Keurig Dr Pepper opened its second headquarters in Frisco, Texas.

What is Keurig Dr Pepper payout ratio? ›

As of 2023-12-31, Keurig Dr Pepper Inc's dividend payout ratio is 0.46.

Keurig Dr Pepper has a market cap or net worth of $44.07 billion as of April 23, 2024. Its market cap has decreased by -10.73% in one year.

Hedge funds don't have many shares in Keurig Dr Pepper. The company's largest shareholder is JAB Holdings B.V., with ownership of 20%. With 12% and 6.0% of the shares outstanding respectively, Capital Research and Management Company and The Vanguard Group, Inc. are the second and third largest shareholders.

Summary. This company has been included in the Fortune 500 list. Keurig Green Mountain and Dr Pepper Snapple Group merged to form Keurig Dr Pepper in 2018.

The company's east-coast division manufactures Keurig brewing systems; sources, produces, and sells coffee, hot cocoa, teas, and other beverages under various brands for its Keurig machines; and also sells coffee beans and ground coffee in bags and fractional packs.

Keurig Dr Pepper is part of JAB Holding Company S.A.R.L.. They spent under $100 million on advertising in digital, print, and national TV in the last year. They invest in premium ad units and advertised on over 250 different Media Properties in the last year across multiple Media formats.