Investor Insight: Keurig Dr Pepper Inc. (KDP) Goes Ballistic – Investor Confidence on the Rise

Keurig Dr Pepper Inc. (NASDAQ:KDP) shares traded -1.55% lower at $31.86 on Wall Street last session.

In accordance with the data, 21 analysts cover Keurig Dr Pepper Inc. (NASDAQ:KDP). The consensus rating among analysts is ‘Overweight’. As we calculate the median target price by taking the range between a high of $45.00 and a low of $30.00, we find $39.00. Given the previous closing price of $32.36, this indicates a potential upside of 20.52 percent. KDP stock price is now -7.60% away from the 50-day moving average and -12.63% away from the 200-day moving average. The market capitalization of the company currently stands at $44.40B.

It has been rated a hold by 11 analysts and a buy by 7. Brokers who have rated the stock have averaged $38.68 as their price target over the next twelve months.

With the price target of $37, Citigroup recently initiated with Neutral rating for Keurig Dr Pepper Inc. (NASDAQ: KDP). On October 31, 2022, Truist Downgraded its previous ‘Hold’ rating to ‘Sell’ on the stock reducing its target price from $40 to quote $30, while ‘Wedbush’ rates the stock as ‘Outperform’.

In other news, Shoemaker Anthony, Chief Legal Officer bought 5,746 shares of the company’s stock on May 11. The stock was bought for $186,400 at an average price of $32.44. Upon completion of the transaction, the Chief Legal Officer now directly owns 82,000 shares in the company, valued at $2.61 million. An SEC document containing details of the transaction can be found on the SEC’s website. On May 11, President, Commercial Archambault Matthew Andrew sold 14,000 shares of the business’s stock. A total of $453,460 was realized by selling the stock at an average price of $32.39. This leaves the insider owning 40,878 shares of the company worth $1.3 million. Insiders disposed of 63,735,151 shares of company stock worth roughly $2.03 billion over the past 1 year. A total of 37.20% of the company’s stock is owned by insiders.

There have been several recent changes in the stakes of large investors in KDP stock. A new stake in Keurig Dr Pepper Inc. shares was purchased by CITADEL ADVISORS LLC during the first quarter worth $215,105,000. BALYASNY ASSET MANAGEMENT L.P. invested $126,875,000 in shares of KDP during the first quarter. In the first quarter, TWO SIGMA INVESTMENTS, LP acquired a new stake in Keurig Dr Pepper Inc. valued at approximately $103,931,000. DAVIDSON KEMPNER CAPITAL MANAGEMENT LP acquired a new stake in KDP for approximately $52,986,000. DAVIDSON KEMPNER PARTNERS purchased a new stake in KDP valued at around $52,986,000 in the second quarter. In total, there are 1,046 active investors with 54.10% ownership of the company’s stock.

Keurig Dr Pepper Inc. (NASDAQ: KDP) opened at $32.34 on Tuesday. During the past 12 months, Keurig Dr Pepper Inc. has had a low of $31.90 and a high of $41.31. As of last week, the company has a debt-to-equity ratio of 0.52, a current ratio of 0.40, and a quick ratio of 0.20. According to the stock market information, the enterprise value for the company is $59.56B, which is based on a 34.33 price-to-earnings ratio, a 5.53 price-to-earnings-growth ratio, and a beta of 0.61. The fifty day moving average price for KDP is $34.42 and a two-hundred day moving average price translates $36.43 for the stock.

The latest earnings results from Keurig Dr Pepper Inc. (NASDAQ: KDP) was released for Mar, 2023. According to the Beverages – Non-Alcoholic Company, earnings per share came in at $0.34, beating analysts’ expectations of $0.33 by 0.01. This compares to $0.41 EPS in the same period last year. The net profit margin was 9.20% and return on equity was 5.20% for KDP. The company reported revenue of $3.35 billion for the quarter, compared to $3.08 billion a year earlier. Comparatively to last year’s same quarter, the company’s quarterly revenue rose 8.93 percent. For the current quarter, analysts expect KDP to generate $3.71B in revenue.

Moreover, the firm recently paid out its quarterly dividend on 04/14/2023. Investors who held shares on 03/31/2023 were paid a $0.20 dividend. On an annualized basis, this represents a $0.80 dividend and a 2.51% percent yield. There was an ex-dividend date of 03/30/2023 for this dividend. In terms of dividend payout ratio, KDP is presently at 84.40%.

Keurig Dr Pepper Inc.(KDP) Company Profile

Keurig Dr Pepper Inc. operates as a beverage company in the United States and internationally. It operates through four segments: Coffee Systems, Packaged Beverages, Beverage Concentrates, and Latin America Beverages. The Coffee Systems segment manufactures and distributes various finished goods related to its coffee systems, K-Cup pods, and brewers, as well as specialty coffee. This segment sells its brewers through third-party distributors and retail partners, as well as through its website at keurig.com. The Packaged Beverages segment engages in the manufacture and distribution of packaged beverages of company’s brands; contract manufacturing of various private label and emerging brand beverages; and distribution of packaged beverages for partner brands. The Beverage Concentrates segment manufactures and sells beverage concentrates primarily under the Dr Pepper, Canada Dry, Schweppes, Crush, A&W, Sunkist, 7UP, SunDrop, Squirt, Big Red, Hawaiian Punch, and RC Cola brands. This segment also manufactures beverage concentrates into syrup. The Latin America Beverages segment manufactures and distributes carbonated mineral water, flavored carbonated soft drinks, bottled water, and vegetable juice products under the Peñafiel, Clamato, Squirt, Mott’s, Dr Pepper, Crush, and Aguafiel brands. The company serves retailers, bottlers and distributors, restaurants, hotel chains, office coffee distributors, and end-use consumers. Keurig Dr Pepper Inc. was founded in 1981 and is headquartered in Burlington, Massachusetts.