KEURIG DR PEPPER INC (KDP) Fundamental Analysis & Valuation

NASDAQ:KDP • US49271V1008

Current stock price

28.15 USD
-1.07 (-3.66%)
At close:
28.3 USD
+0.15 (+0.53%)
After Hours:

This KDP fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. KDP Profitability Analysis

1.1 Basic Checks

  • In the past year KDP was profitable.
  • KDP had a positive operating cash flow in the past year.
  • KDP had positive earnings in each of the past 5 years.
  • In the past 5 years KDP always reported a positive cash flow from operatings.
KDP Yearly Net Income VS EBIT VS OCF VS FCFKDP Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

1.2 Ratios

  • KDP's Return On Assets of 3.75% is in line compared to the rest of the industry. KDP outperforms 48.48% of its industry peers.
  • With a Return On Equity value of 8.15%, KDP perfoms like the industry average, outperforming 51.52% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 5.74%, KDP is doing worse than 63.64% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for KDP is significantly below the industry average of 11.89%.
  • The 3 year average ROIC (5.54%) for KDP is below the current ROIC(5.74%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 3.75%
ROE 8.15%
ROIC 5.74%
ROA(3y)3.54%
ROA(5y)3.53%
ROE(3y)7.53%
ROE(5y)7.38%
ROIC(3y)5.54%
ROIC(5y)5.44%
KDP Yearly ROA, ROE, ROICKDP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

1.3 Margins

  • The Profit Margin of KDP (12.52%) is better than 75.76% of its industry peers.
  • KDP's Profit Margin has improved in the last couple of years.
  • With a decent Operating Margin value of 22.38%, KDP is doing good in the industry, outperforming 78.79% of the companies in the same industry.
  • KDP's Operating Margin has declined in the last couple of years.
  • KDP's Gross Margin of 54.20% is fine compared to the rest of the industry. KDP outperforms 66.67% of its industry peers.
  • In the last couple of years the Gross Margin of KDP has remained more or less at the same level.
Industry RankSector Rank
OM 22.38%
PM (TTM) 12.52%
GM 54.2%
OM growth 3Y1.79%
OM growth 5Y-2.51%
PM growth 3Y7.02%
PM growth 5Y1.89%
GM growth 3Y1.29%
GM growth 5Y-0.75%
KDP Yearly Profit, Operating, Gross MarginsKDP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

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ROAROEROICOperating and Profit MarginShow most profitable peers

1

2. KDP Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KDP is destroying value.
  • KDP has about the same amout of shares outstanding than it did 1 year ago.
  • The number of shares outstanding for KDP has been reduced compared to 5 years ago.
  • KDP has a worse debt/assets ratio than last year.
KDP Yearly Shares OutstandingKDP Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B
KDP Yearly Total Debt VS Total AssetsKDP Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B 50B

2.2 Solvency

  • Based on the Altman-Z score of 1.39, we must say that KDP is in the distress zone and has some risk of bankruptcy.
  • KDP has a Altman-Z score (1.39) which is comparable to the rest of the industry.
  • KDP has a debt to FCF ratio of 11.49. This is a negative value and a sign of low solvency as KDP would need 11.49 years to pay back of all of its debts.
  • With a Debt to FCF ratio value of 11.49, KDP is not doing good in the industry: 60.61% of the companies in the same industry are doing better.
  • KDP has a Debt/Equity ratio of 0.63. This is a neutral value indicating KDP is somewhat dependend on debt financing.
  • KDP has a Debt to Equity ratio (0.63) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.63
Debt/FCF 11.49
Altman-Z 1.39
ROIC/WACC0.81
WACC7.05%
KDP Yearly LT Debt VS Equity VS FCFKDP Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

2.3 Liquidity

  • KDP has a Current Ratio of 0.64. This is a bad value and indicates that KDP is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Current ratio of KDP (0.64) is worse than 81.82% of its industry peers.
  • A Quick Ratio of 0.43 indicates that KDP may have some problems paying its short term obligations.
  • KDP has a worse Quick ratio (0.43) than 69.70% of its industry peers.
Industry RankSector Rank
Current Ratio 0.64
Quick Ratio 0.43
KDP Yearly Current Assets VS Current LiabilitesKDP Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. KDP Growth Analysis

3.1 Past

  • The Earnings Per Share has been growing slightly by 3.06% over the past year.
  • Measured over the past 5 years, KDP shows a small growth in Earnings Per Share. The EPS has been growing by 7.93% on average per year.
  • Looking at the last year, KDP shows a quite strong growth in Revenue. The Revenue has grown by 8.16% in the last year.
  • KDP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.40% yearly.
EPS 1Y (TTM)3.06%
EPS 3Y6.86%
EPS 5Y7.93%
EPS Q2Q%-7.14%
Revenue 1Y (TTM)8.16%
Revenue growth 3Y5.71%
Revenue growth 5Y7.4%
Sales Q2Q%9.38%

3.2 Future

  • Based on estimates for the next years, KDP will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.84% on average per year.
  • The Revenue is expected to grow by 15.57% on average over the next years. This is quite good.
EPS Next Y12.98%
EPS Next 2Y11.65%
EPS Next 3Y9.92%
EPS Next 5Y8.84%
Revenue Next Year58.79%
Revenue Next 2Y34.72%
Revenue Next 3Y23.4%
Revenue Next 5Y15.57%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
KDP Yearly Revenue VS EstimatesKDP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B
KDP Yearly EPS VS EstimatesKDP Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 1 2 3 4

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6

4. KDP Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 13.94, which indicates a correct valuation of KDP.
  • KDP's Price/Earnings ratio is a bit cheaper when compared to the industry. KDP is cheaper than 78.79% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.35, KDP is valued a bit cheaper.
  • Based on the Price/Forward Earnings ratio of 11.02, the valuation of KDP can be described as reasonable.
  • KDP's Price/Forward Earnings ratio is rather cheap when compared to the industry. KDP is cheaper than 90.91% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 22.23. KDP is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 13.94
Fwd PE 11.02
KDP Price Earnings VS Forward Price EarningsKDP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, KDP is valued a bit cheaper than the industry average as 60.61% of the companies are valued more expensively.
  • KDP's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 25.7
EV/EBITDA 12.42
KDP Per share dataKDP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 -10

4.3 Compensation for Growth

  • KDP's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The decent profitability rating of KDP may justify a higher PE ratio.
PEG (NY)1.07
PEG (5Y)1.76
EPS Next 2Y11.65%
EPS Next 3Y9.92%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. KDP Dividend Analysis

5.1 Amount

  • KDP has a Yearly Dividend Yield of 3.15%.
  • Compared to an average industry Dividend Yield of 1.69, KDP pays a bit more dividend than its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.82, KDP pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.15%

5.2 History

  • The dividend of KDP is nicely growing with an annual growth rate of 8.89%!
  • KDP has been paying a dividend for at least 10 years, so it has a reliable track record.
  • KDP has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)8.89%
Div Incr Years5
Div Non Decr Years6
KDP Yearly Dividends per shareKDP Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 20 40 60 80 100

5.3 Sustainability

  • KDP pays out 60.13% of its income as dividend. This is not a sustainable payout ratio.
  • KDP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP60.13%
EPS Next 2Y11.65%
EPS Next 3Y9.92%
KDP Yearly Income VS Free CF VS DividendKDP Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B
KDP Dividend Payout.KDP Dividend Payout, showing the Payout Ratio.KDP Dividend Payout.PayoutRetained Earnings

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KDP Fundamentals: All Metrics, Ratios and Statistics

KEURIG DR PEPPER INC

NASDAQ:KDP (4/27/2026, 10:06:50 PM)

After market: 28.3 +0.15 (+0.53%)

28.15

-1.07 (-3.66%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)04-23
Earnings (Next)07-22
Inst Owners97.39%
Inst Owner Change-0.01%
Ins Owners0.62%
Ins Owner Change0.07%
Market Cap38.25B
Revenue(TTM)16.60B
Net Income(TTM)2.08B
Analysts74.29
Price Target35.3 (25.4%)
Short Float %4.15%
Short Ratio5.05
Dividend
Industry RankSector Rank
Dividend Yield 3.15%
Yearly Dividend0.92
Dividend Growth(5Y)8.89%
DP60.13%
Div Incr Years5
Div Non Decr Years6
Ex-Date03-27
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.24%
Min EPS beat(2)-0.38%
Max EPS beat(2)0.86%
EPS beat(4)2
Avg EPS beat(4)2.25%
Min EPS beat(4)-0.38%
Max EPS beat(4)8.75%
EPS beat(8)4
Avg EPS beat(8)2.08%
EPS beat(12)8
Avg EPS beat(12)1.9%
EPS beat(16)8
Avg EPS beat(16)1.17%
Revenue beat(2)2
Avg Revenue beat(2)2.41%
Min Revenue beat(2)2.13%
Max Revenue beat(2)2.69%
Revenue beat(4)3
Avg Revenue beat(4)1.33%
Min Revenue beat(4)-0.36%
Max Revenue beat(4)2.69%
Revenue beat(8)5
Avg Revenue beat(8)0.45%
Revenue beat(12)7
Avg Revenue beat(12)0.32%
Revenue beat(16)9
Avg Revenue beat(16)0.47%
PT rev (1m)-1.14%
PT rev (3m)-0.25%
EPS NQ rev (1m)1.06%
EPS NQ rev (3m)-12.9%
EPS NY rev (1m)0.16%
EPS NY rev (3m)5.66%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)0.23%
Revenue NY rev (1m)-0.21%
Revenue NY rev (3m)51.56%
Valuation
Industry RankSector Rank
PE 13.94
Fwd PE 11.02
P/S 2.3
P/FCF 25.7
P/OCF 19.21
P/B 1.5
P/tB N/A
EV/EBITDA 12.42
EPS(TTM)2.02
EY7.18%
EPS(NY)2.56
Fwd EY9.08%
FCF(TTM)1.1
FCFY3.89%
OCF(TTM)1.47
OCFY5.21%
SpS12.22
BVpS18.78
TBVpS-13.58
PEG (NY)1.07
PEG (5Y)1.76
Graham Number29.2157 (3.79%)
Profitability
Industry RankSector Rank
ROA 3.75%
ROE 8.15%
ROCE 7.88%
ROIC 5.74%
ROICexc 5.86%
ROICexgc 64.38%
OM 22.38%
PM (TTM) 12.52%
GM 54.2%
FCFM 8.96%
ROA(3y)3.54%
ROA(5y)3.53%
ROE(3y)7.53%
ROE(5y)7.38%
ROIC(3y)5.54%
ROIC(5y)5.44%
ROICexc(3y)5.61%
ROICexc(5y)5.51%
ROICexgc(3y)100.95%
ROICexgc(5y)N/A
ROCE(3y)7.59%
ROCE(5y)7.35%
ROICexgc growth 3Y-47.66%
ROICexgc growth 5YN/A
ROICexc growth 3Y4.06%
ROICexc growth 5Y1.78%
OM growth 3Y1.79%
OM growth 5Y-2.51%
PM growth 3Y7.02%
PM growth 5Y1.89%
GM growth 3Y1.29%
GM growth 5Y-0.75%
F-Score7
Asset Turnover0.3
Health
Industry RankSector Rank
Debt/Equity 0.63
Debt/FCF 11.49
Debt/EBITDA 3.72
Cap/Depr 84.82%
Cap/Sales 3.03%
Interest Coverage 6.26
Cash Conversion 46.21%
Profit Quality 71.57%
Current Ratio 0.64
Quick Ratio 0.43
Altman-Z 1.39
F-Score7
WACC7.05%
ROIC/WACC0.81
Cap/Depr(3y)95.38%
Cap/Depr(5y)88.07%
Cap/Sales(3y)3.44%
Cap/Sales(5y)3.32%
Profit Quality(3y)73.76%
Profit Quality(5y)101.03%
High Growth Momentum
Growth
EPS 1Y (TTM)3.06%
EPS 3Y6.86%
EPS 5Y7.93%
EPS Q2Q%-7.14%
EPS Next Y12.98%
EPS Next 2Y11.65%
EPS Next 3Y9.92%
EPS Next 5Y8.84%
Revenue 1Y (TTM)8.16%
Revenue growth 3Y5.71%
Revenue growth 5Y7.4%
Sales Q2Q%9.38%
Revenue Next Year58.79%
Revenue Next 2Y34.72%
Revenue Next 3Y23.4%
Revenue Next 5Y15.57%
EBIT growth 1Y9.42%
EBIT growth 3Y7.6%
EBIT growth 5Y4.7%
EBIT Next Year54.95%
EBIT Next 3Y21.94%
EBIT Next 5Y11.73%
FCF growth 1Y-6.83%
FCF growth 3Y-15.41%
FCF growth 5Y-5.16%
OCF growth 1Y-10.27%
OCF growth 3Y-11.13%
OCF growth 5Y-4.11%

KEURIG DR PEPPER INC / KDP Fundamental Analysis FAQ

What is the fundamental rating for KDP stock?

ChartMill assigns a fundamental rating of 4 / 10 to KDP.


What is the valuation status for KDP stock?

ChartMill assigns a valuation rating of 6 / 10 to KEURIG DR PEPPER INC (KDP). This can be considered as Fairly Valued.


How profitable is KEURIG DR PEPPER INC (KDP) stock?

KEURIG DR PEPPER INC (KDP) has a profitability rating of 6 / 10.


Can you provide the expected EPS growth for KDP stock?

The Earnings per Share (EPS) of KEURIG DR PEPPER INC (KDP) is expected to grow by 12.98% in the next year.


Is the dividend of KEURIG DR PEPPER INC sustainable?

The dividend rating of KEURIG DR PEPPER INC (KDP) is 6 / 10 and the dividend payout ratio is 60.13%.