29.51 USD
+0.04 (+0.14%)
29.51 USD
0 (0%)
Taking everything into account, KDP scores 4 out of 10 in our fundamental rating. KDP was compared to 34 industry peers in the Beverages industry. KDP has a medium profitability rating, but doesn't score so well on its financial health evaluation. KDP has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
KDP had positive earnings in the past year.
In the past year KDP had a positive cash flow from operations.
In the past 5 years KDP has always been profitable.
Each year in the past 5 years KDP had a positive operating cash flow.
1.2 Ratios
KDP's Return On Assets of 2.90% is in line compared to the rest of the industry. KDP outperforms 44.12% of its industry peers.
KDP has a Return On Equity of 6.25%. This is comparable to the rest of the industry: KDP outperforms 41.18% of its industry peers.
KDP's Return On Invested Capital of 5.64% is on the low side compared to the rest of the industry. KDP is outperformed by 61.76% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for KDP is significantly below the industry average of 11.55%.
The 3 year average ROIC (5.40%) for KDP is below the current ROIC(5.64%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.9% | ||
| ROE | 6.25% | ||
| ROIC | 5.64% |
ROA(3y)3.22%
ROA(5y)3.31%
ROE(3y)6.72%
ROE(5y)6.86%
ROIC(3y)5.4%
ROIC(5y)5.42%
1.3 Margins
KDP has a better Profit Margin (9.78%) than 67.65% of its industry peers.
KDP's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 21.91%, KDP is in the better half of the industry, outperforming 79.41% of the companies in the same industry.
KDP's Operating Margin has been stable in the last couple of years.
KDP's Gross Margin of 54.76% is fine compared to the rest of the industry. KDP outperforms 70.59% 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 Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.91% | ||
| PM (TTM) | 9.78% | ||
| GM | 54.76% |
OM growth 3Y-3.77%
OM growth 5Y0.83%
PM growth 3Y-17.83%
PM growth 5Y-3.6%
GM growth 3Y0.21%
GM growth 5Y-0.52%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KDP is destroying value.
KDP has less shares outstanding than it did 1 year ago.
KDP has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, KDP has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.41, we must say that KDP is in the distress zone and has some risk of bankruptcy.
KDP's Altman-Z score of 1.41 is in line compared to the rest of the industry. KDP outperforms 44.12% of its industry peers.
KDP has a debt to FCF ratio of 10.44. This is a negative value and a sign of low solvency as KDP would need 10.44 years to pay back of all of its debts.
The Debt to FCF ratio of KDP (10.44) is worse than 64.71% of its industry peers.
KDP has a Debt/Equity ratio of 0.62. This is a neutral value indicating KDP is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.62, KDP is in line with its industry, outperforming 44.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 10.44 | ||
| Altman-Z | 1.41 |
ROIC/WACC0.8
WACC7.09%
2.3 Liquidity
A Current Ratio of 0.62 indicates that KDP may have some problems paying its short term obligations.
The Current ratio of KDP (0.62) is worse than 82.35% of its industry peers.
KDP has a Quick Ratio of 0.62. This is a bad value and indicates that KDP is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.36, KDP is doing worse than 82.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.36 |
3. Growth
3.1 Past
KDP shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.41%.
KDP shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.49% yearly.
The Revenue has been growing slightly by 6.77% in the past year.
Measured over the past years, KDP shows a small growth in Revenue. The Revenue has been growing by 6.66% on average per year.
EPS 1Y (TTM)7.41%
EPS 3Y6.27%
EPS 5Y9.49%
EPS Q2Q%5.88%
Revenue 1Y (TTM)6.77%
Revenue growth 3Y6.57%
Revenue growth 5Y6.66%
Sales Q2Q%10.67%
3.2 Future
Based on estimates for the next years, KDP will show a small growth in Earnings Per Share. The EPS will grow by 7.11% on average per year.
KDP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.32% yearly.
EPS Next Y7.54%
EPS Next 2Y6.8%
EPS Next 3Y6.74%
EPS Next 5Y7.11%
Revenue Next Year7.47%
Revenue Next 2Y6.08%
Revenue Next 3Y5.35%
Revenue Next 5Y4.32%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.54, 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 70.59% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.56, KDP is valued a bit cheaper.
The Price/Forward Earnings ratio is 13.47, which indicates a correct valuation of KDP.
Based on the Price/Forward Earnings ratio, KDP is valued a bit cheaper than 70.59% of the companies in the same industry.
KDP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.54 | ||
| Fwd PE | 13.47 |
4.2 Price Multiples
KDP's Enterprise Value to EBITDA is on the same level as the industry average.
KDP's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.07 | ||
| EV/EBITDA | 13.3 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)1.93
PEG (5Y)1.53
EPS Next 2Y6.8%
EPS Next 3Y6.74%
5. Dividend
5.1 Amount
KDP has a Yearly Dividend Yield of 3.12%.
KDP's Dividend Yield is rather good when compared to the industry average which is at 1.70. KDP pays more dividend than 82.35% of the companies in the same industry.
KDP's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.12% |
5.2 History
The dividend of KDP is nicely growing with an annual growth rate of 7.69%!
KDP has paid a dividend for at least 10 years, which is 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)7.69%
Div Incr Years4
Div Non Decr Years5
5.3 Sustainability
78.89% of the earnings are spent on dividend by KDP. This is not a sustainable payout ratio.
KDP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP78.89%
EPS Next 2Y6.8%
EPS Next 3Y6.74%
29.51
+0.04 (+0.14%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners93.73%
Inst Owner Change-0.95%
Ins Owners0.61%
Ins Owner Change-0.16%
Market Cap40.09B
Revenue(TTM)16.17B
Net Income(TTM)1.58B
Analysts76.36
Price Target35.84 (21.45%)
Short Float %2.7%
Short Ratio1.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.12% |
Yearly Dividend0.87
Dividend Growth(5Y)7.69%
DP78.89%
Div Incr Years4
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.3%
Min EPS beat(2)-0.38%
Max EPS beat(2)-0.22%
EPS beat(4)2
Avg EPS beat(4)2.1%
Min EPS beat(4)-0.38%
Max EPS beat(4)8.75%
EPS beat(8)4
Avg EPS beat(8)2.06%
EPS beat(12)7
Avg EPS beat(12)1.7%
EPS beat(16)7
Avg EPS beat(16)1.05%
Revenue beat(2)1
Avg Revenue beat(2)1.17%
Min Revenue beat(2)-0.36%
Max Revenue beat(2)2.69%
Revenue beat(4)3
Avg Revenue beat(4)0.85%
Min Revenue beat(4)-0.36%
Max Revenue beat(4)2.69%
Revenue beat(8)4
Avg Revenue beat(8)-0.08%
Revenue beat(12)6
Avg Revenue beat(12)0.1%
Revenue beat(16)9
Avg Revenue beat(16)0.43%
PT rev (1m)2.09%
PT rev (3m)-6.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.3%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-0.09%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.29%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.54 | ||
| Fwd PE | 13.47 | ||
| P/S | 2.48 | ||
| P/FCF | 25.07 | ||
| P/OCF | 18.84 | ||
| P/B | 1.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.3 |
EPS(TTM)2.03
EY6.88%
EPS(NY)2.19
Fwd EY7.42%
FCF(TTM)1.18
FCFY3.99%
OCF(TTM)1.57
OCFY5.31%
SpS11.91
BVpS18.64
TBVpS-13.73
PEG (NY)1.93
PEG (5Y)1.53
Graham Number29.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.9% | ||
| ROE | 6.25% | ||
| ROCE | 7.53% | ||
| ROIC | 5.64% | ||
| ROICexc | 5.7% | ||
| ROICexgc | 68.39% | ||
| OM | 21.91% | ||
| PM (TTM) | 9.78% | ||
| GM | 54.76% | ||
| FCFM | 9.89% |
ROA(3y)3.22%
ROA(5y)3.31%
ROE(3y)6.72%
ROE(5y)6.86%
ROIC(3y)5.4%
ROIC(5y)5.42%
ROICexc(3y)5.46%
ROICexc(5y)5.47%
ROICexgc(3y)231.8%
ROICexgc(5y)N/A
ROCE(3y)7.24%
ROCE(5y)7.17%
ROICexgc growth 3YN/A
ROICexgc growth 5Y-33.84%
ROICexc growth 3Y0.57%
ROICexc growth 5Y6.63%
OM growth 3Y-3.77%
OM growth 5Y0.83%
PM growth 3Y-17.83%
PM growth 5Y-3.6%
GM growth 3Y0.21%
GM growth 5Y-0.52%
F-Score6
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 10.44 | ||
| Debt/EBITDA | 3.8 | ||
| Cap/Depr | 90.89% | ||
| Cap/Sales | 3.27% | ||
| Interest Coverage | 6.29 | ||
| Cash Conversion | 51.59% | ||
| Profit Quality | 101.08% | ||
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.36 | ||
| Altman-Z | 1.41 |
F-Score6
WACC7.09%
ROIC/WACC0.8
Cap/Depr(3y)90.63%
Cap/Depr(5y)91.99%
Cap/Sales(3y)3.33%
Cap/Sales(5y)3.61%
Profit Quality(3y)106.96%
Profit Quality(5y)115.99%
High Growth Momentum
Growth
EPS 1Y (TTM)7.41%
EPS 3Y6.27%
EPS 5Y9.49%
EPS Q2Q%5.88%
EPS Next Y7.54%
EPS Next 2Y6.8%
EPS Next 3Y6.74%
EPS Next 5Y7.11%
Revenue 1Y (TTM)6.77%
Revenue growth 3Y6.57%
Revenue growth 5Y6.66%
Sales Q2Q%10.67%
Revenue Next Year7.47%
Revenue Next 2Y6.08%
Revenue Next 3Y5.35%
Revenue Next 5Y4.32%
EBIT growth 1Y0.43%
EBIT growth 3Y2.56%
EBIT growth 5Y7.55%
EBIT Next Year22.18%
EBIT Next 3Y10.79%
EBIT Next 5Y7.42%
FCF growth 1Y18.88%
FCF growth 3Y-12.93%
FCF growth 5Y-5.41%
OCF growth 1Y20.16%
OCF growth 3Y-8.26%
OCF growth 5Y-2.15%
KEURIG DR PEPPER INC / KDP FAQ
What is the fundamental rating for KDP stock?
ChartMill assigns a fundamental rating of 4 / 10 to KDP.
Can you provide the valuation status for KEURIG DR PEPPER INC?
ChartMill assigns a valuation rating of 4 / 10 to KEURIG DR PEPPER INC (KDP). This can be considered as Fairly Valued.
What is the profitability of KDP stock?
KEURIG DR PEPPER INC (KDP) has a profitability rating of 5 / 10.
What is the valuation of KEURIG DR PEPPER INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for KEURIG DR PEPPER INC (KDP) is 14.54 and the Price/Book (PB) ratio is 1.58.
How sustainable is the dividend of KEURIG DR PEPPER INC (KDP) stock?
The dividend rating of KEURIG DR PEPPER INC (KDP) is 6 / 10 and the dividend payout ratio is 78.89%.