KEURIG DR PEPPER INC (KDP) Fundamental Analysis & Valuation

NASDAQ:KDP • US49271V1008

28.25 USD
+0.2 (+0.71%)
At close: Mar 6, 2026
28.35 USD
+0.1 (+0.35%)
After Hours: 3/6/2026, 8:00:02 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

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

Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to KDP. KDP was compared to 33 industry peers in the Beverages industry. There are concerns on the financial health of KDP while its profitability can be described as average. KDP has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

6

1. KDP Profitability Analysis

1.1 Basic Checks

  • KDP had positive earnings in the past year.
  • KDP had a positive operating cash flow in the past year.
  • KDP had positive earnings in each of the past 5 years.
  • Each year in the past 5 years KDP had a positive operating cash flow.
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 has a Return On Assets of 3.75%. This is comparable to the rest of the industry: KDP outperforms 45.45% of its industry peers.
  • With a Return On Equity value of 8.15%, KDP perfoms like the industry average, outperforming 48.48% of the companies in the same industry.
  • KDP has a worse Return On Invested Capital (5.74%) than 63.64% of its industry peers.
  • KDP had an Average Return On Invested Capital over the past 3 years of 5.54%. This is significantly below the industry average of 11.62%.
  • 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

  • KDP has a Profit Margin of 12.52%. This is in the better half of the industry: KDP outperforms 78.79% of its industry peers.
  • In the last couple of years the Profit Margin of KDP has grown nicely.
  • KDP's Operating Margin of 22.38% is fine compared to the rest of the industry. KDP outperforms 78.79% of its industry peers.
  • KDP's Operating Margin has declined in the last couple of years.
  • Looking at the Gross Margin, with a value of 54.20%, KDP is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
  • KDP's Gross Margin has been stable in the last couple of years.
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.
  • Compared to 1 year ago, KDP has a worse debt to assets ratio.
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 1.36, we must say that KDP is in the distress zone and has some risk of bankruptcy.
  • KDP has a Altman-Z score of 1.36. This is in the lower half of the industry: KDP underperforms 63.64% of its industry peers.
  • The Debt to FCF ratio of KDP is 11.49, which is on the high side as it means it would take KDP, 11.49 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of KDP (11.49) is worse than 66.67% of its industry peers.
  • A Debt/Equity ratio of 0.63 indicates that KDP is somewhat dependend on debt financing.
  • KDP has a Debt to Equity ratio of 0.63. This is comparable to the rest of the industry: KDP outperforms 45.45% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.63
Debt/FCF 11.49
Altman-Z 1.36
ROIC/WACC0.83
WACC6.94%
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

  • A Current Ratio of 0.64 indicates that KDP may have some problems paying its short term obligations.
  • KDP's Current ratio of 0.64 is on the low side compared to the rest of the industry. KDP is outperformed by 81.82% of its industry peers.
  • KDP has a Quick 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.
  • Looking at the Quick ratio, with a value of 0.43, KDP is doing worse than 69.70% of the companies in the same industry.
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

4

3. KDP Growth Analysis

3.1 Past

  • The Earnings Per Share has been growing slightly by 6.77% over the past year.
  • KDP shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.93% yearly.
  • 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)6.77%
EPS 3Y6.86%
EPS 5Y7.93%
EPS Q2Q%3.45%
Revenue 1Y (TTM)8.16%
Revenue growth 3Y5.71%
Revenue growth 5Y7.4%
Sales Q2Q%10.54%

3.2 Future

  • The Earnings Per Share is expected to grow by 6.87% on average over the next years.
  • KDP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.51% yearly.
EPS Next Y12.8%
EPS Next 2Y11.53%
EPS Next 3Y9.63%
EPS Next 5Y6.87%
Revenue Next Year59.19%
Revenue Next 2Y34.82%
Revenue Next 3Y23.33%
Revenue Next 5Y3.51%

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
  • 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.
KDP Yearly Revenue VS EstimatesKDP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 10B 20B 30B
KDP Yearly EPS VS EstimatesKDP Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 1 2 3 4

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5

4. KDP Valuation Analysis

4.1 Price/Earnings Ratio

  • KDP is valuated correctly with a Price/Earnings ratio of 13.78.
  • Compared to the rest of the industry, the Price/Earnings ratio of KDP indicates a somewhat cheap valuation: KDP is cheaper than 75.76% of the companies listed in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.29. KDP is valued slightly cheaper when compared to this.
  • Based on the Price/Forward Earnings ratio of 12.22, the valuation of KDP can be described as correct.
  • 75.76% of the companies in the same industry are more expensive than KDP, based on the Price/Forward Earnings ratio.
  • When comparing the Price/Forward Earnings ratio of KDP to the average of the S&P500 Index (24.57), we can say KDP is valued rather cheaply.
Industry RankSector Rank
PE 13.78
Fwd PE 12.22
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

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KDP is on the same level as its industry peers.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as KDP.
Industry RankSector Rank
P/FCF 25.79
EV/EBITDA 12.05
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)1.08
PEG (5Y)1.74
EPS Next 2Y11.53%
EPS Next 3Y9.63%

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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 3.28%.
  • KDP's Dividend Yield is a higher than the industry average which is at 1.81.
  • KDP's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
Industry RankSector Rank
Dividend Yield 3.28%

5.2 History

  • On average, the dividend of KDP grows each year by 8.89%, which is quite nice.
  • 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)8.89%
Div Incr Years4
Div Non Decr Years5
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 2Y11.53%
EPS Next 3Y9.63%
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 (3/6/2026, 8:00:02 PM)

After market: 28.35 +0.1 (+0.35%)

28.25

+0.2 (+0.71%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)02-24
Earnings (Next)04-22
Inst Owners97.49%
Inst Owner Change3.8%
Ins Owners0.61%
Ins Owner Change0%
Market Cap38.38B
Revenue(TTM)16.60B
Net Income(TTM)2.08B
Analysts74.29
Price Target35.71 (26.41%)
Short Float %3.04%
Short Ratio3.58
Dividend
Industry RankSector Rank
Dividend Yield 3.28%
Yearly Dividend0.92
Dividend Growth(5Y)8.89%
DP60.13%
Div Incr Years4
Div Non Decr Years5
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)0.9%
PT rev (3m)-2.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.92%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.13%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)-0.14%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.02%
Valuation
Industry RankSector Rank
PE 13.78
Fwd PE 12.22
P/S 2.31
P/FCF 25.79
P/OCF 19.28
P/B 1.5
P/tB N/A
EV/EBITDA 12.05
EPS(TTM)2.05
EY7.26%
EPS(NY)2.31
Fwd EY8.19%
FCF(TTM)1.1
FCFY3.88%
OCF(TTM)1.47
OCFY5.19%
SpS12.22
BVpS18.78
TBVpS-13.58
PEG (NY)1.08
PEG (5Y)1.74
Graham Number29.43
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 1.36
F-Score7
WACC6.94%
ROIC/WACC0.83
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)6.77%
EPS 3Y6.86%
EPS 5Y7.93%
EPS Q2Q%3.45%
EPS Next Y12.8%
EPS Next 2Y11.53%
EPS Next 3Y9.63%
EPS Next 5Y6.87%
Revenue 1Y (TTM)8.16%
Revenue growth 3Y5.71%
Revenue growth 5Y7.4%
Sales Q2Q%10.54%
Revenue Next Year59.19%
Revenue Next 2Y34.82%
Revenue Next 3Y23.33%
Revenue Next 5Y3.51%
EBIT growth 1Y9.42%
EBIT growth 3Y7.6%
EBIT growth 5Y4.7%
EBIT Next Year55%
EBIT Next 3Y22.58%
EBIT Next 5Y7.17%
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 FAQ

What is the fundamental rating for KDP stock?

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


What is the valuation status of KEURIG DR PEPPER INC (KDP) stock?

ChartMill assigns a valuation rating of 5 / 10 to KEURIG DR PEPPER INC (KDP). This can be considered as Fairly Valued.


Can you provide the profitability details for KEURIG DR PEPPER INC?

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


Can you provide the PE and PB ratios for KDP stock?

The Price/Earnings (PE) ratio for KEURIG DR PEPPER INC (KDP) is 13.78 and the Price/Book (PB) ratio is 1.5.


What is the expected EPS growth for KEURIG DR PEPPER INC (KDP) stock?

The Earnings per Share (EPS) of KEURIG DR PEPPER INC (KDP) is expected to grow by 12.8% in the next year.