Keurig Dr Pepper Inc. [NYSE:KDP]: Analyst Rating and Earnings
Equities traders often pay a significant amount of attention to what top market analysts have to say about a potential stock investment. In regards to Keurig Dr Pepper Inc. [KDP], the most recent average analyst recommendation we can read comes from the fiscal quarter ending in December. On average, stock market experts give KDP an Hold rating. Its stock price has been found in the range of 19.12 to 29.76. This is compared to its latest closing price of $29.26.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Keurig Dr Pepper Inc. [KDP] is sitting at 2.53. This is compared to 1 month ago, when its average rating was 2.53.
For the quarter ending in Mar-19 Keurig Dr Pepper Inc. [KDP] generated $2.5 billion in sales. That’s 1.34% lower than the average estimate of $2.54 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Keep your eyes on this company’s next financial results, which are scheduled to be made public on Wed 14 Aug (In 86 Days).
Fundamental Analysis of Keurig Dr Pepper Inc. [KDP]
Now let’s turn to look at profitability: with a current Operating Margin for Keurig Dr Pepper Inc. [KDP] sitting at +19.87 and its Gross Margin at +51.25.
This company’s Return on Total Capital is 6.43, and its Return on Invested Capital has reached 2.70%. Its Return on Equity is 4.69, and its Return on Assets is 1.99. These metrics suggest that this Keurig Dr Pepper Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Keurig Dr Pepper Inc. [KDP] has generated a Total Debt to Total Equity ratio of 73.30. Similarly, its Total Debt to Total Capital is 42.30, while its Total Debt to Total Assets stands at 33.76. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 64.38, and its Long-Term Debt to Total Capital is 37.15. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 29.65 and its Total Debt to EBITDA Value is 8.51. The Enterprise Value to Sales for this firm is now 5.79, and its Total Debt to Enterprise Value stands at 0.37. Keurig Dr Pepper Inc. [KDP] has a Price to Book Ratio of 1.60, a Price to Cash Flow Ratio of 17.45 and P/E Ratio of 16.60. These metrics all suggest that Keurig Dr Pepper Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Keurig Dr Pepper Inc. [KDP] earns $291,843 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 7.70 and its Total Asset Turnover is 0.25. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.26 and its Current Ratio is 0.38. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Keurig Dr Pepper Inc. [KDP] has 1.37B shares outstanding, amounting to a total market cap of $40.23B. Its stock price has been found in the range of 19.12 to 29.76. At its current price, it has moved by -1.85% from its 52-week high, and it has moved 52.78% from its 52-week low.
This stock’s Beta value is currently 0.57, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 55.81. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Keurig Dr Pepper Inc. [KDP] a Reliable Buy?
Keurig Dr Pepper Inc. [KDP] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.