HSBC Upgrades Keurig Dr Pepper (NASDAQ:KDP) to Buy

HSBC upgraded shares of Keurig Dr Pepper (NASDAQ:KDP) from a hold rating to a buy rating in a research note issued to investors on Friday morning, MarketBeat Ratings reports. They currently have $42.00 target price on the stock, up from their previous target price of $36.00.

KDP has been the subject of a number of other research reports. TD Cowen cut their target price on shares of Keurig Dr Pepper from $39.00 to $36.00 and set a “hold” rating for the company in a research report on Wednesday, January 8th. JPMorgan Chase & Co. lifted their price objective on Keurig Dr Pepper from $37.00 to $40.00 and gave the stock an “overweight” rating in a report on Wednesday, February 26th. Barclays set a $39.00 target price on Keurig Dr Pepper in a report on Thursday, February 27th. Wells Fargo & Company reaffirmed an “overweight” rating on shares of Keurig Dr Pepper in a research report on Tuesday, February 25th. Finally, UBS Group increased their price objective on shares of Keurig Dr Pepper from $40.00 to $42.00 and gave the stock a “buy” rating in a research note on Thursday, April 17th. Four equities research analysts have rated the stock with a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $39.40.

Keurig Dr Pepper Price Performance

KDP stock opened at $34.40 on Friday. The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.36 and a current ratio of 0.53. The firm has a market capitalization of $46.67 billion, a price-to-earnings ratio of 20.85, a PEG ratio of 2.42 and a beta of 0.54. The firm has a 50 day moving average price of $34.13 and a 200-day moving average price of $33.23. Keurig Dr Pepper has a 52-week low of $30.12 and a 52-week high of $38.28.

Keurig Dr Pepper (NASDAQ:KDP) last released its quarterly earnings data on Thursday, April 24th. The company reported $0.42 earnings per share for the quarter, beating analysts’ consensus estimates of $0.38 by $0.04. The business had revenue of $3.64 billion during the quarter, compared to analyst estimates of $3.57 billion. Keurig Dr Pepper had a net margin of 15.04% and a return on equity of 10.45%. Equities research analysts forecast that Keurig Dr Pepper will post 1.92 EPS for the current fiscal year.

Keurig Dr Pepper Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, April 11th. Investors of record on Friday, March 28th were paid a $0.23 dividend. The ex-dividend date was Friday, March 28th. This represents a $0.92 dividend on an annualized basis and a yield of 2.67%. Keurig Dr Pepper’s dividend payout ratio is currently 83.64%.

Insider Buying and Selling at Keurig Dr Pepper

In other Keurig Dr Pepper news, major shareholder Bevco B.V. Jab acquired 3,619,600 shares of the stock in a transaction that occurred on Wednesday, January 29th. The stock was bought at an average cost of $33.34 per share, for a total transaction of $120,677,464.00. Following the completion of the transaction, the insider now owns 218,063,479 shares of the company’s stock, valued at approximately $7,270,236,389.86. The trade was a 1.69 % increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, VP Angela A. Stephens sold 7,350 shares of the firm’s stock in a transaction dated Monday, March 3rd. The stock was sold at an average price of $34.17, for a total value of $251,149.50. Following the sale, the vice president now directly owns 74,587 shares of the company’s stock, valued at $2,548,637.79. The trade was a 8.97 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 84,421,350 shares of company stock valued at $2,757,137,010 over the last ninety days. Corporate insiders own 1.00% of the company’s stock.

Hedge Funds Weigh In On Keurig Dr Pepper

Several hedge funds have recently bought and sold shares of KDP. Townsquare Capital LLC increased its stake in Keurig Dr Pepper by 2.1% during the 4th quarter. Townsquare Capital LLC now owns 15,734 shares of the company’s stock worth $505,000 after buying an additional 327 shares during the period. Perigon Wealth Management LLC grew its stake in shares of Keurig Dr Pepper by 1.2% in the fourth quarter. Perigon Wealth Management LLC now owns 28,545 shares of the company’s stock worth $893,000 after acquiring an additional 342 shares in the last quarter. First American Bank increased its position in shares of Keurig Dr Pepper by 0.6% during the first quarter. First American Bank now owns 59,564 shares of the company’s stock worth $2,038,000 after acquiring an additional 344 shares during the period. Barden Capital Management Inc. raised its stake in shares of Keurig Dr Pepper by 0.9% in the fourth quarter. Barden Capital Management Inc. now owns 39,836 shares of the company’s stock valued at $1,280,000 after acquiring an additional 353 shares in the last quarter. Finally, Custom Index Systems LLC boosted its holdings in Keurig Dr Pepper by 5.3% in the fourth quarter. Custom Index Systems LLC now owns 7,109 shares of the company’s stock valued at $228,000 after purchasing an additional 357 shares during the period. Institutional investors and hedge funds own 93.99% of the company’s stock.

Keurig Dr Pepper Company Profile

Keurig Dr Pepper Inc owns, manufactures, and distributors beverages and single serve brewing systems in the United States and internationally. It operates through three segments: U.S. Refreshment Beverages, U.S. Coffee, and International. The U.S. Refreshment Beverages segment manufactures and distributes branded concentrates, syrup, and finished beverages.