Keurig Dr Pepper (NASDAQ:KDP) Stock Price Up 4.9% Following Better-Than-Expected Earnings

Keurig Dr Pepper Inc. (NASDAQ:KDP) rose 4.9% on Tuesday after the company announced better than expected quarterly earnings. The stock traded as high as $35.78 and last traded at $35.80. Approximately 6,343,330 shares were traded during trading, a decline of 28% from the average daily volume of 8,868,965 shares. The stock had previously closed at $34.12.

The company reported $0.58 earnings per share for the quarter, topping analysts’ consensus estimates of $0.57 by $0.01. Keurig Dr Pepper had a net margin of 15.04% and a return on equity of 10.45%. The company had revenue of $4.07 billion during the quarter, compared to analysts’ expectations of $4.01 billion. During the same period in the prior year, the business posted $0.55 earnings per share. The firm’s revenue for the quarter was up 5.2% on a year-over-year basis.

Keurig Dr Pepper Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, April 11th. Investors of record on Friday, March 28th will be issued a $0.23 dividend. This represents a $0.92 annualized dividend and a yield of 2.58%. The ex-dividend date of this dividend is Friday, March 28th. Keurig Dr Pepper’s payout ratio is 55.76%.

Analyst Ratings Changes

KDP has been the topic of several research reports. Piper Sandler assumed coverage on Keurig Dr Pepper in a research report on Tuesday. They issued a “neutral” rating and a $35.00 target price on the stock. Wells Fargo & Company reissued an “overweight” rating on shares of Keurig Dr Pepper in a research note on Tuesday. Barclays reiterated an “overweight” rating and set a $36.00 price objective on shares of Keurig Dr Pepper in a research report on Tuesday. Deutsche Bank Aktiengesellschaft raised shares of Keurig Dr Pepper from a “hold” rating to a “buy” rating and lifted their price target for the company from $37.00 to $39.00 in a research report on Thursday, December 12th. Finally, TD Cowen reduced their target price on Keurig Dr Pepper from $39.00 to $36.00 and set a “hold” rating on the stock in a research report on Wednesday, January 8th. Six investment analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $37.50.

Insider Activity at Keurig Dr Pepper

In related news, major shareholder Bevco B.V. Jab acquired 3,619,600 shares of the business’s stock in a transaction on Wednesday, January 29th. The shares were bought at an average price of $33.34 per share, with a total value of $120,677,464.00. Following the completion of the acquisition, the insider now owns 218,063,479 shares in the company, valued at $7,270,236,389.86. This trade represents a 1.69 % increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. 1.00% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of KDP. Sumitomo Mitsui Trust Group Inc. grew its holdings in shares of Keurig Dr Pepper by 8.4% during the fourth quarter. Sumitomo Mitsui Trust Group Inc. now owns 3,138,111 shares of the company’s stock worth $100,796,000 after purchasing an additional 242,315 shares during the last quarter. Pathstone Holdings LLC grew its stake in Keurig Dr Pepper by 0.7% during the 3rd quarter. Pathstone Holdings LLC now owns 3,256,000 shares of the company’s stock worth $122,038,000 after buying an additional 22,657 shares during the last quarter. Franklin Resources Inc. increased its position in Keurig Dr Pepper by 7.1% during the third quarter. Franklin Resources Inc. now owns 622,252 shares of the company’s stock worth $22,806,000 after buying an additional 41,466 shares during the period. Swedbank AB lifted its stake in Keurig Dr Pepper by 1.8% in the fourth quarter. Swedbank AB now owns 747,002 shares of the company’s stock valued at $23,994,000 after buying an additional 13,179 shares during the last quarter. Finally, LMR Partners LLP boosted its holdings in shares of Keurig Dr Pepper by 55.5% in the third quarter. LMR Partners LLP now owns 521,000 shares of the company’s stock valued at $19,527,000 after acquiring an additional 186,002 shares during the period. 93.99% of the stock is owned by hedge funds and other institutional investors.

Keurig Dr Pepper Stock Up 4.5 %

The firm has a market capitalization of $48.34 billion, a price-to-earnings ratio of 21.52, a PEG ratio of 2.42 and a beta of 0.61. The business’s fifty day moving average price is $31.82 and its 200 day moving average price is $33.94. The company has a current ratio of 0.53, a quick ratio of 0.36 and a debt-to-equity ratio of 0.50.

About Keurig Dr Pepper

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.