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OUR COMPANY Keurig Dr Pepper Inc. is a leading beverage company in North America that manufactures, markets, distributes, and sells hot and cold beverages and single serve brewing systems. We have a broad portfolio of iconic beverage brands, including Dr Pepper, Canada Dry, Mott's, A&W, Pe afiel, GHOST, 7UP, Snapple, Green Mountain Coffee Roasters, Clamato, The Original Donut Shop, and Core Hyd…
$30.91
$0.47 (-1.50%)
EOD Jul 17, 2026
21.53% operating margin is above average. ROIC at 7.31%. Note that capital returns lag the margin, the business may be capital-intensive despite high margins.
Revenue grew 8.2%, steady but not accelerating.
Net debt of $14.72B represents 9.8x FCF, leverage limits flexibility.
22.9x earnings, 26.7x FCF. Valuation is in a reasonable range. The main question is whether the business can re-accelerate or if current trajectory is already priced in.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$16.94B
▲ +8.2% YoY
Net Income (TTM)
$1.83B
▲ +44.3% YoY
Op. Margin
20.83%
▲ +4.7pp YoY
ROIC
6.85%
▲ +1.9pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$1.58B
▼ -9.1% YoY
Op. Cash Flow (TTM)
$2.06B
▼ -10.3% YoY
Net Debt
$23.88B
Cash & Equiv.
$898M
5Y CAGR: +7.4%
5Y CAGR: -5.5%
Continue Research
At a P/E of 22.9 and a price-to-free-cash-flow of 26.7, Keurig Dr Pepper (KDP) trades above a two-stage DCF intrinsic value of about $2.58 per share, so at $30.91 the stock looks overvalued (91.6% above estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Keurig Dr Pepper scores 48/100 on Intrinsiqq's quality scorecard (a mixed business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 3.0%; see dividend safety for coverage and history. All figures are computed from SEC filings; read the full methodology. This is analysis, not investment advice.
Intrinsiqq's two-stage DCF estimates an intrinsic value of about $2.58 per share for KDP, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around $1.94. At today's $30.91, that puts the stock about 91.6% above estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
Keurig Dr Pepper scores 48 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a mixed business on these measures. Recent fundamentals include a 20.8% operating margin and a 6.9% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Yes, Keurig Dr Pepper pays a regular dividend of about $0.92 per share per year (typically in quarterly installments), a yield of roughly 3.0% at the current price. That is a payout ratio of about 68.2% of earnings, so the dividend is covered, with less cushion. Keurig Dr Pepper has grown the dividend at roughly 7.0% a year over the past few years. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For KDP's full payout history, growth streak and dividend-safety score, see the dividends tab.
That depends on valuation and quality together, not either alone. KDP currently trades above its estimated intrinsic value and scores 48/100 on quality (mixed). It also yields about 3.0%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.