Keurig Dr Pepper misses revenue expectations in Q3

Trending News 🌧️

KDP Intrinsic Value – Keurig Dr Pepper ($NASDAQ:KDP) is a beverage company with operations in North America, Europe and Asia. The company offers a wide range of products, including coffee, tea, juices, sodas and sports drinks. In its most recent quarter, Keurig Dr Pepper missed revenue expectations, coming in at $3.62 billion.

However, the company’s earnings per share were in line with expectations, at $0.46. Despite the miss on revenue, Keurig Dr Pepper reaffirmed its guidance for the full year. The company expects to see constant currency net sales growth in the low-double-digit range and Adjusted EPS growth in the mid-single-digit range. Investors appeared to be pleased with the results, as the stock was up slightly in pre-market trading.

Earnings

Keurig Dr Pepper reported earnings for its second quarter of fiscal year 2022 on July 30. The company posted total revenue of $13.3 billion for the quarter, up 4.7% from the same period last year. Net income was $2.2 billion, up 4.8% from the same period last year. KEURIG DR PEPPER’s total revenue has grown from $11.6 billion to $13.3 billion over the last three years. The company attributed the revenue growth in the most recent quarter to higher sales of its single-serve coffee products and higher prices for its beverages.

Market Price

Keurig Dr Pepper, Inc. missed revenue expectations in its third quarter, and media sentiment has been mostly negative as a result. On Thursday, KDP stock opened at $37.6 and closed at $38.1, down by 1.7% from its last closing price of $38.8. This marks the second straight quarter in which KDP has missed revenue expectations.

VI Analysis – KDP Intrinsic Value Calculator

KEURIG DR PEPPER’s fundamentals reflect its long term potential. The intrinsic value of KEURIG DR PEPPER shares is around $35.8, calculated by VI Line. Now KEURIG DR PEPPER stock is traded at $38.1, a fair price overvalued by 6%.

VI Peers

In the beverage industry, Keurig Dr Pepper Inc competes with PepsiCo Inc, Coca-Cola Co, Coca-Cola Consolidated Inc, and other companies. The company has a portfolio of products that includes coffee, tea, and water. It also offers a variety of packaging options for its products.

– PepsiCo Inc ($NASDAQ:PEP)

PepsiCo Inc is a global food and beverage company with a market cap of 250.16B as of 2022. The company has a Return on Equity of 45.25%. PepsiCo is a leading provider of convenient snacks, foods and beverages, with operations in more than 200 countries and territories. The company’s products are marketed under a variety of iconic brands, including Pepsi, Lay’s, Gatorade, Quaker and Tropicana.

– Coca-Cola Co ($NYSE:KO)

Coca-Cola Co is a beverage company that manufactures and markets non-alcoholic syrups and concentrates. The company has a market cap of 258.82B as of 2022 and a Return on Equity of 35.17%. The company offers a wide range of products including sodas, juices, sports drinks, and waters. It operates in over 200 countries and has a global workforce of over 130,000 people.

– Coca-Cola Consolidated Inc ($NASDAQ:COKE)

Coca-Cola Consolidated Inc is one of the world’s largest beverage companies. The company produces, markets and sells a variety of non-alcoholic beverages, including soft drinks, juices, bottled water, sports drinks and teas. Coca-Cola Consolidated Inc has a market cap of 4.57B as of 2022 and a Return on Equity of 29.91%. The company operates in over 200 countries and employs over 31,000 people.

Summary

Investors may be interested in Keurig Dr Pepper despite its recent miss on revenue expectations. The company has a strong portfolio of well-known brands, including Keurig, Dr Pepper, and Snapple. It also has a large distribution network and a growing e-commerce business.

The company’s shares have been under pressure recently, but its long-term prospects remain attractive. Given its strong brand portfolio and growth prospects, Keurig Dr Pepper is worth considering for a long-term investment.