Analyst Andrea Faria Teixeira from J.P. Morgan maintained a Buy rating on Keurig Dr Pepper and decreased the price target to $38.00 from $39.00.
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Andrea Faria Teixeira’s rating is based on Keurig Dr Pepper’s strong positioning for future growth, particularly its robust performance in the cold beverage segment and energy platform brands. The company has shown solid momentum with its carbonated soft drinks and energy brands like C4 and GHOST, which are performing well and gaining market share. Additionally, new product launches like Bloom Energy and Bloom Pop are expected to contribute positively to the company’s growth trajectory.
Despite some uncertainties in the U.S. coffee segment due to potential tariff implications, Teixeira remains optimistic about KDP’s overall strategy and its ability to drive sustainable long-term profit growth. The valuation of KDP’s stock is seen as attractive, with a significant discount compared to peers like Coca-Cola and PepsiCo, which presents an opportunity for investors. The company’s high-single-digit EPS growth algorithm and strategic initiatives are expected to support its continued success, justifying the Buy rating.
According to TipRanks, Faria Teixeira is a 3-star analyst with an average return of 1.3% and a 50.00% success rate. Faria Teixeira covers the Consumer Defensive sector, focusing on stocks such as PepsiCo, Constellation Brands, and Keurig Dr Pepper.
In another report released on July 15, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $38.00 price target.