Keurig Dr Pepper (NASDAQ:KDP) Posts Earnings Results

Keurig Dr Pepper (NASDAQ:KDP) posted its earnings results on Thursday. The company reported $0.39 earnings per share for the quarter, topping analysts’ consensus estimates of $0.37 by $0.02, FiscalAI reports. Keurig Dr Pepper had a return on equity of 11.14% and a net margin of 12.52%.The firm had revenue of $3.98 billion for the quarter, compared to the consensus estimate of $7.23 billion. During the same quarter in the prior year, the business earned $0.42 EPS. The business’s revenue for the quarter was up 9.4% on a year-over-year basis.

Here are the key takeaways from Keurig Dr Pepper’s conference call:

• Closed JDE Peet’s acquisition (April 1) and set plan to separate into two public companies, targeting operational readiness by end-2026 and an early-2027 separation to unlock synergies and focused strategies for Beverage Co. and Global Coffee Co.
• U.S. refreshment beverages delivered double-digit net sales and operating income growth, driven by CSD momentum, energy brands (Ghost, Bloom), new innovations (Canada Dry Fruit Splash, Dr Pepper Creamy Coconut), and DSD/distribution gains.
• U.S. coffee faced meaningful near-term headwinds — pod shipments down ~7%, brewer shipments down high single digits, and Q1 operating income hit by higher green coffee hedges and tariffs; management expects profit pressure in H1 with recovery in the back half.
• Company reaffirmed 2026 outlook: Q1 net sales +8.1% (5.5 pts price, 2.6 pts volume/mix), EPS guide of low double-digit growth for the full year with visibility to high-single-digit EPS growth in Q2 and acceleration into H2.
• Financing pushes leverage materially higher near-term — deal financing implies roughly ~4.5x net leverage at mid-year despite plans to generate ~$2.5B aggregate free cash flow in 2026 and prioritize rapid de?leveraging to reach investment-grade targets.

Keurig Dr Pepper Stock Performance

KDP stock opened at $28.53 on Friday. The stock has a market capitalization of $38.76 billion, a PE ratio of 18.65, a price-to-earnings-growth ratio of 1.34 and a beta of 0.35. Keurig Dr Pepper has a 12-month low of $24.88 and a 12-month high of $35.94. The company has a current ratio of 0.64, a quick ratio of 0.43 and a debt-to-equity ratio of 0.51. The stock’s 50 day simple moving average is $27.52 and its 200 day simple moving average is $27.61.

Keurig Dr Pepper Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, April 10th. Investors of record on Friday, March 27th were given a $0.23 dividend. The ex-dividend date of this dividend was Friday, March 27th. This represents a $0.92 annualized dividend and a yield of 3.2%. Keurig Dr Pepper’s dividend payout ratio is 60.13%.

Analyst Ratings Changes

A number of research analysts have weighed in on KDP shares. Zacks Research upgraded Keurig Dr Pepper from a “hold” rating to a “strong-buy” rating in a report on Friday, April 17th. JPMorgan Chase & Co. reduced their target price on Keurig Dr Pepper from $36.00 to $32.00 and set an “overweight” rating on the stock in a report on Thursday, April 16th. Citigroup reduced their target price on Keurig Dr Pepper from $37.00 to $32.00 and set a “buy” rating on the stock in a report on Wednesday, April 15th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Keurig Dr Pepper in a report on Wednesday, January 28th. Finally, Deutsche Bank Aktiengesellschaft reduced their target price on Keurig Dr Pepper from $34.00 to $28.00 and set a “hold” rating on the stock in a report on Monday, March 30th. One equities research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and nine have issued a Hold rating to the company. Based on data from MarketBeat.com, Keurig Dr Pepper has a consensus rating of “Moderate Buy” and an average target price of $31.31.

Hedge Funds Weigh In On Keurig Dr Pepper

Several hedge funds and other institutional investors have recently added to or reduced their stakes in KDP. GW&K Investment Management LLC lifted its position in Keurig Dr Pepper by 67.6% in the 4th quarter. GW&K Investment Management LLC now owns 1,118 shares of the company’s stock valued at $31,000 after acquiring an additional 451 shares in the last quarter. Rossby Financial LCC lifted its position in Keurig Dr Pepper by 45.1% in the 4th quarter. Rossby Financial LCC now owns 1,090 shares of the company’s stock valued at $31,000 after acquiring an additional 339 shares in the last quarter. Measured Wealth Private Client Group LLC bought a new position in Keurig Dr Pepper in the 3rd quarter valued at approximately $34,000. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main lifted its position in Keurig Dr Pepper by 102,300.0% in the 2nd quarter. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main now owns 1,024 shares of the company’s stock valued at $34,000 after acquiring an additional 1,023 shares in the last quarter. Finally, BOKF NA lifted its position in Keurig Dr Pepper by 44.1% in the 3rd quarter. BOKF NA now owns 1,388 shares of the company’s stock valued at $35,000 after acquiring an additional 425 shares in the last quarter. 93.99% of the stock is owned by institutional investors.

Keurig Dr Pepper News Roundup

Here are the key news stories impacting Keurig Dr Pepper this week:

• Positive Sentiment: Q1 beat on EPS and revenue; U.S. Refreshment Beverages grew strongly and management reaffirmed 2026 outlook — this confirms demand momentum in KDP’s core portfolio. Read More.
• Positive Sentiment: Company completed acquisition of JDE Peet’s (closed April 1), expanding KDP’s coffee footprint and long-term revenue potential. Read More.
• Positive Sentiment: Unusual options activity: a large block of call buying signals short-term bullish positioning from traders, which can amplify intraday upside. Read More.
• Positive Sentiment: Bullish research/coverage notes highlight the beverage portfolio and valuation upside after the quarter, adding analyst support for the stock. Read More.
• Neutral Sentiment: Some brokers adjusted estimates and ratings ahead of earnings (one firm moved KDP to neutral), reflecting mixed near-term views despite the beat. Read More.
• Negative Sentiment: Management set FY26 sales guidance that some read as below street expectations, which could limit upside if revenue beats don’t accelerate. Read More.
• Negative Sentiment: Profitability was pressured by higher costs and lingering coffee weakness, offsetting some of the top-line strength. Read More.
• Negative Sentiment: Analysts and commentary flagged leverage concerns after recent M&A; higher debt or integration costs remain a risk to near-term returns. Read More.

Keurig Dr Pepper Company Profile

Keurig Dr Pepper (NASDAQ: KDP) is a North American beverage company formed in July 2018 through the combination of Keurig Green Mountain and Dr Pepper Snapple Group. The company designs, manufactures, markets and distributes a wide range of hot and cold beverages and related equipment, combining Keurig’s single?serve coffee systems with a large portfolio of carbonated and noncarbonated drink brands. It operates a network of manufacturing, packaging and distribution facilities to supply retail, foodservice and e-commerce channels across its served markets.

The company’s product mix includes single?serve coffee brewers and coffee pods under the Keurig brand as well as a broad assortment of branded beverages.