NASDAQ · Consumer Defensive

Keurig Dr Pepper Inc.

KDP · Beverages - Non-Alcoholic

$28.87

▼ -0.22 (-0.76%)

Data cached · refreshes every 10 min

Mr. Market is currently offering Keurig Dr Pepper Inc. at $28.87.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

Overall Grade

Defensive

Enterprising

Profitability A

Gross Profit Margin 54.2%

Operating Margin 22.0%

Net Income Margin 12.5%

Fin. Health F

Years to Pay Off Debt 7.8 yrs

Working Capital vs Long-Term Debt -$16.1B

Working Capital -$3.0B

Valuation F

Margin of Safety 0.0%

Price-to-Book 1.54x

Cash Flow B

Free Cash Flow $1.5B

CapEx % of Net Income 24.2%

Owner Earnings $3.3B

4/7

Graham Score

Enterprising

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $39.3B

Enterprise Value $75.9B

P/E (TTM) 21.39

Dividend Yield 3.16%

Exchange NASDAQ

Key Margins

Gross Profit 54.2%

Operating Margin 22.0%

Net Margin 12.5%

Company Info

Sector Consumer Defensive

Industry Beverages - Non-Alcoholic

Employees 30600

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Keurig Dr Pepper Inc. at $28.87.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

At $28.87, the stock trades at a 14% premium to its Graham Number of $25.41. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: This stock is better suited for Graham's Enterprising investor — one willing to devote time and skill to security selection.

About Keurig Dr Pepper Inc.

Keurig Dr Pepper Inc. owns, manufactures, and distributors beverages and single serve brewing systems in the United States and internationally. The company operates through three segments: U.S. Refreshment Beverages, U.S. Coffee, and International. It manufactures and distributes branded concentrates, syrup, and finished beverages, as well as sales of owned brands and third-party brands; tea, cocoa, and other products; and offers finished goods relating to K-Cup pods, single serve brewers, specialty coffee, and ready to drink coffee products. The company offers its products under the Dr Pepper, Canada Dry, Mott's, A&W, Peñafiel, GHOST, Snapple, 7UP, Green Mountain Coffee Roasters, Clamato, Core Hydration, The Original Donut Shop, Sunkist soda, Squirt, C4 Energy, Hawaiian Punch, Electrolit, Bloom, Bai, Evian, Yoo-Hoo, Vita Coco, Big Red, RC Cola, Crush, McCafé, Tim Hortons, Van Houtte, Celestial Seasonings, Bigelow, Starbucks, Dunkin', Folgers, Peet's, 7up Energy, and Swiss Miss brands, as well as other partner and private label brands. It markets and sells its products to supermarkets, mass merchandisers, club stores, e-commerce retailers, office superstores, vending machines, fountains, grocery and drug stores, convenience stores, and other small outlets; and directly to consumers through Keurig.com website. Keurig Dr Pepper Inc. was founded in 1981 and is headquartered in Frisco, Texas.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022	2021
Gross Profit %	54.2% ▼	55.6%	54.5%	52.1%	N/A
Operating Margin %	22.0% ▲	21.6%	21.6%	19.8%	N/A
Net Income %	12.5% ▲	9.4%	14.7%	10.2%	N/A
Diluted EPS	1.53 ▲	1.05	1.55	1.01	N/A

Balance Sheet Highlights

Metric	2025	2024	2023	2022	2021
Total Assets	$55.5B	$53.4B	$52.1B	$51.8B	N/A
Total Debt	$16.1B ↑	$15.6B	$14.8B	$13.6B	N/A
Working Capital	-$3.0B ▲	-$4.1B	-$5.5B	-$4.3B	N/A
Years to Pay Debt	7.76	10.79	6.80	9.46	N/A

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$1.5B ▼	$1.6B	$848M	$2.5B	N/A
Owner Earnings	$3.3B	$2.8B	$3.4B	$2.5B	N/A
CapEx % of Net Income	24.2%	43.2%	22.1%	26.4%	N/A

Income Statement

	2025	2024	2023	2022	2021
Tax Effect Of Unusual Items	-17,649	-177,437	-418	-58,905
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	4,272,000	4,100,000	3,975,000	3,478,000
Total Unusual Items	-78,000	-718,000	-2,000	-357,000
Total Unusual Items Excluding Goodwill	-78,000	-718,000	-2,000	-357,000
Net Income From Continuing Operation Net Minority Interest	2,079,000	1,441,000	2,181,000	1,436,000
Reconciled Depreciation	753,000	733,000	720,000	709,000
Reconciled Cost Of Revenue	7,604,000	6,822,000	6,734,000	6,734,000
EBITDA	4,194,000	3,382,000	3,973,000	3,121,000
EBIT	3,441,000	2,649,000	3,253,000	2,412,000
Net Interest Income	-754,000	-735,000	-496,000	-693,000
Interest Expense	754,000	735,000	496,000	693,000
Normalized Income	2,139,351	1,981,563	2,182,582	1,734,095
Net Income From Continuing And Discontinued Operation	2,079,000	1,441,000	2,181,000	1,436,000
Total Expenses	12,950,000	12,042,000	11,620,000	11,274,000
Total Operating Income As Reported	3,575,000	2,591,000	3,192,000	2,605,000
Diluted Average Shares	1,362,800	1,368,300	1,408,400	1,428,500
Basic Average Shares	1,358,100	1,362,200	1,399,300	1,416,800
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	2,079,000	1,441,000	2,181,000	1,436,000
Net Income Common Stockholders	2,079,000	1,441,000	2,181,000	1,436,000
Net Income	2,079,000	1,441,000	2,181,000	1,436,000
Minority Interests		0	0	1,000	1,000
Net Income Including Noncontrolling Interests	2,079,000	1,441,000	2,181,000	1,435,000
Net Income Continuous Operations	2,079,000	1,441,000	2,181,000	1,435,000
Tax Provision	608,000	473,000	576,000	284,000
Pretax Income	2,687,000	1,914,000	2,757,000	1,719,000
Other Income Expense	-212,000	-660,000	59,000	-371,000
Other Non Operating Income Expenses	-134,000	58,000	61,000	-14,000
Special Income Charges	-78,000	-718,000	-2,000	-357,000
Gain On Sale Of Business		0	0	50,000	524,000
Other Special Charges				-82,000	105,000
Write Off		2,000	0	12,000	17,000
Impairment Of Capital Assets	78,000	718,000	2,000	477,000
Earnings From Equity Interest					524,000
Net Non Operating Interest Income Expense	-754,000	-735,000	-496,000	-693,000
Interest Expense Non Operating	754,000	735,000	496,000	693,000
Operating Income	3,653,000	3,309,000	3,194,000	2,783,000
Operating Expense	5,346,000	5,220,000	4,886,000	4,540,000
Other Operating Expenses	-5,000	207,000	-26,000	-105,000
Selling General And Administration	5,351,000	5,013,000	4,912,000	4,645,000
Gross Profit	8,999,000	8,529,000	8,080,000	7,323,000
Cost Of Revenue	7,604,000	6,822,000	6,734,000	6,734,000
Total Revenue	16,603,000	15,351,000	14,814,000	14,057,000
Operating Revenue	16,603,000	15,351,000	14,814,000	14,057,000

Balance Sheet

	2025	2024	2023	2022	2021
Ordinary Shares Number	1,358,664	1,356,665	1,390,446	1,408,394
Share Issued	1,358,664	1,356,665	1,390,446	1,408,394
Net Debt	15,115,000	15,044,000	12,924,000	11,432,000
Total Debt	16,141,000	15,554,000	14,824,000	13,583,000
Tangible Book Value	-18,456,000	-19,444,000	-17,813,000	-18,129,000
Invested Capital	41,657,000	39,797,000	38,867,000	37,093,000
Working Capital	-3,024,000	-4,090,000	-5,541,000	-4,272,000
Net Tangible Assets	-18,456,000	-19,444,000	-17,813,000	-18,129,000
Capital Lease Obligations		1,720,000	1,633,000	1,616,000	1,384,000
Common Stock Equity	25,516,000	24,243,000	25,676,000	25,126,000
Total Capitalization	38,552,000	37,155,000	35,621,000	36,198,000
Total Equity Gross Minority Interest	25,516,000	24,243,000	25,676,000	25,125,000
Minority Interest		0	0	-1,000	0
Stockholders Equity	25,516,000	24,243,000	25,676,000	25,126,000
Gains Losses Not Affecting Retained Earnings	102,000	-276,000	315,000	129,000
Other Equity Adjustments	102,000	-276,000	315,000	129,000
Retained Earnings	5,622,000	4,793,000	4,559,000	3,539,000
Additional Paid In Capital	19,778,000	19,712,000	20,788,000	21,444,000
Capital Stock	14,000	14,000	14,000	14,000
Common Stock	14,000	14,000	14,000	14,000
Total Liabilities Net Minority Interest	29,943,000	29,187,000	26,454,000	26,712,000
Total Non Current Liabilities Net Minority Interest	21,653,000	21,100,000	17,538,000	18,636,000
Other Non Current Liabilities	3,091,000	2,753,000	67,000	73,000
Derivative Product Liabilities		348,000	201,000	195,000	143,000
Employee Benefits		31,000	35,000	37,000	40,000
Non Current Pension And Other Postretirement Benefit Plans		31,000	35,000	37,000	40,000
Non Current Deferred Liabilities	5,526,000	5,435,000	5,792,000	5,769,000
Non Current Deferred Taxes Liabilities	5,526,000	5,435,000	5,760,000	5,739,000
Long Term Debt And Capital Lease Obligation	13,036,000	12,912,000	11,358,000	12,493,000
Long Term Capital Lease Obligation		1,467,000	1,413,000	1,421,000	1,229,000
Long Term Debt	13,036,000	12,912,000	9,945,000	11,072,000
Long Term Provisions		95,000	85,000	69,000	75,000
Current Liabilities	8,290,000	8,087,000	8,916,000	8,076,000
Other Current Liabilities	785,000	835,000	166,000	122,000
Current Debt And Capital Lease Obligation	3,105,000	2,642,000	3,466,000	1,090,000
Current Capital Lease Obligation		253,000	220,000	195,000	155,000
Current Debt	3,105,000	2,642,000	3,246,000	895,000
Other Current Borrowings	895,000	1,026,000	1,150,000	496,000
Commercial Paper	2,210,000	1,616,000	2,096,000	399,000
Pensionand Other Post Retirement Benefit Plans Current	0	225,000	208,000	246,000
Current Provisions		57,000	50,000	53,000	33,000
Payables And Accrued Expenses	4,400,000	4,385,000	5,026,000	6,565,000
Current Accrued Expenses	1,379,000	1,359,000	984,000	854,000
Interest Payable		107,000	72,000	76,000	55,000
Payables	3,021,000	3,026,000	4,042,000	5,711,000
Other Payable	25,000	41,000	117,000	137,000
Dividends Payable		312,000	299,000	281,000	265,000
Total Tax Payable		67,000	29,000	87,000	144,000
Income Tax Payable		67,000	29,000	87,000	144,000
Accounts Payable	2,996,000	2,985,000	3,597,000	5,206,000
Total Assets	55,459,000	53,430,000	52,130,000	51,837,000
Total Non Current Assets	50,193,000	49,433,000	48,755,000	48,033,000
Other Non Current Assets	1,295,000	1,200,000	201,000	182,000
Non Current Deferred Assets	36,000	39,000	31,000	35,000
Non Current Deferred Taxes Assets	36,000	39,000	31,000	35,000
Financial Assets		6,000	3,000	140,000	3,000
Investments And Advances	1,660,000	1,543,000	1,456,000	1,049,000
Investmentin Financial Assets		89,000	69,000	49,000	59,000
Available For Sale Securities		89,000	69,000	49,000	1,000
Trading Securities				48,000	58,000
Long Term Equity Investment	1,660,000	1,543,000	1,387,000	1,000,000
Investmentsin Associatesat Cost	1,660,000	1,543,000	1,387,000	1,000,000
Goodwill And Other Intangible Assets	43,972,000	43,687,000	43,489,000	43,255,000
Other Intangible Assets	23,725,000	23,634,000	23,287,000	23,183,000
Goodwill	20,247,000	20,053,000	20,202,000	20,072,000
Net PPE	3,230,000	2,964,000	3,575,000	3,372,000
Accumulated Depreciation	-2,603,000	-2,252,000	-1,964,000	-1,651,000
Gross PPE	5,833,000	5,216,000	5,539,000	5,023,000
Construction In Progress	289,000	384,000	365,000	251,000
Other Properties	170,000	142,000	994,000	983,000
Machinery Furniture Equipment	4,405,000	3,807,000	3,391,000	3,025,000
Buildings And Improvements	912,000	825,000	744,000	720,000
Land And Improvements	57,000	58,000	45,000	44,000
Current Assets	5,266,000	3,997,000	3,375,000	3,804,000
Other Current Assets	484,000	433,000	216,000	184,000
Hedging Assets Current		80,000	15,000	35,000	144,000
Restricted Cash	18,000	80,000	0	0
Prepaid Assets	334,000	173,000	216,000	68,000
Inventory	1,733,000	1,299,000	1,142,000	1,314,000
Inventories Adjustments Allowances		-32,000	-21,000	-27,000	-19,000
Finished Goods	1,019,000	770,000	742,000	858,000
Work In Process	8,000	9,000	12,000	8,000
Raw Materials	706,000	520,000	409,000	475,000
Receivables	1,671,000	1,502,000	1,519,000	1,668,000
Other Receivables		146,000	135,000	167,000	112,000
Taxes Receivable		75,000	16,000	17,000	14,000
Accounts Receivable	1,671,000	1,502,000	1,368,000	1,484,000
Allowance For Doubtful Accounts Receivable		-9,000	-10,000	-9,000	-7,000
Gross Accounts Receivable		1,511,000	1,378,000	1,493,000	1,155,000
Cash Cash Equivalents And Short Term Investments	1,026,000	510,000	267,000	535,000
Cash And Cash Equivalents	1,026,000	510,000	267,000	535,000

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	1,488,000	1,597,000	848,000	2,458,000
Repurchase Of Capital Stock	-9,000	-1,110,000	-706,000	-379,000
Repayment Of Debt	-2,148,000	-1,265,000	-595,000	-3,455,000
Issuance Of Debt	2,000,000	3,990,000	0	3,000,000
Issuance Of Capital Stock			0	0	140,000
Capital Expenditure	-503,000	-622,000	-481,000	-379,000
Interest Paid Supplemental Data	594,000	494,000	443,000	363,000
Income Tax Paid Supplemental Data	460,000	331,000	507,000	686,000
End Cash Position	1,044,000	608,000	267,000	535,000
Beginning Cash Position	608,000	267,000	535,000	568,000
Effect Of Exchange Rate Changes	17,000	-41,000	19,000	-7,000
Changes In Cash	419,000	382,000	-287,000	-26,000
Financing Cash Flow	-999,000	-223,000	-832,000	-1,728,000
Cash Flow From Continuing Financing Activities	-999,000	-223,000	-832,000	-1,728,000
Net Other Financing Charges	-186,000	-164,000	-86,000	-64,000
Cash Dividends Paid	-1,250,000	-1,194,000	-1,142,000	-1,080,000
Common Stock Dividend Paid			-1,142,000	-1,080,000	-955,000
Net Common Stock Issuance	-9,000	-1,110,000	-706,000	-379,000
Common Stock Payments	-9,000	-1,110,000	-706,000	-379,000
Common Stock Issuance			0	0	140,000
Net Issuance Payments Of Debt	446,000	2,245,000	1,102,000	-205,000
Net Short Term Debt Issuance	594,000	-480,000	1,697,000	250,000
Short Term Debt Payments			-35,243,000	0	-5,257,000
Short Term Debt Issuance			36,940,000	0	5,406,000
Net Long Term Debt Issuance	-148,000	2,725,000	-595,000	-455,000
Long Term Debt Payments	-2,148,000	-1,265,000	-595,000	-3,455,000
Long Term Debt Issuance	2,000,000	3,990,000	0	3,000,000
Investing Cash Flow	-573,000	-1,614,000	-784,000	-1,135,000
Cash Flow From Continuing Investing Activities	-573,000	-1,614,000	-784,000	-1,135,000
Net Other Investing Changes	66,000	11,000	4,000	-12,000
Net Business Purchase And Sale	-150,000	-1,007,000	-316,000	-912,000
Sale Of Business		0	0	50,000	578,000
Purchase Of Business	-150,000	-1,007,000	-316,000	-962,000
Net Intangibles Purchase And Sale	-17,000	-59,000	-56,000	-26,000
Purchase Of Intangibles	-17,000	-59,000	-56,000	-26,000
Net PPE Purchase And Sale	-472,000	-559,000	-416,000	-185,000
Sale Of PPE	14,000	4,000	9,000	168,000
Purchase Of PPE	-486,000	-563,000	-425,000	-353,000
Operating Cash Flow	1,991,000	2,219,000	1,329,000	2,837,000
Cash Flow From Continuing Operating Activities	1,991,000	2,219,000	1,329,000	2,837,000
Change In Working Capital	-1,003,000	-591,000	-1,747,000	-275,000
Change In Other Working Capital	-141,000	133,000	-199,000	-105,000
Change In Other Current Liabilities	173,000	0	10,000	207,000
Change In Other Current Assets	-216,000	-227,000	-192,000	-456,000
Change In Payables And Accrued Expense	-212,000	-196,000	-1,618,000	903,000
Change In Inventory	-405,000	-92,000	182,000	-426,000
Change In Receivables	-202,000	-209,000	70,000	-398,000
Changes In Account Receivables	-202,000	-209,000	70,000	-398,000
Other Non Cash Items	26,000	-2,000	60,000	153,000
Stock Based Compensation	97,000	98,000	116,000	52,000
Provisionand Write Offof Assets	60,000	70,000	61,000	61,000
Asset Impairment Charge	78,000	718,000	2,000	489,000
Deferred Tax	45,000	-254,000	-4,000	-289,000
Deferred Income Tax	45,000	-254,000	-4,000	-289,000
Depreciation Amortization Depletion	753,000	733,000	720,000	709,000
Depreciation And Amortization	753,000	733,000	720,000	709,000
Amortization Cash Flow	298,000	311,000	318,000	310,000
Amortization Of Intangibles	298,000	311,000	318,000	310,000
Depreciation	455,000	422,000	402,000	399,000
Operating Gains Losses	-144,000	4,000	-60,000	501,000
Earnings Losses From Equity Investments	-135,000	-136,000	-77,000	5,000
Gain Loss On Investment Securities	-1,000	91,000	31,000	383,000
Net Foreign Currency Exchange Gain Loss	-6,000	33,000	-13,000	26,000
Gain Loss On Sale Of PPE	-2,000	16,000	-1,000	-80,000
Gain Loss On Sale Of Business		0	0	-50,000	-524,000
Net Income From Continuing Operations	2,079,000	1,441,000	2,181,000	1,436,000

These metrics estimate what Keurig Dr Pepper Inc. is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$25.41

Margin of Safety

Market Cap ÷ Company Value

1.51

P/B Ratio

1.54

Warren's Owner Earnings

$3.3B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

4/7 — Enterprising Investor

✅ Adequate Size

$16.6B

vs > $1.5B revenue

❌ Strong Financial Condition

0.64x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

✅ Dividend Record

3.16%

vs Uninterrupted dividends

✅ Earnings Growth

+51.5% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

21.4x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

1.54x P/B (P/E×P/B: 32.9)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$-18.14

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$29.83

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	24.2%	43.2%	22.1%	26.4%	N/A
Repurchase of Capital Stock	-$9M	-$1.1B	-$706M	-$379M	N/A
Free Cash Flow	$1.5B ▼	$1.6B ▲	$848M ▼	$2.5B •	N/A •
Warren's Owner Earnings	$3.3B	$2.8B	$3.4B	$2.5B	N/A

Peers & Industry

No auto-detected peers for Beverages - Non-Alcoholic. You can manually compare KDP against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

4.98%

Moderate — some alignment with shareholders

Return on Equity (ROE)

8.1%

Adequate — returns are moderate

Return on Assets (ROA)

3.7%

Fair — average asset utilization

Share Buybacks (Latest Year)

$9M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

+3.8% YoY

Debt is roughly stable

Leadership Team

Timothy Cofer

CEO & Director

Age 56

Pay: $3,091,518

0.149% of net income

Anthony DiSilvestro

Chief Financial Officer

Age 66

Pay: $179,486

0.009% of net income

Eric Gorli

President of U.S. Refreshment Beverages

Age 50

Pay: $1,202,399

0.058% of net income

Robert Stiller

Founder

Age 81

Pay: $12,500

0.001% of net income

Jane Gelfand

Vice President of Investor Relations & Strategic Initiatives

Top Institutional Holders

Institution	% Owned	Shares
Vanguard Group Inc	11.44%	160,958,816
FMR, LLC	9.63%	135,493,716
Blackrock Inc.	8.50%	119,628,456
Capital World Investors	7.00%	98,453,872
Harris Associates L.P.	6.13%	86,269,175
State Street Corporation	4.57%	64,250,978
Wellington Management Group, LLP	4.05%	57,003,344
JPMORGAN CHASE & CO	3.15%	44,306,057

Risk Analysis

Beta (Market Risk)

0.42

Low volatility — more stable than the market

Short Interest

5.1% of float

Moderate short interest

Debt-to-Equity

0.86x

Conservative balance sheet — low financial risk

Current Ratio

2.31x

Strong liquidity — Graham approved

52-Week Price Range

Low: $24.88 Current: $28.87 High: $35.94

Currently at 36% of 52-week range

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