Keurig Dr Pepper (NASDAQ:KDP) Stock Price Target Raised at Morgan Stanley

Key Points

• Morgan Stanley raised its price target on Keurig Dr Pepper to $40 from $38 and maintained an “overweight” rating, implying 8.18% upside from the prior close.
• Keurig Dr Pepper reported quarterly EPS of $0.66, beating the $0.62 consensus, while revenue of $7.34 billion was near expectations; reported year-over-year sales growth included the JDE Peet’s acquisition.
• Analyst sentiment is broadly positive: MarketBeat reports a “Moderate Buy” consensus and an average price target of $36.41, based on 10 Buy and nine Hold ratings.

Keurig Dr Pepper (NASDAQ:KDP - Get Free Report) had its price target upped by analysts at Morgan Stanley from $38.00 to $40.00 in a report released on Wednesday, Benzinga reports. The brokerage presently has an "overweight" rating on the stock. Morgan Stanley's price target points to a potential upside of 8.18% from the stock's previous close.

Other analysts also recently issued reports about the stock. Deutsche Bank Aktiengesellschaft increased their price target on shares of Keurig Dr Pepper from $30.00 to $32.00 and gave the company a "hold" rating in a research report on Friday, August 7th. Barclays upped their price objective on shares of Keurig Dr Pepper from $36.00 to $38.00 and gave the company an "overweight" rating in a research report on Monday, August 10th. JPMorgan Chase & Co. boosted their target price on Keurig Dr Pepper from $38.00 to $39.00 and gave the company an "overweight" rating in a research note on Thursday, October 22nd. BNP Paribas Exane lifted their price objective on Keurig Dr Pepper from $28.00 to $29.00 and gave the company a "neutral" rating in a report on Monday, August 10th. Finally, Evercore lifted their price target on shares of Keurig Dr Pepper from $30.00 to $32.00 in a research note on Thursday, October 8th. Ten investment analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company's stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $36.41.

Keurig Dr Pepper Price Performance

Shares of Keurig Dr Pepper stock traded up $2.23 during midday trading on Wednesday, reaching $36.98. The company had a trading volume of 10,489,907 shares, compared to its average volume of 12,216,474. The company has a current ratio of 0.48, a quick ratio of 0.28 and a debt-to-equity ratio of 0.74. The company has a market capitalization of $50.32 billion, a price-to-earnings ratio of 37.16, a price-to-earnings-growth ratio of 1.75 and a beta of 0.35. The stock has a fifty day simple moving average of $32.58 and a 200 day simple moving average of $30.07. Keurig Dr Pepper has a 1-year low of $24.88 and a 1-year high of $37.04.

Keurig Dr Pepper (NASDAQ:KDP - Get Free Report) last posted its quarterly earnings data on Tuesday, November 3rd. The company reported $0.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.04. The firm had revenue of $7.34 billion for the quarter, compared to the consensus estimate of $7.33 billion. Keurig Dr Pepper had a return on equity of 10.80% and a net margin of 7.10%. The business's revenue for the quarter was up 70.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.54 EPS. As a group, equities research analysts forecast that Keurig Dr Pepper will post 2.30 earnings per share for the current year.

Insider Buying and Selling

In other news, VP Angela A. Stephens sold 9,500 shares of the business's stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $32.70, for a total transaction of $310,650.00. Following the transaction, the vice president directly owned 55,786 shares in the company, valued at $1,824,202.20. The trade was a 14.55% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Mary Beth Denooyer sold 12,000 shares of the firm's stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $32.55, for a total value of $390,600.00. Following the completion of the sale, the insider directly owned 84,171 shares of the company's stock, valued at approximately $2,739,766.05. The trade was a 12.48% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 0.34% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Keurig Dr Pepper

Large investors have recently made changes to their positions in the company. BlackRock Inc. bought a new position in Keurig Dr Pepper during the 2nd quarter valued at about $4,697,645,000. Barrow Hanley Mewhinney & Strauss LLC bought a new stake in shares of Keurig Dr Pepper in the second quarter worth approximately $767,105,000. Dimensional Fund Advisors LP grew its stake in shares of Keurig Dr Pepper by 1.1% in the first quarter. Dimensional Fund Advisors LP now owns 9,585,791 shares of the company's stock worth $252,408,000 after acquiring an additional 103,505 shares during the period. Bank of America Corp DE bought a new stake in shares of Keurig Dr Pepper in the second quarter worth approximately $281,503,000. Finally, Legal & General Group Plc purchased a new position in shares of Keurig Dr Pepper during the second quarter valued at approximately $269,336,000. Institutional investors own 93.99% of the company's stock.

Keurig Dr Pepper News Roundup

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

• Positive Sentiment: KDP reported third-quarter adjusted EPS of $0.66, above analyst expectations of about $0.62–$0.63, while revenue of $7.34 billion was roughly in line with estimates. Profit and sales grew year over year. Reuters report on KDP’s quarterly results
• Positive Sentiment: Management reaffirmed its 2026 outlook, forecasting net sales of $25.9 billion to $26.4 billion. Growth across legacy segments and increased energy-drink market share—now above 10% following acquisitions—support the case for continued momentum. Outlook and planned separation
• Positive Sentiment: Piper Sandler raised its price target to $41 from $38, adding analyst support for the shares. Piper Sandler price-target update
• Neutral Sentiment: Reported sales growth of about 70% includes the contribution from the JDE Peet’s acquisition, so the headline increase does not reflect solely organic growth. KDP is also planning to separate its businesses in early 2027. Long-term investor takeaways
• Negative Sentiment: U.S. coffee remains a headwind: shoppers are trading down, and the company flagged slower coffee profits in the fourth quarter. This could limit margin growth despite strength in beverages. Report on coffee profit pressures

About Keurig Dr Pepper

Keurig Dr Pepper Inc NASDAQ: KDP is a beverage company that operates across coffee and packaged beverages. Its portfolio includes soft drinks, flavored waters, juices, juice drinks, ready-to-drink teas and coffees, sports and energy beverages, and mixers, as well as single-serve coffee brewing systems and pods.

The company’s brands include Keurig, Green Mountain Coffee Roasters, The Original Donut Shop, Dr Pepper, Canada Dry, Snapple, 7UP, A&W, Mott’s, Bai, CORE Hydration and Venom, among others.

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