Hsbc Holdings PLC Trims Holdings in Keurig Dr Pepper, Inc $KDP

Key Points

• Hsbc Holdings PLC cut its Keurig Dr Pepper stake by 35.8% in the first quarter, selling 1.31 million shares and ending with 2.36 million shares worth about $62 million.
• Analyst sentiment remains mixed but leans cautiously positive, with several firms raising price targets; UBS moved to a buy rating with a $38 target, while MarketBeat shows an average rating of Hold and an average target of $33.07.
• Keurig Dr Pepper reported solid earnings and maintained a dividend, posting $0.39 EPS on $3.98 billion in revenue, paying a quarterly dividend of $0.23 per share, and offering an annualized yield of about 3.0%.

Hsbc Holdings PLC reduced its position in shares of Keurig Dr Pepper, Inc (NASDAQ:KDP - Free Report) by 35.8% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 2,361,227 shares of the company's stock after selling 1,314,348 shares during the period. Hsbc Holdings PLC owned 0.17% of Keurig Dr Pepper worth $62,026,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also modified their holdings of the company. Salomon & Ludwin LLC purchased a new position in shares of Keurig Dr Pepper during the fourth quarter valued at approximately $26,000. Activest Wealth Management raised its holdings in Keurig Dr Pepper by 5,642.1% in the 4th quarter. Activest Wealth Management now owns 1,091 shares of the company's stock valued at $31,000 after acquiring an additional 1,072 shares during the last quarter. Washington Trust Advisors Inc. purchased a new position in shares of Keurig Dr Pepper during the 4th quarter worth $31,000. Rossby Financial LCC lifted its stake in shares of Keurig Dr Pepper by 45.1% during the 4th quarter. Rossby Financial LCC now owns 1,090 shares of the company's stock worth $31,000 after purchasing an additional 339 shares during the period. Finally, GW&K Investment Management LLC boosted its holdings in shares of Keurig Dr Pepper by 67.6% during the fourth quarter. GW&K Investment Management LLC now owns 1,118 shares of the company's stock worth $31,000 after purchasing an additional 451 shares during the last quarter. 93.99% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of brokerages have recently commented on KDP. Evercore set a $30.00 price objective on Keurig Dr Pepper in a research report on Friday, April 24th. Weiss Ratings raised Keurig Dr Pepper from a "hold (c-)" rating to a "hold (c)" rating in a research note on Monday, May 11th. Wells Fargo & Company set a $37.00 price target on Keurig Dr Pepper in a report on Wednesday, July 1st. Barclays raised shares of Keurig Dr Pepper from an "equal weight" rating to an "overweight" rating and upped their price objective for the company from $30.00 to $36.00 in a research note on Thursday, June 25th. Finally, UBS Group increased their price objective on shares of Keurig Dr Pepper from $34.00 to $38.00 and gave the stock a "buy" rating in a report on Thursday. Eight analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat, Keurig Dr Pepper presently has an average rating of "Hold" and an average target price of $33.07.

Keurig Dr Pepper Stock Performance

Shares of KDP opened at $30.91 on Monday. Keurig Dr Pepper, Inc has a twelve month low of $24.88 and a twelve month high of $35.94. The firm has a market capitalization of $42.05 billion, a P/E ratio of 22.90, a price-to-earnings-growth ratio of 1.41 and a beta of 0.40. The company has a current ratio of 2.31, a quick ratio of 2.12 and a debt-to-equity ratio of 0.72. The stock's fifty day simple moving average is $30.79 and its 200 day simple moving average is $28.84.

Keurig Dr Pepper (NASDAQ:KDP - Get Free Report) last posted its quarterly earnings results on Thursday, April 23rd. The company reported $0.39 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.37 by $0.02. The firm had revenue of $3.98 billion during the quarter, compared to the consensus estimate of $7.23 billion. Keurig Dr Pepper had a return on equity of 10.51% and a net margin of 10.81%.The firm's quarterly revenue was up 9.4% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.42 earnings per share. On average, equities research analysts forecast that Keurig Dr Pepper, Inc will post 2.29 earnings per share for the current year.

Keurig Dr Pepper Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, July 10th. Stockholders of record on Friday, June 26th were issued a dividend of $0.23 per share. The ex-dividend date was Friday, June 26th. This represents a $0.92 dividend on an annualized basis and a dividend yield of 3.0%. Keurig Dr Pepper's payout ratio is presently 68.15%.

About Keurig Dr Pepper

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.

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