#2 - Keurig Dr Pepper (NASDAQ:KDP)
Keurig Dr Pepper, Inc. (NASDAQ: KDP) is another soft drink company that makes this list of the best consumer stocks to buy to manage through inflation. The company's 46 billion market cap is significantly smaller than the 254 billion sported by Coca-Cola. However, KDP stock is down 13% over the last 12 months and looks attractive after this pullback.
Keurig Dr Pepper currently trades at 29x earnings. That's expensive for the sector, but the forward P/E of 18.8x is below the sector average. And the Keurig Dr Pepper analyst ratings on MarketBeat give the stock a 10.4% upside. That upside is not showing up despite the company beating on the top and bottom lines in its second quarter 2023 earnings report.
The stock also pays a respectable dividend with a 2.38% yield and has been growing for two straight years. With earnings expected to grow by 7.37% in the next 12 months, there will likely be more dividend increases to come.
About Keurig Dr Pepper
Keurig Dr Pepper Inc owns, manufactures, and distributors beverages and single serve brewing systems in the United States and internationally. It operates through three segments: U.S. Refreshment Beverages, U.S. Coffee, and International. The U.S. Refreshment Beverages segment manufactures and distributes branded concentrates, syrup, and finished beverages.
Read More - Current Price
- $33.67
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 7 Buy Ratings, 4 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $36.64 (8.8% Upside)
