Keurig Dr Pepper (KDP) Competitors

Keurig Dr Pepper (NASDAQ:KDP) and PepsiCo (NASDAQ:PEP) are both large-cap consumer staples companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, valuation, earnings, media sentiment, analyst recommendations and risk.

Do analysts prefer KDP or PEP?

Keurig Dr Pepper presently has a consensus price target of $39.92, indicating a potential upside of 19.21%. PepsiCo has a consensus price target of $158.19, indicating a potential upside of 16.95%. Given Keurig Dr Pepper's stronger consensus rating and higher possible upside, equities analysts plainly believe Keurig Dr Pepper is more favorable than PepsiCo.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Keurig Dr Pepper	0 Sell rating(s)	2 Hold rating(s)	12 Buy rating(s)	1 Strong Buy rating(s)	2.93
PepsiCo	1 Sell rating(s)	14 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.16

Which has higher valuation & earnings, KDP or PEP?

PepsiCo has higher revenue and earnings than Keurig Dr Pepper. PepsiCo is trading at a lower price-to-earnings ratio than Keurig Dr Pepper, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Keurig Dr Pepper	$15.35B	2.96	$1.44B	$1.10	30.45
PepsiCo	$91.85B	2.02	$9.58B	$6.80	19.89

Does the media prefer KDP or PEP?

In the previous week, PepsiCo had 76 more articles in the media than Keurig Dr Pepper. MarketBeat recorded 95 mentions for PepsiCo and 19 mentions for Keurig Dr Pepper. Keurig Dr Pepper's average media sentiment score of 1.36 beat PepsiCo's score of 1.09 indicating that Keurig Dr Pepper is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Keurig Dr Pepper	16 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
PepsiCo	65 Very Positive mention(s)	5 Positive mention(s)	14 Neutral mention(s)	6 Negative mention(s)	1 Very Negative mention(s)	Positive

Which has more volatility & risk, KDP or PEP?

Keurig Dr Pepper has a beta of 0.47, meaning that its share price is 53% less volatile than the S&P 500. Comparatively, PepsiCo has a beta of 0.45, meaning that its share price is 55% less volatile than the S&P 500.

Do institutionals and insiders believe in KDP or PEP?

94.0% of Keurig Dr Pepper shares are held by institutional investors. Comparatively, 73.1% of PepsiCo shares are held by institutional investors. 0.4% of Keurig Dr Pepper shares are held by insiders. Comparatively, 0.1% of PepsiCo shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Is KDP or PEP more profitable?

PepsiCo has a net margin of 10.24% compared to Keurig Dr Pepper's net margin of 9.69%. PepsiCo's return on equity of 58.28% beat Keurig Dr Pepper's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Keurig Dr Pepper	9.69%	10.86%	5.03%
PepsiCo	10.24%	58.28%	11.02%

Is KDP or PEP a better dividend stock?

Keurig Dr Pepper pays an annual dividend of $0.92 per share and has a dividend yield of 2.7%. PepsiCo pays an annual dividend of $5.69 per share and has a dividend yield of 4.2%. Keurig Dr Pepper pays out 83.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. PepsiCo pays out 83.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Keurig Dr Pepper has increased its dividend for 4 consecutive years and PepsiCo has increased its dividend for 54 consecutive years. PepsiCo is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Keurig Dr Pepper beats PepsiCo on 11 of the 20 factors compared between the two stocks.