• Keurig Dr Pepper’s adjusted EPS for Q1 beats estimates at 38 cents, up from 34 cents the previous year.
• The company’s net sales increased by 3.4% year-over-year to reach $3.47 billion, which was above the estimated $3.41 billion.
• Keurig Dr Pepper’s US Refreshment Beverages net sales rose 4.3% year-over-year to hit $2.09 billion.
• However, the net sales for US Coffee showed a decline of 2.1% year-over-year to $911 million, although it still managed to surpass the projected estimate of $880.7 million.
• A significant growth of 12% year-over-year was noted in International net sales with $464 million in revenue, an increase from the estimated $444.7 million.
• Prices of US Refreshment Beverages saw a positive change with an increase of 5.6% compared to the previous year’s 12.5% increase.
• The US Coffee prices changed negatively at -1.8% versus the previous year’s +5.3%.
• The volume/mix at constant currency moved -0.3% versus the previous year’s -1%.
• Adjusted operating income increased by 18% year-over-year to reach $825 million, beating the estimated $744.5 million.
• A positive shift was seen in the International net price at constant currency by +2.2% versus the previous year’s +9%.
• International volume/mix also observed a positive trend at constant currency at +4.8%.
• Keurig Dr Pepper reaffirms its fiscal 2024 guidance for constant currency net sales growth and adjusted diluted EPS growth.
• Analyst sentiment towards Keurig Dr Pepper reads; 10 buys, 9 holds, and 1 sell.
Keurig Dr Pepper on Smartkarma
Analysts at Baptista Research are bullish on Keurig Dr Pepper Inc., as outlined in their report “Keurig Dr Pepper Inc.: Investing in Innovation & Expansion To Expand Market Share! – Key Drivers.” The report highlights the company’s recent earnings, indicating a mixed outlook with promising growth in key business areas. Keurig Dr Pepper leveraged capital-efficient partnerships to enter high-growth markets, leading to a 5% increase in full-year constant currency net sales and a 6% rise in EPS. However, the report cautions about the heavy reliance on non-operational gains for the significant EPS growth in previous years.
A look at Keurig Dr Pepper Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Keurig Dr Pepper Inc., a leading manufacturer and distributor of non-alcoholic beverages in the United States, Canada, and Mexico, is poised for a promising long-term outlook based on its Smartkarma Smart Scores. With solid scores across various key factors, including Value, Dividend, Growth, Resilience, and Momentum, Keurig Dr Pepper demonstrates a well-rounded profile in the beverage industry.
Although the specific scores are not disclosed, the overall outlook for Keurig Dr Pepper appears positive, reflecting its balanced performance across different aspects. Investors looking for a company with potential for growth, stability, and value in the non-alcoholic beverage sector may find Keurig Dr Pepper to be an appealing choice based on its strong Smartkarma Smart Scores.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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