Keurig Dr Pepper Inc (KDP)vsThe Coca-Cola Company (KO)
KDP
Keurig Dr Pepper Inc
$29.09
-1.05%
CONSUMER DEFENSIVE · Cap: $39.58B
KO
The Coca-Cola Company
$78.58
-0.23%
CONSUMER DEFENSIVE · Cap: $339.28B
Smart Verdict
WallStSmart Research — data-driven comparison
The Coca-Cola Company generates 191% more annual revenue ($49.28B vs $16.94B). KO leads profitability with a 27.8% profit margin vs 10.8%. KDP appears more attractively valued with a PEG of 0.97. KO earns a higher WallStSmart Score of 65/100 (B-).
KDP
Buy61
out of 100
Grade: C+
KO
Strong Buy65
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+59.2%
Fair Value
$73.28
Current Price
$29.09
$44.19 discount
Margin of Safety
-22.5%
Fair Value
$64.17
Current Price
$78.58
$14.41 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Strong operational efficiency at 34.9%
Keeps 28 of every $100 in revenue as profit
Generating 1.8B in free cash flow
Areas to Watch
ROE of 6.3% — below average capital efficiency
Earnings declined 47.7%
Distress zone — elevated risk
Trading at 10.0x book value
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : KDP
The strongest argument for KDP centers on PEG Ratio, Price/Book. PEG of 0.97 suggests the stock is reasonably priced for its growth.
Bull Case : KO
The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.8% and operating margin at 34.9%. Revenue growth of 12.1% demonstrates continued momentum.
Bear Case : KDP
The primary concerns for KDP are Return on Equity, EPS Growth, Altman Z-Score.
Bear Case : KO
The primary concerns for KO are Price/Book, Debt/Equity, PEG Ratio.
Key Dynamics to Monitor
KDP profiles as a value stock while KO is a mature play — different risk/reward profiles.
KO carries more volatility with a beta of 0.36 — expect wider price swings.
KO is growing revenue faster at 12.1% — sustainability is the question.
KO generates stronger free cash flow (1.8B), providing more financial flexibility.
Bottom Line
KO scores higher overall (65/100 vs 61/100), backed by strong 27.8% margins and 12.1% revenue growth. KDP offers better value entry with a 59.2% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Keurig Dr Pepper Inc
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
Keurig Dr Pepper Inc. is a beverage company in the United States and internationally. The company is headquartered in Burlington, Massachusetts.
The Coca-Cola Company
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.
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