Keurig Dr Pepper Inc (KDP)vsKroger Company (KR)
KDP
Keurig Dr Pepper Inc
$31.67
+3.09%
CONSUMER DEFENSIVE · Cap: $43.20B
KR
Kroger Company
$60.54
+1.14%
CONSUMER DEFENSIVE · Cap: $35.69B
Smart Verdict
WallStSmart Research — data-driven comparison
Kroger Company generates 777% more annual revenue ($148.65B vs $16.94B). KDP leads profitability with a 10.8% profit margin vs 0.7%. KR appears more attractively valued with a PEG of 0.56. KDP earns a higher WallStSmart Score of 59/100 (C).
KDP
Buy59
out of 100
Grade: C
KR
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+56.9%
Fair Value
$69.30
Current Price
$31.67
$37.63 discount
Margin of Safety
+20.2%
Fair Value
$73.34
Current Price
$60.54
$12.80 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Areas to Watch
ROE of 7.3% — below average capital efficiency
Elevated debt levels
Earnings declined 47.7%
Distress zone — elevated risk
Premium valuation, high expectations priced in
2.2% revenue growth
0.7% margin — thin
Operating margin of 3.2%
Comparative Analysis Report
WallStSmart ResearchBull Case : KDP
The strongest argument for KDP centers on Price/Book. PEG of 1.11 suggests the stock is reasonably priced for its growth.
Bull Case : KR
The strongest argument for KR centers on Altman Z-Score, PEG Ratio. PEG of 0.56 suggests the stock is reasonably priced for its growth.
Bear Case : KDP
The primary concerns for KDP are Return on Equity, Debt/Equity, EPS Growth.
Bear Case : KR
The primary concerns for KR are P/E Ratio, Revenue Growth, Profit Margin. Debt-to-equity of 3.63 is elevated, increasing financial risk. Thin 0.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
KR carries more volatility with a beta of 0.43 — expect wider price swings.
KDP is growing revenue faster at 9.4% — sustainability is the question.
KR generates stronger free cash flow (462M), providing more financial flexibility.
Monitor BEVERAGES - NON-ALCOHOLIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
KDP scores higher overall (59/100 vs 55/100). KR offers better value entry with a 20.2% margin of safety. Both earn "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.
Kroger Company
CONSUMER DEFENSIVE · GROCERY STORES · USA
The Kroger Company, or simply Kroger, is an American retail company founded by Bernard Kroger in 1883 in Cincinnati, Ohio.
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