Keurig Dr Pepper Inc (KDP)vsLamb Weston Holdings Inc (LW)
KDP
Keurig Dr Pepper Inc
$30.53
+1.56%
CONSUMER DEFENSIVE · Cap: $43.14B
LW
Lamb Weston Holdings Inc
$42.12
-0.59%
CONSUMER DEFENSIVE · Cap: $6.27B
Smart Verdict
WallStSmart Research — data-driven comparison
Keurig Dr Pepper Inc generates 160% more annual revenue ($16.94B vs $6.52B). KDP leads profitability with a 10.8% profit margin vs 4.6%. LW appears more attractively valued with a PEG of 1.03. KDP earns a higher WallStSmart Score of 59/100 (C).
KDP
Buy59
out of 100
Grade: C
LW
Buy53
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+57.1%
Fair Value
$69.64
Current Price
$30.53
$39.11 discount
Margin of Safety
+27.8%
Fair Value
$69.62
Current Price
$42.12
$27.50 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
No standout strengths identified
Areas to Watch
ROE of 7.3% — below average capital efficiency
Elevated debt levels
Earnings declined 47.7%
Distress zone — elevated risk
2.9% revenue growth
Grey zone — moderate risk
4.6% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : KDP
The strongest argument for KDP centers on Price/Book. PEG of 1.06 suggests the stock is reasonably priced for its growth.
Bull Case : LW
PEG of 1.03 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 : LW
The primary concerns for LW are Revenue Growth, Altman Z-Score, Profit Margin. Debt-to-equity of 2.19 is elevated, increasing financial risk. Thin 4.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
LW carries more volatility with a beta of 0.46 — expect wider price swings.
KDP is growing revenue faster at 9.4% — sustainability is the question.
KDP generates stronger free cash flow (165M), providing more financial flexibility.
Monitor BEVERAGES - NON-ALCOHOLIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
KDP scores higher overall (59/100 vs 53/100). LW offers better value entry with a 27.8% 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.
Lamb Weston Holdings Inc
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
Lamb Weston Holdings, Inc. is an American food processing company that is one of the world's largest producers and processors of frozen french fries and other frozen potato products. It is headquartered in Eagle, Idaho.
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