Keurig Dr Pepper Inc (KDP)vsAltria Group (MO)
KDP
Keurig Dr Pepper Inc
$28.83
+1.09%
CONSUMER DEFENSIVE · Cap: $38.80B
MO
Altria Group
$68.12
-1.33%
CONSUMER DEFENSIVE · Cap: $115.29B
Smart Verdict
WallStSmart Research — data-driven comparison
Altria Group generates 20% more annual revenue ($20.38B vs $16.94B). MO leads profitability with a 39.5% profit margin vs 10.8%. KDP appears more attractively valued with a PEG of 0.97. MO earns a higher WallStSmart Score of 61/100 (C+).
KDP
Buy61
out of 100
Grade: C+
MO
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+59.0%
Fair Value
$72.90
Current Price
$28.83
$44.07 discount
Margin of Safety
-37.1%
Fair Value
$48.09
Current Price
$68.12
$20.03 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Reasonable price relative to book value
Keeps 40 of every $100 in revenue as profit
Strong operational efficiency at 62.3%
Earnings expanding 106.3% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
Areas to Watch
ROE of 6.3% — below average capital efficiency
Earnings declined 47.7%
Distress zone — elevated risk
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
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 : MO
The strongest argument for MO centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 39.5% and operating margin at 62.3%.
Bear Case : KDP
The primary concerns for KDP are Return on Equity, EPS Growth, Altman Z-Score.
Bear Case : MO
The primary concerns for MO are PEG Ratio, Return on Equity.
Key Dynamics to Monitor
KDP profiles as a value stock while MO is a mature play — different risk/reward profiles.
MO carries more volatility with a beta of 0.52 — expect wider price swings.
KDP is growing revenue faster at 9.4% — sustainability is the question.
MO generates stronger free cash flow (2.2B), providing more financial flexibility.
Bottom Line
KDP scores higher overall (61/100 vs 61/100). 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.
Altria Group
CONSUMER DEFENSIVE · TOBACCO · USA
Altria Group, Inc. (previously known as Philip Morris Companies, Inc.) is an American corporation and one of the world's largest producers and marketers of tobacco, cigarettes and related products. It operates worldwide and is headquartered in unincorporated Henrico County, Virginia, just outside the city of Richmond.
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