Keurig Dr Pepper Inc (KDP)vsAltria Group (MO)
KDP
Keurig Dr Pepper Inc
$26.37
+0.61%
CONSUMER DEFENSIVE · Cap: $35.61B
MO
Altria Group
$63.78
-0.84%
CONSUMER DEFENSIVE · Cap: $107.97B
Smart Verdict
WallStSmart Research — data-driven comparison
Altria Group generates 21% more annual revenue ($20.14B vs $16.60B). MO leads profitability with a 34.5% profit margin vs 12.5%. KDP appears more attractively valued with a PEG of 0.89. KDP earns a higher WallStSmart Score of 69/100 (B-).
KDP
Strong Buy69
out of 100
Grade: B-
MO
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+2.7%
Fair Value
$30.72
Current Price
$26.37
$4.35 discount
Margin of Safety
-135.3%
Fair Value
$28.02
Current Price
$63.78
$35.76 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Attractively priced relative to earnings
Strong operational efficiency at 22.6%
Keeps 35 of every $100 in revenue as profit
Strong operational efficiency at 57.1%
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
Generating 3.2B in free cash flow
Areas to Watch
Distress zone — elevated risk
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Revenue declined 0.5%
Earnings declined 62.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : KDP
The strongest argument for KDP centers on Price/Book, PEG Ratio, P/E Ratio. Revenue growth of 10.5% demonstrates continued momentum. PEG of 0.89 suggests the stock is reasonably priced for its growth.
Bull Case : MO
The strongest argument for MO centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 34.5% and operating margin at 57.1%.
Bear Case : KDP
The primary concerns for KDP are Altman Z-Score.
Bear Case : MO
The primary concerns for MO are PEG Ratio, Return on Equity, Revenue Growth.
Key Dynamics to Monitor
KDP profiles as a value stock while MO is a declining play — different risk/reward profiles.
MO carries more volatility with a beta of 0.43 — expect wider price swings.
KDP is growing revenue faster at 10.5% — sustainability is the question.
MO generates stronger free cash flow (3.2B), providing more financial flexibility.
Bottom Line
KDP scores higher overall (69/100 vs 47/100) and 10.5% revenue growth. Both earn "Strong Buy" and "Hold" 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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