WallStSmart

Keurig Dr Pepper Inc (KDP)vsWaters Corporation (WAT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Keurig Dr Pepper Inc generates 425% more annual revenue ($16.60B vs $3.17B). WAT leads profitability with a 20.3% 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 Buy

69

out of 100

Grade: B-

Growth: 6.0Profit: 6.5Value: 8.7Quality: 4.3
Piotroski: 5/9Altman Z: 1.06

WAT

Buy

60

out of 100

Grade: C

Growth: 4.0Profit: 9.0Value: 7.3Quality: 6.8
Piotroski: 4/9Altman Z: 4.92
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KDPUndervalued (+2.7%)

Margin of Safety

+2.7%

Fair Value

$30.72

Current Price

$26.37

$4.35 discount

UndervaluedFair: $30.72Overvalued
WATSignificantly Overvalued (-349.9%)

Margin of Safety

-349.9%

Fair Value

$73.17

Current Price

$302.32

$229.15 premium

UndervaluedFair: $73.17Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KDP4 strengths · Avg: 8.5/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

PEG RatioValuation
0.898/10

Growing faster than its price suggests

P/E RatioValuation
17.1x8/10

Attractively priced relative to earnings

Operating MarginProfitability
22.6%8/10

Strong operational efficiency at 22.6%

WAT4 strengths · Avg: 9.5/10
Operating MarginProfitability
33.8%10/10

Strong operational efficiency at 33.8%

Altman Z-ScoreHealth
4.9210/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
29.3%9/10

Every $100 of equity generates 29 in profit

Profit MarginProfitability
20.3%9/10

Keeps 20 of every $100 in revenue as profit

Areas to Watch

KDP1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
1.062/10

Distress zone — elevated risk

WAT2 concerns · Avg: 3.0/10
P/E RatioValuation
28.1x4/10

Moderate valuation

EPS GrowthGrowth
-3.1%2/10

Earnings declined 3.1%

Comparative Analysis Report

WallStSmart Research

Bull 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 : WAT

The strongest argument for WAT centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 20.3% and operating margin at 33.8%. PEG of 1.25 suggests the stock is reasonably priced for its growth.

Bear Case : KDP

The primary concerns for KDP are Altman Z-Score.

Bear Case : WAT

The primary concerns for WAT are P/E Ratio, EPS Growth.

Key Dynamics to Monitor

KDP profiles as a value stock while WAT is a mature play — different risk/reward profiles.

WAT carries more volatility with a beta of 1.20 — expect wider price swings.

KDP is growing revenue faster at 10.5% — sustainability is the question.

KDP generates stronger free cash flow (566M), providing more financial flexibility.

Bottom Line

KDP scores higher overall (69/100 vs 60/100) and 10.5% revenue growth. 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.

Waters Corporation

HEALTHCARE · DIAGNOSTICS & RESEARCH · USA

Waters Corporation is a publicly traded Analytical Laboratory instrument and software company headquartered in Milford, Massachusetts.

Want to dig deeper into these stocks?