Keurig Dr Pepper Inc
NASDAQ: KDP · CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC
Updated 2026-04-29
Keurig Dr Pepper Inc (KDP) Stock Valuation Analysis
Fair value estimate, historical valuation range, and quality signals for KDP.
Valued
Valuation reasonably reflects current fundamentals. Limited margin of safety at these levels.
KDP historical valuation range
Where current P/E sits in KDP's own 5Y range.
KDP intrinsic value (DCF)
DCF-based fair value estimate vs current market price.
Intrinsic value calculated using discounted cash flow (DCF) model based on projected free cash flows, discount rate, and terminal growth assumptions. A positive margin of safety indicates the current price is below estimated fair value, providing a cushion against estimation error.
KDP valuation signals
Quick-read green flags, caution flags, and risks based on current metrics.
P/E Ratio — History
Current: 21.43x
P/S Ratio — History
Current: 2.32x
Is KDP overvalued in 2026?
Keurig Dr Pepper Inc (KDP) currently trades at $28.93 per share with a market capitalization of $39,360,987,000.00. Based on our multi-factor framework, the stock trades at a fair valuation with a Smart Value Score of 61/100. This score blends growth quality, financial health, and price attractiveness into a single institutional-grade read.
The stock trades at a P/E ratio of 21.4x, below its 5-year median of 22.7x. The PEG ratio of 0.96 suggests earnings growth is outpacing the multiple, a classic sign of undervaluation.
Looking at its own history, KDP is currently trading cheaper than 68% of the last 5Y on P/E. This places it in the 32th percentile of its historical range, a reasonable but unremarkable position.
Our discounted cash flow model estimates KDP's intrinsic value at $73.47 per share, against the current market price of $28.93. This implies a margin of safety of +59.32%. A meaningful cushion exists against model error, making this a reasonable risk-adjusted entry.
The Piotroski F-Score of 5/9 puts financial quality in a middling range, neither a standout strength nor an obvious red flag.
Bottom line: KDP trades at a fair valuation on our framework, with a Smart Value Score of 61/100. The valuation is defensible but offers no obvious bargain. Patience or a better entry price may reward disciplined buyers.
Frequently asked questions
Is KDP overvalued in 2026?
Based on a Smart Value Score of 61/100, KDP is fairly valued. Price reasonably reflects current fundamentals with limited cushion in either direction.
What is KDP's fair value?
Our DCF model estimates KDP's intrinsic value at $73.47 per share, versus the current price of $28.93. This produces a margin of safety of +59.32%.
What P/E ratio does KDP trade at?
KDP trades at a P/E of 21.4x on trailing twelve-month earnings, compared to its 5-year median of 22.7x.
Is KDP a buy based on valuation?
WallStSmart does not issue buy or sell recommendations. Our Smart Value Score of 61/100 reflects the combined read on growth, quality, and price. The profile is balanced. Best suited for investors with an existing thesis.
How does KDP's valuation compare to its history?
On P/E, KDP currently sits in the 32th percentile of its own 5Y range. That is below its long-run median relative to where it has traded over the period.
What is KDP's Smart Value Score?
KDP's Smart Value Score is 61/100. The Smart Value Score is a proprietary WallStSmart metric blending growth quality, financial health, and valuation attractiveness into a single 0-100 read. Scores above 75 are rare and indicate strong multi-factor alignment.