Keurig Dr Pepper (NASDAQ:KDP) Sees Unusually-High Trading Volume – Time to Buy?

Keurig Dr Pepper, Inc (NASDAQ:KDP) shares saw strong trading volume on Friday. Approximately 19,559,873 shares changed hands during trading, an increase of 57% from the average daily volume of 12,492,615 shares. The stock last traded at $36.2240 and had previously closed at $35.42.

Top Keurig Dr Pepper Stories

Investors following KDP have been watching these stories:

• Positive Sentiment: KDP’s Dr Pepper brand is expanding its foodservice reach through a fountain-distribution agreement with Jersey Mike’s, creating an additional opportunity to build sales and capitalize on brand momentum. Article: Can Keurig’s New Fountain Distribution Gains Boost Its Reach?
• Negative Sentiment: The company priced an offering of 57,971,015 shares at $34.50 each, raising approximately $2 billion. Issuing new shares can dilute existing shareholders and likely contributed to the stock’s decline. KDP says it plans to use the proceeds to reduce debt, which could strengthen its balance sheet, but investors are weighing that benefit against dilution. Article: Keurig Dr Pepper Announces Pricing of Public Offering of Common Stock

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on the stock. Argus restated a “buy” rating and set a $36.00 price target on shares of Keurig Dr Pepper in a report on Tuesday, September 15th. Barclays upped their price objective on shares of Keurig Dr Pepper from $38.00 to $41.00 and gave the stock an “overweight” rating in a report on Thursday, November 5th. Evercore increased their target price on shares of Keurig Dr Pepper from $30.00 to $32.00 in a research report on Thursday, October 8th. HSBC upgraded Keurig Dr Pepper from a “hold” rating to a “buy” rating and raised their target price for the company from $37.00 to $40.00 in a report on Thursday, August 13th. Finally, TD Cowen boosted their price target on Keurig Dr Pepper from $33.00 to $35.00 and gave the stock a “hold” rating in a research report on Wednesday, November 4th. Ten investment analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $37.29.

Keurig Dr Pepper Stock Performance

The company has a market cap of $49.37 billion, a P/E ratio of 33.32, a price-to-earnings-growth ratio of 1.82 and a beta of 0.35. The company has a quick ratio of 0.32, a current ratio of 0.52 and a debt-to-equity ratio of 0.73. The stock’s 50-day moving average price is $33.26 and its 200 day moving average price is $30.39.

Keurig Dr Pepper (NASDAQ:KDP) last posted its quarterly earnings data on Tuesday, November 3rd. The company reported $0.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.04. The business had revenue of $7.34 billion during the quarter, compared to the consensus estimate of $7.33 billion. Keurig Dr Pepper had a net margin of 7.12% and a return on equity of 11.27%. Keurig Dr Pepper’s quarterly revenue was up 70.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.54 EPS. As a group, research analysts expect that Keurig Dr Pepper, Inc will post 2.31 EPS for the current fiscal year.

Keurig Dr Pepper Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, October 9th. Shareholders of record on Monday, September 28th were given a dividend of $0.23 per share. The ex-dividend date of this dividend was Monday, September 28th. This represents a $0.92 dividend on an annualized basis and a yield of 2.5%. Keurig Dr Pepper’s payout ratio is currently 84.40%.

Insiders Place Their Bets

In other news, insider Mary Beth Denooyer sold 12,000 shares of Keurig Dr Pepper stock in a transaction dated Tuesday, September 8th. The stock was sold at an average price of $32.55, for a total value of $390,600.00. Following the transaction, the insider directly owned 84,171 shares in the company, valued at approximately $2,739,766.05. The trade was a 12.48% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, VP Angela A. Stephens sold 9,500 shares of the business’s stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $32.70, for a total value of $310,650.00. Following the transaction, the vice president directly owned 55,786 shares of the company’s stock, valued at $1,824,202.20. This represents a 14.55% decrease in their position. The disclosure for this sale is available in the SEC filing. Company insiders own 0.34% of the company’s stock.

Institutional Trading of Keurig Dr Pepper

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Community Bank N.A. bought a new position in Keurig Dr Pepper in the 2nd quarter worth approximately $29,000. Meeder Asset Management Inc. boosted its position in shares of Keurig Dr Pepper by 358.0% in the first quarter. Meeder Asset Management Inc. now owns 971 shares of the company’s stock valued at $26,000 after acquiring an additional 759 shares during the period. Covestor Ltd boosted its position in shares of Keurig Dr Pepper by 214.2% in the third quarter. Covestor Ltd now owns 1,194 shares of the company’s stock valued at $36,000 after acquiring an additional 814 shares during the period. Fortitude Family Office LLC boosted its position in shares of Keurig Dr Pepper by 216.2% in the third quarter. Fortitude Family Office LLC now owns 1,565 shares of the company’s stock valued at $47,000 after acquiring an additional 1,070 shares during the period. Finally, Root Financial Partners LLC acquired a new stake in shares of Keurig Dr Pepper in the third quarter worth $54,000. Institutional investors and hedge funds own 93.99% of the company’s stock.

About Keurig Dr Pepper

Keurig Dr Pepper Inc. (NASDAQ: KDP) is a beverage company that operates across coffee and packaged beverages. Its portfolio includes soft drinks, flavored waters, juices, juice drinks, ready-to-drink teas and coffees, sports and energy beverages, and mixers, as well as single-serve coffee brewing systems and pods. The company’s brands include Keurig, Green Mountain Coffee Roasters, The Original Donut Shop, Dr Pepper, Canada Dry, Snapple, 7UP, A&W, Mott’s, Bai, CORE Hydration and Venom, among others.