UBS has revised its price target for Keurig Dr Pepper (KDP, Financial), elevating it to $42 from the previous $40 while maintaining a Buy rating on the stock. This update comes as part of their first-quarter preview of the consumer staples sector.
The firm notes that the fundamental conditions for the consumer staples market have weakened recently, largely due to decreasing consumer demand and uncertainties surrounding tariffs. Despite these challenges, UBS remains bullish on companies that show strong or improving fundamental visibility, regardless of their current valuations.
UBS identifies Keurig Dr Pepper (KDP, Financial), along with Coca-Cola (KO), Celsius (CELH), Monster Beverage (MNST), and Church & Dwight (CHD), as firms that are strategically well-positioned as they approach the earnings season. This positioning is attributed to the clarity and potential improvement in their business operations despite broader market headwinds.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 18 analysts, the average target price for Keurig Dr Pepper Inc (KDP, Financial) is $38.46 with a high estimate of $44.00 and a low estimate of $33.23. The average target implies an upside of 9.53% from the current price of $35.11. More detailed estimate data can be found on the Keurig Dr Pepper Inc (KDP) Forecast page.
Based on the consensus recommendation from 21 brokerage firms, Keurig Dr Pepper Inc's (KDP, Financial) average brokerage recommendation is currently 2.2, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Keurig Dr Pepper Inc (KDP, Financial) in one year is $39.47, suggesting a upside of 12.42% from the current price of $35.11. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Keurig Dr Pepper Inc (KDP) Summary page.
