WallStSmart

Keurig Dr Pepper Inc (KDP)vsMcCormick & Company Incorporated (MKC-V)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Keurig Dr Pepper Inc generates 129% more annual revenue ($16.94B vs $7.39B). MKC-V leads profitability with a 21.9% profit margin vs 10.8%. KDP appears more attractively valued with a PEG of 1.03. MKC-V earns a higher WallStSmart Score of 65/100 (B-).

KDP

Buy

59

out of 100

Grade: C

Growth: 4.7Profit: 6.0Value: 7.3Quality: 5.5
Piotroski: 5/9Altman Z: 1.09

MKC-V

Strong Buy

65

out of 100

Grade: B-

Growth: 4.7Profit: 7.5Value: 8.0Quality: 5.0
Piotroski: 4/9Altman Z: 1.58
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KDPUndervalued (+56.9%)

Margin of Safety

+56.9%

Fair Value

$69.30

Current Price

$33.30

$36.00 discount

UndervaluedFair: $69.30Overvalued
MKC-VUndervalued (+75.0%)

Margin of Safety

+75.0%

Fair Value

$288.17

Current Price

$53.40

$234.77 discount

UndervaluedFair: $288.17Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KDP1 strengths · Avg: 8.0/10
Price/BookValuation
1.8x8/10

Reasonable price relative to book value

MKC-V5 strengths · Avg: 8.8/10
P/E RatioValuation
8.9x10/10

Attractively priced relative to earnings

Return on EquityProfitability
23.2%9/10

Every $100 of equity generates 23 in profit

Profit MarginProfitability
21.9%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

Areas to Watch

KDP4 concerns · Avg: 2.5/10
Return on EquityProfitability
7.3%3/10

ROE of 7.3% — below average capital efficiency

Debt/EquityHealth
1.023/10

Elevated debt levels

EPS GrowthGrowth
-47.7%2/10

Earnings declined 47.7%

Altman Z-ScoreHealth
1.092/10

Distress zone — elevated risk

MKC-V3 concerns · Avg: 3.3/10
PEG RatioValuation
1.994/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.584/10

Distress zone — elevated risk

EPS GrowthGrowth
-14.2%2/10

Earnings declined 14.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : KDP

The strongest argument for KDP centers on Price/Book. PEG of 1.03 suggests the stock is reasonably priced for its growth.

Bull Case : MKC-V

The strongest argument for MKC-V centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 21.9% and operating margin at 17.4%. Revenue growth of 16.7% demonstrates continued momentum.

Bear Case : KDP

The primary concerns for KDP are Return on Equity, Debt/Equity, EPS Growth.

Bear Case : MKC-V

The primary concerns for MKC-V are PEG Ratio, Altman Z-Score, EPS Growth.

Key Dynamics to Monitor

KDP profiles as a value stock while MKC-V is a growth play — different risk/reward profiles.

MKC-V carries more volatility with a beta of 0.63 — expect wider price swings.

MKC-V is growing revenue faster at 16.7% — sustainability is the question.

MKC-V generates stronger free cash flow (347M), providing more financial flexibility.

Bottom Line

MKC-V scores higher overall (65/100 vs 59/100), backed by strong 21.9% margins and 16.7% revenue growth. KDP offers better value entry with a 56.9% margin of safety. 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.

McCormick & Company Incorporated

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

McCormick & Company is an American multinational food company that manufactures, markets, and distributes spices, seasoning mixes, condiments, and other flavoring products to retail outlets, food manufacturers, and foodservice businesses.

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