Dr Pepper Snapple Group Inc. (DPS) Raised to Buy at Zacks Investment Research
Dr Pepper Snapple Group Inc. (NYSE:DPS) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Tuesday. The firm presently has a $102.00 price target on the stock. Zacks Investment Research’s price target suggests a potential upside of 12.37% from the stock’s current price.
According to Zacks, “Dr Pepper has robust long-term fundamentals – strong position in the flavored CSD market, aggressive RCI cost savings and regular cash returns to its shareholders. Continuing the strong performance seen in 2015, the company delivered solid top-line and bottom-line results in the first half of 2016. Solid execution, pricing gains, innovations, strong NCB performance, powerful marketing programs and productivity improvements have been driving strong sales and earnings growth for Dr Pepper since 2015. Moreover, Dr Pepper raised its earnings expectations for 2016 twice this year. Dr Pepper’s allied brands have been an important driver of volume growth and profits in recent quarters. However, sluggish volumes of its carbonated beverages, including the diet versions, due to CSD category headwinds, raises concerns.”
Several other equities analysts have also recently weighed in on the company. Credit Suisse Group AG began coverage on Dr Pepper Snapple Group in a research report on Thursday, September 15th. They issued an “outperform” rating and a $108.00 price target for the company. Susquehanna reiterated a “hold” rating on shares of Dr Pepper Snapple Group in a research report on Wednesday, September 7th. Wells Fargo & Co. reiterated a “market perform” rating and issued a $92.00 price target (up from $90.00) on shares of Dr Pepper Snapple Group in a research report on Sunday, July 31st. Jefferies Group lifted their price target on Dr Pepper Snapple Group from $101.00 to $104.00 and gave the company a “hold” rating in a research report on Thursday, July 28th. Finally, Deutsche Bank AG lifted their price target on Dr Pepper Snapple Group from $95.00 to $97.00 and gave the company a “hold” rating in a research report on Thursday, July 28th. Two equities research analysts have rated the stock with a sell rating, nine have given a hold rating and seven have assigned a buy rating to the stock. The stock currently has an average rating of “Hold” and a consensus target price of $96.86.
This story is the sole property of American Banking News and it was originally published by American Banking News. If you are reading this story on another website, that means this article was illegally copied and re-published to this website in violation of U.S. and International copyright law. The original version of this article is available at http://www.americanbankingnews.com/2016/09/20/dr-pepper-snapple-group-inc-dps-raised-to-buy-at-zacks-investment-research-2.html
Dr Pepper Snapple Group (NYSE:DPS) traded up 0.06% during trading on Tuesday, reaching $90.82. The company’s stock had a trading volume of 611,573 shares. The company has a market cap of $16.84 billion, a PE ratio of 20.80 and a beta of 0.32. The stock has a 50-day moving average price of $94.21 and a 200 day moving average price of $93.00. Dr Pepper Snapple Group has a 52-week low of $76.56 and a 52-week high of $98.80.
Dr Pepper Snapple Group (NYSE:DPS) last issued its earnings results on Wednesday, July 27th. The company reported $1.25 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $1.20 by $0.05. The firm had revenue of $1.70 billion for the quarter, compared to analyst estimates of $1.68 billion. Dr Pepper Snapple Group had a return on equity of 37.43% and a net margin of 13.04%. The business’s revenue was up 2.4% on a year-over-year basis. During the same period in the previous year, the company posted $1.13 earnings per share. On average, analysts expect that Dr Pepper Snapple Group will post $4.37 EPS for the current year.
The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 5th. Stockholders of record on Tuesday, September 13th will be paid a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a dividend yield of 2.34%. The ex-dividend date is Friday, September 9th. Dr Pepper Snapple Group’s dividend payout ratio (DPR) is presently 48.51%.
In other news, insider David Thomas sold 2,000 shares of the business’s stock in a transaction dated Friday, August 12th. The stock was sold at an average price of $97.20, for a total value of $194,400.00. Following the completion of the sale, the insider now owns 40,000 shares of the company’s stock, valued at approximately $3,888,000. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, insider Martin M. Ellen sold 15,462 shares of the business’s stock in a transaction dated Thursday, July 28th. The shares were sold at an average price of $96.63, for a total value of $1,494,093.06. Following the completion of the sale, the insider now directly owns 5,462 shares of the company’s stock, valued at approximately $527,793.06. The disclosure for this sale can be found here. 0.62% of the stock is owned by insiders.
Large investors have recently added to or reduced their stakes in the stock. Bank of Montreal Can acquired a new position in Dr Pepper Snapple Group during the second quarter worth approximately $194,014,000. Norges Bank acquired a new position in Dr Pepper Snapple Group during the fourth quarter worth approximately $136,394,000. NN Investment Partners Holdings N.V. acquired a new position in Dr Pepper Snapple Group during the first quarter worth approximately $78,984,000. Renaissance Technologies LLC acquired a new position in Dr Pepper Snapple Group during the first quarter worth approximately $67,450,000. Finally, Emerald Acquisition Ltd. acquired a new position in Dr Pepper Snapple Group during the second quarter worth approximately $51,428,000. 92.07% of the stock is owned by institutional investors.
Dr Pepper Snapple Group Company Profile
Dr Pepper Snapple Group, Inc is an owner, manufacturer and distributor of non-alcoholic beverages in the United States, Canada and Mexico. The Company’s products consist of flavored (non-cola) carbonated soft drinks (CSDs) and non-carbonated beverages (NCBs), including ready-to-drink teas, juices, juice drinks, water and mixers.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Dr Pepper Snapple Group Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Dr Pepper Snapple Group Inc. and related companies with MarketBeat.com's FREE daily email newsletter.