Keurig Dr Pepper has posted robust volume growth and a remarkable near-term revenue forecast, though its long-term sales expansion remains mediocre. The company’s average quarterly volume growth reached 4.8% over the past two years, a strong showing in the stable consumer staples sector. Wall Street analysts project revenue will surge 72.3% over the next twelve months, an eye-popping improvement for a company of its scale. However, annualized revenue growth over the last three years was just 5.7%, a disappointing result relative to the broader consumer staples industry. Shares of Keurig Dr Pepper have returned 9.8% over the last six months, slightly outpacing the S&P 500’s 7.8% gain.
Keurig Dr Pepper IncStrong volume growth and near-term revenue outlook are positive, but long-term sales growth is mediocre, creating mixed signals.