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Keurig Dr PepperKDP +1.41%81 Earnings Yield (Joel Greenblatt) % is 5.07% as of Mar. 2026, which is 12% above its 10-year median of 4.54. GuruFocus rates KDP with a GF Scoreâ„¢ of 81/100 and a GF Valueâ„¢ of $45.90 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 118 Beverages - Non-Alcoholic companies, Keurig Dr Pepper ranks worse than 56.78% on this metric.
Keurig Dr Pepper's Enterprise Value for the quarter that ended in Mar. 2026 was $64,550 Mil.
Keurig Dr Pepper's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 was $3,271 Mil. Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2026 was 5.07%.
The historical rank and industry rank for Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:
KDP'
s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: 1.04 Med: 4.54 Max: 8.05
Current: 4.69
During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of Keurig Dr Pepper was 8.05%. The lowest was 1.04%. And the median was 4.54%.
KDP's Earnings Yield (Joel Greenblatt) % is ranked worse than 56.78% of 118
companies
in the Beverages - Non-Alcoholic industry
Industry Median: 5.625
vs KDP: 4.69
Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.
A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Keurig Dr Pepper's Forward Rate of Return (Yacktman) % for the quarter that ended in Mar. 2026 was 7.65%. The Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
Keurig Dr Pepper (NAS:KDP) Earnings Yield (Joel Greenblatt) % Explanation
Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.
Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.
Be Aware
Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.
Keurig Dr Pepper Earnings Yield (Joel Greenblatt) % Related Terms
Keurig Dr Pepper Earnings Yield (Joel Greenblatt) % Historical Data
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The historical data trend for Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Keurig Dr Pepper Earnings Yield (Joel Greenblatt) % Chart
For the Beverages - Non-Alcoholic subindustry, Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Keurig Dr Pepper Earnings Yield (Joel Greenblatt) % vs Beverages - Non-Alcoholic Industry
For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) % falls into.
Keurig Dr Pepper Earnings Yield (Joel Greenblatt) % Calculation
In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.
Keurig Dr Peppers Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Dec. 2025 is calculated as
Keurig Dr Pepper's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $3,271 Mil.
What does a Earnings Yield (Joel Greenblatt) % of 5.07% mean?
Keurig Dr Pepper (KDP) has a Earnings Yield (Joel Greenblatt) % of 5.07% as of Mar. 2026. Joel Greenblatt's earnings yield equals the ratio of earnings before interest and taxes to enterprise value. View historical data on Keurig Dr Pepper and its competitors. This is 12% above median its historical median of 4.54. Over the past decade, Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) % has ranged from 1.04 to 8.05. According to the industry distribution chart, Keurig Dr Pepper ranks #67 out of 118 companies in the Beverages - Non-Alcoholic industry, placing it in the top 56.8%.
Is Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) % too high?
Keurig Dr Pepper's current Earnings Yield (Joel Greenblatt) % of 5.07% is 12% above median its 10-year median of 4.54. Over the past 10 years, this metric has ranged from a low of 1.04 to a high of 8.05. The Beverages - Non-Alcoholic industry median Earnings Yield (Joel Greenblatt) % is 5.63. Keurig Dr Pepper's value of 5.07% is 9.9% below this industry median. Based on the distribution chart, Keurig Dr Pepper ranks #67 out of 118 companies in the Beverages - Non-Alcoholic industry, which is below the industry midpoint. Overall, Keurig Dr Pepper has a GF Scoreâ„¢ of 81/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Keurig Dr Pepper's Earnings Yield (Joel Greenblatt) % compare to COCSF and COKE?
According to the Beverages - Non-Alcoholic industry distribution chart, Keurig Dr Pepper ranks #67 out of 118 companies for Earnings Yield (Joel Greenblatt) %. This places Keurig Dr Pepper in the lower half of its industry. The industry median Earnings Yield (Joel Greenblatt) % is 5.63. Keurig Dr Pepper's value of 5.07% is 9.9% below this benchmark. Historically, Keurig Dr Pepper's own Earnings Yield (Joel Greenblatt) % has ranged from 1.04 to 8.05 over the past decade. While the company's 10-year median is 4.54 vs. the industry median of 5.63, Keurig Dr Pepper has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Yield (Joel Greenblatt) % for a Beverages - Non-Alcoholic company?
The median Earnings Yield (Joel Greenblatt) % among Beverages - Non-Alcoholic companies is 5.63, based on 118 companies in the industry. Companies in the top quartile (top 25%) have a Earnings Yield (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, Earnings Yield (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Keurig Dr Pepper's current Earnings Yield (Joel Greenblatt) % of 5.07% is 9.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Earnings Yield (Joel Greenblatt) % mean?
A high Earnings Yield (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's earnings yield equals the ratio of earnings before interest and taxes to enterprise value. View historical data on Keurig Dr Pepper and its competitors. For the Beverages - Non-Alcoholic industry, the median Earnings Yield (Joel Greenblatt) % is 5.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Keurig Dr Pepper's current Earnings Yield (Joel Greenblatt) % is 5.07%, which is 12% above median its own 10-year median of 4.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Keurig Dr Pepper stock overvalued right now?
Based on GuruFocus' analysis, Keurig Dr Pepper (KDP) is currently considered Possible Value Trap. The stock's GF Value™ is $45.90, compared to a current price of $30.12 — trading 34.4% below its estimated fair value. The current Earnings Yield (Joel Greenblatt) % is 5.07%, which is 12% above median its 10-year median of 4.54 and 9.9% below the Beverages - Non-Alcoholic industry median of 5.63. Keurig Dr Pepper's overall GF Score™ is 81/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Yield (Joel Greenblatt) % calculated?
Earnings Yield (Joel Greenblatt) % is calculated from a company's financial statements. For Keurig Dr Pepper (KDP), the current Earnings Yield (Joel Greenblatt) % is 5.07% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Keurig Dr Pepper (KDP) Overvalued in 2026?
Based on GuruFocus' analysis, Keurig Dr Pepper stock appears to be undervalued.
The current stock price of $30.12 is trading 34.4% below its estimated GF Value™ of $45.90.
GuruFocus considers Keurig Dr Pepper to be Possible Value Trap.
Key valuation signals for KDP:
Earnings Yield (Joel Greenblatt) %: 5.07% (12% above median its 10-year median of 4.54)
GF Value™: $45.90 vs. price of $30.12 (34.4% below fair value)
Industry Position: 9.9% below the Beverages - Non-Alcoholic median (#67 of 118)
No single metric tells the full story. See the KDP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Keurig Dr Pepper was established in 2018 following a merger between Keurig Green Mountain Coffee and Dr Pepper Snapple. The company manufactures and distributes coffee systems (including coffee brewers and single-serve coffee pods) under the Keurig and Green Mountain brands, as well as ready-to-drink beverages including flavored (non-cola) sparkling soft drinks under well-known brands such as Dr Pepper, Snapple, and Canada Dry. On Aug. 25, 2025, the firm announced a definitive agreement to acquire coffeemaker JDE Peet's for $18 billion in cash, with the deal now scheduled to close in April 2026. Following the merger, it plans to split into two US-listed entities to focus on refreshment beverages in North America and global coffee separately.
81GF Score
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