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Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.
As of today (2026-07-16), the stock price of Keurig Dr Pepper is $30.28. Keurig Dr Pepper's graham number for the quarter that ended in Mar. 2026 was $N/A. Therefore, Keurig Dr Pepper's Price to Graham Number ratio for today is N/A.
The historical rank and industry rank for Keurig Dr Pepper's Graham Number or its related term are showing as below:
KDP's Price-to-Graham-Number is not ranked *
in the Beverages - Non-Alcoholic industry.
Industry Median: 1.51 * Ranked among companies with meaningful Price-to-Graham-Number only.
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Keurig Dr Pepper (NAS:KDP) Graham Number Explanation
Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:
Current price should not be more than 15 times average earnings of the past three years.
Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)
Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.
In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.
Keurig Dr Pepper's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2026 )
=
30.28
/
N/A
=
N/A
* 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.
Be Aware
Please keep these in mind:
1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.
Keurig Dr Pepper Graham Number Related Terms
Keurig Dr Pepper Graham Number Historical Data
* Premium members only.
The historical data trend for Keurig Dr Pepper's Graham Number 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.
KDP vs COCSF, COKE, PRMB: Graham Number Comparison
For the Beverages - Non-Alcoholic subindustry, Keurig Dr Pepper's Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number 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 Price-to-Graham-Number vs Beverages - Non-Alcoholic Industry
For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Keurig Dr Pepper's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Keurig Dr Pepper's Price-to-Graham-Number falls into.
* 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 (KDP) has a Graham Number of $N/A as of Mar. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Keurig Dr Pepper and its competitors. According to the industry distribution chart, Keurig Dr Pepper ranks #999999 out of 84 companies in the Beverages - Non-Alcoholic industry.
Is Keurig Dr Pepper's Graham Number too high?
Keurig Dr Pepper's current Graham Number is $N/A. Based on the distribution chart, Keurig Dr Pepper ranks #999999 out of 84 companies in the Beverages - Non-Alcoholic industry, which is in the bottom quartile relative to peers. Overall, Keurig Dr Pepper has a GF Score™ of 82/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Keurig Dr Pepper's Graham Number compare to COCSF and COKE?
According to the Beverages - Non-Alcoholic industry distribution chart, Keurig Dr Pepper ranks #999999 out of 84 companies for Graham Number. This places Keurig Dr Pepper in the lower half of its industry. The industry median Graham Number is 1.51. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Graham Number for a Beverages - Non-Alcoholic company?
The median Graham Number among Beverages - Non-Alcoholic companies is 1.51, based on 84 companies in the industry. Companies in the top quartile (top 25%) have a Graham Number significantly above this median, while those in the bottom quartile fall well below. However, Graham Number should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Graham Number mean?
A high Graham Number can signal that a stock is expensive relative to its fundamentals. The Graham Number values a company based on its per-share earnings and book value. View historical data on Keurig Dr Pepper and its competitors. For the Beverages - Non-Alcoholic industry, the median Graham Number is 1.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Keurig Dr Pepper's current Graham Number is $N/A. 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 $45.09, compared to a current price of $30.28 — trading 32.8% below its estimated fair value. The current Graham Number is $N/A. Keurig Dr Pepper's overall GF Score™ is 82/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Graham Number calculated?
Graham Number is calculated from a company's financial statements. For Keurig Dr Pepper (KDP), the current Graham Number is $N/A 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 $30.28 is trading 32.8% below its estimated GF Value™ of $45.09.
GuruFocus considers Keurig Dr Pepper to be Possible Value Trap.
Key valuation signals for KDP:
Graham Number: $N/A
GF Value™: $45.09 vs. price of $30.28 (32.8% below fair value)
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.
82GF Score
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