Keurig Dr Pepper (NASDAQ:KDP) and Coca-Cola HBC (OTCMKTS:CCHGY) Critical Contrast

Keurig Dr Pepper (NASDAQ:KDP) and Coca-Cola HBC (OTCMKTS:CCHGY) are both large-cap consumer staples companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, earnings, profitability, analyst recommendations, risk, institutional ownership and valuation.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Keurig Dr Pepper and Coca-Cola HBC, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Keurig Dr Pepper	0	9	6	1	2.50
Coca-Cola HBC	1	2	2	0	2.20

Keurig Dr Pepper currently has a consensus target price of $31.57, suggesting a potential upside of 12.15%. Given Keurig Dr Pepper’s stronger consensus rating and higher possible upside, analysts clearly believe Keurig Dr Pepper is more favorable than Coca-Cola HBC.

Insider & Institutional Ownership

94.0% of Keurig Dr Pepper shares are owned by institutional investors. 1.0% of Keurig Dr Pepper shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Risk and Volatility

Keurig Dr Pepper has a beta of 0.35, meaning that its share price is 65% less volatile than the S&P 500. Comparatively, Coca-Cola HBC has a beta of 0.62, meaning that its share price is 38% less volatile than the S&P 500.

Profitability

This table compares Keurig Dr Pepper and Coca-Cola HBC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Keurig Dr Pepper	10.81%	10.51%	4.64%
Coca-Cola HBC	N/A	N/A	N/A

Earnings & Valuation

This table compares Keurig Dr Pepper and Coca-Cola HBC”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Keurig Dr Pepper	$16.60 billion	2.31	$2.08 billion	$1.35	20.85
Coca-Cola HBC	$13.13 billion	1.60	$1.06 billion	N/A	N/A

Keurig Dr Pepper has higher revenue and earnings than Coca-Cola HBC.

Summary

Keurig Dr Pepper beats Coca-Cola HBC on 12 of the 13 factors compared between the two stocks.

About Keurig Dr Pepper

Keurig Dr Pepper Inc. owns, manufactures, and distributors beverages and single serve brewing systems in the United States and internationally. It operates through three segments: U.S. Refreshment Beverages, U.S. Coffee, and International. The U.S. Refreshment Beverages segment manufactures and distributes branded concentrates, syrup, and finished beverages. Its U.S. Coffee segment offers finished goods relating to K-Cup pods, single serve brewers, specialty coffee, and ready to drink coffee products through Keurig.com website. The International segment provides sales in Canada, Mexico, the Caribbean, and other international markets from the manufacture and distribution of branded concentrates, syrup, and finished beverages; and sales in Canada from the manufacture and distribution of finished goods relating to the Company's single serve brewers, KCup pods, and other coffee products. It serves retailers, third-party bottlers and distributors, retail partners, hotel chains, office coffee distributors, and end-use consumers. The company offers its products under the Dr Pepper, Canada Dry, Green Mountain Coffee Roasters, Snapple, Mott's, The Original Donut Shop, Clamato, and Core Hydration brand name. Keurig Dr Pepper Inc. was founded in 1981 and is headquartered in Burlington, Massachusetts.

About Coca-Cola HBC

Coca-Cola HBC AG engages in the production, distribution, and sale of non-alcoholic ready-to-drink beverages under franchise in Switzerland, the United Kingdom, North and Central America, rest of Europe, the Nordic countries, and internationally. The company offers sparkling soft drinks, adult sparkling, hydration drinks, juices, ready-to-drink tea and coffee, sports and energy drinks, dairy, stills, coffee, water, plant-based drinks, premium spirits, and snacks. It markets and sells its products under several brands, including Coca-Cola, Fanta, Sprite, Adez, Averna, Amita, Aquarius, Aperol, Avra, Deep RiverRock, Fruice, Kinley, Schweppes, and various other brands; and distributes third-party products. The company serves a range of consumer channels, including supermarkets, convenience stores, vending machines, hotels, cafés, and restaurants; and e-commerce channels. Coca-Cola HBC AG was incorporated in 1969 and is headquartered in Steinhausen, Switzerland.