Is Keurig Dr Pepper, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Keurig Dr Pepper, Inc. has moved from attractive to very expensive, indicating a shift towards overvaluation. The company is currently assessed as overvalued, with a P/E ratio of 19, a Price to Book Value of 1.82, and an EV to EBITDA of 13.96. In comparison, a peer company has a P/E of 16.43 and an EV to EBITDA of 12.50, suggesting that Keurig Dr Pepper is trading at a premium relative to its peers.
The company's recent stock performance has been underwhelming, with a year-to-date return of -12.73%, significantly lagging behind the S&P 500's return of 13.30% during the same period. This underperformance, coupled with the high valuation ratios, reinforces the conclusion that Keurig Dr Pepper, Inc. is currently overvalued.