Keurig Dr Pepper Inc (KDP) is slightly undervalued and Primo Brands Corp (PRMB) is slightly undervalued.
Against our estimates of intrinsic value, KDP trades at the wider discount: a margin of safety of +14%, against +9% for PRMB.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 7.1% (average of 3 methods) values the shares at $36.83; the price of $31.51 is 14% below that value, and 83% of that value comes from beyond year five.
Leak Score 33/100 on 10 of 12 signals
Discounting its cash flows at 7.3% (average of 3 methods) values the shares at $21.64; the price of $19.64 is 9% below that value, and 83% of that value comes from beyond year five.
Leak Score 0/100 on 2 of 12 signals
| Metric | KDP | PRMB |
|---|---|---|
| Verdict | Slightly undervalued | Slightly undervalued |
| Price | $31.51 | $19.64 |
| Intrinsic value | $36.83 | $21.64 |
| Margin of safety | +14% | +9% |
| Leak Score | 33/100 (10/12) | 0/100 (2/12) |
| Market cap | $42.9B | $7.1B |
| Revenue growth, 5 years | 7.4% | 27.8% |
| Operating margin | 16.9% | 10.4% |
| Net margin | 6.7% | 1.5% |
| Return on equity | 5.7% | 3.6% |
| Debt to equity | 1.50 | 1.91 |
| P/E | 31.9x | 71.8x |
| Forward P/E | 12.4x | 13.2x |
| P/B | 1.7x | 2.4x |
| Dividend yield | 3.0% | 2.4% |