Dr Pepper Snapple Group Inc. (DPS): Today's Featured Food & Beverage Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Dr Pepper Snapple Group ( DPS) pushed the Food & Beverage industry lower today making it today's featured Food & Beverage laggard. The industry as a whole closed the day up 0.4%. By the end of trading, Dr Pepper Snapple Group fell $0.49 (-1.0%) to $48.28 on average volume. Throughout the day, 1,745,918 shares of Dr Pepper Snapple Group exchanged hands as compared to its average daily volume of 1,689,700 shares. The stock ranged in price between $48.14-$48.97 after having opened the day at $48.85 as compared to the previous trading day's close of $48.77. Other companies within the Food & Beverage industry that declined today were: China New Borun Corporation ( BORN), down 6.7%, Fomento Economico Mexicano SAB de CV ( FMX), down 3.6%, Key Technology ( KTEC), down 3.0% and Le Gaga Holdings ( GAGA), down 2.9%.
  • EXCLUSIVE OFFER: Jim Cramer's Protege, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Dr Pepper Snapple Group, Inc. operates as a brand owner, manufacturer, and distributor of non-alcoholic beverages in the United States, Canada, Mexico, and the Caribbean. Dr Pepper Snapple Group has a market cap of $10.0 billion and is part of the consumer goods sector. The company has a P/E ratio of 16.5, below the S&P 500 P/E ratio of 17.7. Shares are up 11.5% year to date as of the close of trading on Monday. Currently there are 2 analysts that rate Dr Pepper Snapple Group a buy, 1 analyst rates it a sell, and 9 rate it a hold.

TheStreet Ratings rates Dr Pepper Snapple Group as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, reasonable valuation levels, increase in stock price during the past year and growth in earnings per share. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the positive front, National Beverage Corporation ( FIZZ), down 9.8%, Bridgford Foods Corporation ( BRID), down 5.5%, Central European Distribution ( CEDC), down 5.0% and Lifeway Foods ( LWAY), down 5.0% , were all gainers within the food & beverage industry with Mead Johnson Nutrition Company ( MJN) being today's featured food & beverage industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the food & beverage industry could consider PowerShares Dynamic Food & Beverage ( PBJ) while those bearish on the food & beverage industry could consider PowerShares DB Agriculture Sht ETN ( ADZ).

Exclusive Offer: Jim Cramer's 'go-to' small/mid-cap guru Bryan Ashenberg only buys stocks he thinks could return 50-100%. See his top picks for 14-days FREE.
null

If you liked this article you might like

How Soda Makers Are Secretly Getting You to Pay More Money

Nasdaq Tumbles as Tech Takes a Turn Lower

Italy Dominates the Fancy Food Show, but Lithuania, Jordan and Even New Jersey Have a Presence