We recently published a list of 10 Stocks Insiders Spent The Most Money On Recently. In this article, we are going to take a look at where Keurig Dr Pepper (NASDAQ:KDP) stands against other stocks insiders spent the most money on recently.
As the broader market continues to rise this year, we thought it would be interesting to highlight some stocks that have seen significant insider buying recently. Insiders—such as executives and directors—often have valuable insights into a company’s strategy, plans, and future initiatives. For instance, when a CEO or CFO invests their own money to purchase company shares, it can be seen as a strong vote of confidence in the company’s prospects. When an insider makes a substantial financial commitment, it often signals an even higher level of confidence in the company’s future performance.
Why should we be interested in insider trading activity? While both insider selling and buying can be driven by various motives, it is important to consider these moves within the broader context of the company’s fundamentals, industry trends, and overall market conditions. That’s why due diligence before any investment is of the utmost importance. However, insider trading activity in combination with other relevant determinants can offer valuable insights into a company’s capabilities, helping investors make more informed investment decisions.
What are some of the stocks that have seen the most insider investment recently? To find out, we used Insider Monkey’s insider trading stock screener, focusing only on stocks where each individual insider purchase was valued at $2 million or more. This means the total value of insider purchases over the same period (last 60 days) could be higher, but only larger purchases were considered in the search.
Our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds, focusing on insider trading and stock picks from hedge fund investor newsletters and conferences. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
With each stock, we note the value of acquired shares, which refers to the value of shares acquired through individual insider purchases worth at least $2 million each.
A conveyor belt filled with assorted K-Cup pods, ready for packaging.
Keurig Dr Pepper Inc. (NASDAQ:KDP)
Value Of Shares Acquired: $120,677,464.00
Market Cap: $44.02 billion
Keurig Dr Pepper, previously known under the names Green Mountain Coffee Roasters and Keurig Green Mountain, is a beverage and coffeemaker conglomerate. It was formed in 2018 via the merger of Keurig Green Mountain and Dr. Pepper Snapple Group. Its offering counts more than 125 hot and cold beverages. It owns the #1 single-serve coffee system in the US (Keurig) and has grown Dr. Pepper to become the second-largest soft drink brand in America, having overtaken Pepsi by the end of 2023.
The company recently unveiled its 2025 new flavor lineup in the U.S., which features brands like Dr. Pepper, 7UP, A&W and Snapple. The new offering comes after the viral popularity of Dr Pepper Creamy Coconut – the company’s most successful limited-time-offering carbonated soft drink (CSD) to date – and the introduction of Canada Dry Fruit Splash Cherry, which achieved the top spot among all new CSD flavor innovations for 2024.
On January 29, one insider, B.V. Holdings Maple, already a large shareholder of Keurig Dr Pepper acquired $120.68 million worth of shares, at a price of $33.34 per share. With this acquisition, B.V. Holdings Maple increased its holdings to 218,063,479 shares. The stock is currently trading at $32.45, having gained 1.03% since the beginning of the year.
The company’s net sales for the third quarter increased 2.3% to $3.9 billion. Operating cash flow for the third quarter was $628 million and free cash flow totaled $503 million. In February, the company’s Board of Directors declared a regular quarterly cash dividend of $0.23 per share.
Keurig Dr Pepper is also one of the 10 Best Dividend-Paying Beverage Stocks to Buy.
Data from TipRanks reveals that 15 Wall Street analysts have “Moderate Buy” as an average rating on Keurig Dr Pepper stock with a price target of $37.53.
Overall, KDP ranks 4th on our list of stocks insiders spent the most money on recently. While we acknowledge the potential of KDP our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than KDP but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap
Disclosure: None. This article is originally published at Insider Monkey.
