Is Keurig Dr. Pepper Inc. (KDP) One of the Best Sugar Stocks to Buy According to Hedge Funds?

Keurig Dr. Pepper Inc. (NASDAQ:KDP) is one of the best sugar stocks to buy according to hedge funds. On February 19, RBC Capital reaffirmed a Buy rating on Keurig Dr. Pepper Inc. (NASDAQ:KDP) and set a price target of $42. In a separate development, the company announced the continued evolution of its Board of Directors on February 12, effective March 2, and that two new independent directors, Amie Thuener and William “Bill” Newlands, will join the Board. Management added the same day that the existing Remuneration & Nominating Committee will separate into newly-created Nominating & Governance and Compensation Committees.

Keurig Dr. Pepper Inc. (NASDAQ:KDP) stated that these changes support its transformation and value creation agenda, as it is moving towards the closing of the JDE Peet’s acquisition in early Q2 and progressing over the following quarters towards a separation into two independent companies, Beverage Co. and Global Coffee Co., pending the announcement of official corporate names.

Keurig Dr. Pepper Inc. (NASDAQ:KDP) also announced on January 22 that it is set to release its financial results for fiscal Q4 and full year ended December 31, 2025, before the market opens on Tuesday, February 24, 2026.

Keurig Dr. Pepper Inc. (NASDAQ:KDP) is involved in the manufacture, distribution, marketing, and sale of non-alcoholic beverages. Its operations are divided into the following segments: U.S. Refreshment Beverages, U.S. Coffee, and International. The U.S. Refreshment Beverages segment distributes and manufactures beverage concentrates, syrups, and finished beverages, including the brands Dr. Pepper, Snapple, A&W, 7UP, Hawaiian Punch, Core Hydration, Bai, Yoo-Hoo, Vita Coco, and more.

While we acknowledge the potential of KDP as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.