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Pepsi Is Launching Its Own Prebiotic Soda, but Does a 'Healthy' Soda Really Exist? 6 Experts Answer
Pepsi Is Launching Its Own Prebiotic Soda, but Does a 'Healthy' Soda Really Exist? 6 Experts Answer

CNET

time6 days ago

  • Health
  • CNET

Pepsi Is Launching Its Own Prebiotic Soda, but Does a 'Healthy' Soda Really Exist? 6 Experts Answer

Pepsi is jumping on the prebiotic soda train, announcing that it will launch its own cola packed with prebiotics in the fall. This comes after PepsiCo bought prebiotic soda brand Poppi for $1.95 billion back in March. According to CBS News, Pepsi's own functional soda will have 5 grams of cane sugar, 3 grams of prebiotic fiber, 30 calories per serving and no artificial sweeteners. It will be available in the flavors cola and cherry vanilla. Along with the homemade healthy Coke trend and people's increasing avoidance of artificial sweeteners like aspartame, this is yet another sign that the healthy beverage movement isn't stopping anytime soon. However, the question remains: Are these "healthy sodas" that promise prebiotic fiber, low sugar and more actually healthy? This is what experts have to say. What is in prebiotic soda? Poppi Prebiotic drinks are having a hot moment. Coming alongside fast-growing brands like Poppi and Olipop, Coca-Cola launched a new prebiotic soda called Simply Pop. With five flavors based on natural ingredients, it might look like a healthy alternative to soda like Coke or Pepsi. Other brands have also rushed to enter this growing market. Those include: Wildwonder Culture Pop Turveda Mighty Pop SunSip (from the kombucha brand Health-Ade). David Clarke, a board-certified internist, gastroenterologist and president of the Association for Treatment of Neuroplastic Symptoms, explains, "Emerging 'functional' sodas attempt to redefine the category. Prebiotic varieties like Poppi and Olipop incorporate ingredients such as agave inulin and chicory root fiber, which theoretically stimulate beneficial gut bacteria. These beverages often contain fewer calories -- 25 to 50 per can -- and reduced sugar content -- 4 to 7 grams -- compared to traditional sodas." However, he adds, "Nevertheless, their health benefits remain uncertain." This was underscored by a recent lawsuit brought against Poppi. In Cobbs v. Vngr Beverage LLC (US District Court for the Northern District of California, 2024), a consumer brought a class action suit against the brand. The filing says that Poppi "only contains two grams of prebiotic fiber, an amount too low to cause meaningful gut health benefits for the consumer from just one can." As Clarke explains, "Its two grams of prebiotic fiber per can fall short of the five-gram threshold required for measurable gut health improvements." Plus, these prebiotic soda options can come with drawbacks. Some contain apple cider vinegar, for example, which can be bad for your teeth due to its acidity. (While ACV can have some health benefits -- as is evidenced by the number of drinks that include it -- it's best to brush your teeth after consuming it.) Are Poppi sodas and similar brands actually healthy?Prebiotic drinks are being propped up as a healthy alternative to soda. But are they? We asked some experts if this is really a healthy soda option. Let's review some of their responses here: Anastasiia Kaliga , nutritionist and biologist at the app Luvly, answered, "It depends on what we mean by 'healthy.' Compared to traditional sodas, which are loaded with sugar and artificial ingredients, prebiotic sodas seem like a better option." , nutritionist and biologist at the app Luvly, answered, "It depends on what we mean by 'healthy.' Compared to traditional sodas, which are loaded with sugar and artificial ingredients, prebiotic sodas seem like a better option." Dr. Raphael Cuomo , a professor and biomedical scientist at the University of California San Diego School of Medicine and a clinical cancer epidemiologist, weighed in. He says, "From the perspective of preventing life-threatening diseases like cancer and heart disease, the key consideration is reducing intake of sugar. Some newer sodas are formulated with lower sugar and added fiber and so are a better option than traditional sodas. However, they should not be considered a health food." , a professor and biomedical scientist at the University of California San Diego School of Medicine and a clinical cancer epidemiologist, weighed in. He says, "From the perspective of preventing life-threatening diseases like cancer and heart disease, the key consideration is reducing intake of sugar. Some newer sodas are formulated with lower sugar and added fiber and so are a better option than traditional sodas. However, they should not be considered a health food." Brian Bethke, founder of Bear Maple Farms, says, "We need more research. The benefits of eating whole-food sources of prebiotics are well-known, but there is a lack of peer-reviewed studies on prebiotic sodas. Plus, some sweeteners like stevia and erythritol may impact the microbiome in ways we don't fully understand. Bottom line: It's complicated." The key issue is that what's marketed as a gut-healthy soda might not deliver the benefits you'd expect. The health benefits of prebiotics are well-documented (Health Effects and Sources of Prebiotic Dietary Fiber, 2018; Prebiotics: Definition, Types, Sources, Mechanisms, and Clinical Applications, 2019). However, many of these prebiotic soda options contain only trace amounts of these fiber-based nutrients. They really can't measure up to the benefits you get from whole-food sources of prebiotics. As Cuomo explains, "Prebiotic sodas may contribute small amounts of fiber, but they are not a primary source of meaningful prebiotic intake. A diet rich in vegetables, legumes and whole grains provides significantly greater benefits for gut health, which is linked to decreased risk of heart disease and several cancers." Dr. Amy Eloheim, a board-certified functional health practitioner, licensed holistic health practitioner and master herbalist, sums it up nicely: "A prebiotic soda can be a convenient way to support gut health, but it shouldn't be your only source of prebiotics." What experts have to say about finding healthy soda alternatives When you're looking for a healthy alternative to soda, you can keep an eye out for certain things. Amy Lee, medical nutritionist and founder of Nucific, suggests, "Read the ingredients word by word and look for buzzwords that reflect sugar. There are over 70 names for sugar that can be found in processed foods. Also, look for preservatives used to keep soda fresh and retain color to give it the desired look and a certain flavor. I personally am not a fan of artificial sweeteners but noticed a lot of that being added to replace processed sugars." Cuomo recommends avoiding artificial sweeteners altogether, along with "phosphoric acid, caramel coloring and preservatives, which may contribute to inflammation or metabolic disruption." He adds, "Consumers should prioritize low sugar content, ideally under 5 grams per serving, and check for actual fiber content." Coca-Cola launched a new prebiotic soda, Simply Pop. Coca-Cola Company Clarke adds more specificity to what you should look for if you want your healthy soda to support gut health. "Check for specific fiber types (e.g., inulin, galactooligosaccharides [GOS]) and amounts. Brands advertising gut benefits should disclose fiber content prominently, ideally exceeding 4 to 5 grams per serving." Let's distill that down into a checklist you can use as you shop for a healthy alternative to soda: Less than 5 grams of sugar Four or more grams of fiber, ideally with the specific types of fiber listed No artificial sweeteners No artificial coloring No preservatives No phosphoric acid "Prebiotic sodas can be a fun and refreshing way to support gut health, but let's keep it in perspective -- they're not a replacement for a high-fiber diet or a panacea for digestion," Kaliga says. "Enjoy them as an occasional addition to your routine, but don't rely on them as your primary strategy for improving digestion." How to make a healthy soda at homeThat prebiotic soda you were thinking about picking up might not work wonders for your gut health. If you're still searching for a better option, you can whip one up on your own. We tapped the experts to come up with some ingredients you can mix together to make a good alternative at home. Soda water Lee suggests starting with a base of soda water, to which you can add natural flavors. Since water is one of the nutrients the body critically needs, this helps your hydration levels. Clarke also points out that using unflavored sparkling water helps you avoid excess sodium and additives. Prebiotic fibers If you're looking to make a gut-healthy soda, add prebiotic fibers. Eloheim suggests chicory or acacia fiber. Cuomo also recommends chicory root and says inulin works. Clark says resistant potato starch can also mimic commercial prebiotics. If you don't have any of those specific kinds of fiber on hand, Kaliga says you can use a bit of blended fiber-rich fruit like kiwi or banana. Add enough to bring your homemade healthy soda to a meaningful amount of prebiotics. Aim for 5 grams or more. Natural sweeteners Plenty of natural sugar alternatives can sweeten your soda without harming your health. "Opt for 1 to 2 teaspoons of raw honey or maple syrup, which provide antioxidants and trace minerals without spiking glycemic levels," Clarke suggests. Citrus juice Some fresh citrus juice, like lemon or lime juice, can flavor your healthy soda and deliver benefits. Cuomo says these introduce some antioxidants, which protect your cells. Herbs and spices Eloheim suggests adding herbs and spices like cinnamon or mint "to enhance flavor and digestion." This can make your health soda taste more interesting without adding any excess sugar. Kombucha If you want to get some probiotic benefits with your prebiotic, Eloheim recommends adding a splash of kombucha to your drink. This introduces more "good" bacteria to support your gut health. Roots Several of our experts recommended adding ginger or turmeric. Cuomo says these ingredients will not only flavor your healthy soda but also deliver anti-inflammatory effects. A sample healthy soda recipe Clarke provided us with a sample recipe you can use to make a healthy alternative to soda at home. He says to combine: 8 ounces sparkling water 1 tablespoon lemon juice 1 teaspoon grated ginger 1 teaspoon honey A pinch of sea salt He recommends a final step for added health benefits: "Ferment for 12 to 24 hours to cultivate probiotics." The bottom line FrancescoHealthy soda brands' claims might be overhyped, especially when it comes to gut health. While prebiotic drinks can introduce some of these nutrients, they can't compete with whole foods. You might still want to enjoy prebiotic soda as a little treat -- and a healthier alternative to traditional soda. To find the best one, make sure you read the label carefully. You want to see a lot of fiber and only a little bit of sugar. But remember, as Clarke says, "Consumers should view these products as occasional supplements rather than substitutes for fiber-rich diets."

Pepsi reveals new drink after buying soda brand Poppi for $2 billion
Pepsi reveals new drink after buying soda brand Poppi for $2 billion

Yahoo

time22-07-2025

  • Business
  • Yahoo

Pepsi reveals new drink after buying soda brand Poppi for $2 billion

Pepsi is launching a new drink this fall – with a twist. The soft drinks giant has unveiled the Pepsi Prebiotic Cola, a soda with extra fiber, in a bid to boost their appeal with health-conscious consumers. The new drink comes just months after Pepsi purchased Poppi – a prebiotic soda known for its low sugar content and organic 'gut-friendly' ingredients such as Apple Cider Vinegar. According to the Texas-based company's website, Poppi contains 5g of sugar and has 25 calories or less. Pepsi merged with the celebrity-loved beverage brand Poppi in May (PepsiCo Beverages North America) The new Pepsi, which will launch in cola and cherry vanilla flavors, will contain five grams of cane sugar, three grams of prebiotic fiber, with no artificial sweeteners. A single can will have 30 calories, Pepsi claims. ADVERTISEMENT The launch promises to deliver 'the classic crisp, refreshing taste of Pepsi—with the added functional ingredient of 3 grams of prebiotic fiber.' 'Pepsi Prebiotic Cola represents the next leap forward in giving consumers choice, optionality and functional ingredients in their cola experience, without sacrificing the iconic Pepsi taste we're known for delivering,' CEO of PepsiCo Beverages U.S. Ram Krishnan said. The new flavors will be available to buy online this fall and at retail early next year. Poppi was bought by Pepsi earlier this year (Getty Images for Poppi) Competitors have also switched up to accommodate a shift towards healthier lifestyles. In February, Coca-Cola launched a prebiotic soda brand called Simply Pop, and included flavors like pineapple mango, lime, strawberry, fruit punch, and citrus punch. Simply Pop drinks have no added sugar and contain '25% to 30% real fruit juice', the company said, as well as vitamin C and zinc – two known vitamins that aid the immune system. ADVERTISEMENT Coca-Cola has also announced plans to launch a new Coke product this fall made with U.S. cane sugar – following a request from President Donald Trump. The company has used high-fructose corn syrup to sweeten its drinks in the U.S. since the 1980s. But it still uses cane sugar in markets like Mexico, where the high levels of sweetness are noticeable. Trump announced last week that he spoke to Coca-Cola about using 'REAL' cane sugar in the U.S. product and company executives had agreed. 'I'd like to thank all of those in authority at Coca-Cola,' he added. 'This will be a very good move by them — You'll see. It's just better!'

Coca-Cola vs. Monster: Which Stock is Positioned for the Top Spot?
Coca-Cola vs. Monster: Which Stock is Positioned for the Top Spot?

Yahoo

time23-06-2025

  • Business
  • Yahoo

Coca-Cola vs. Monster: Which Stock is Positioned for the Top Spot?

As the non-alcoholic beverage industry undergoes a transformation driven by evolving consumer preferences and functional trends, The Coca-Cola Company KO and Monster Beverage Corp. MNST emerge as the key players vying for global market dominance. With its diversified portfolio spanning carbonated soft drinks, water, juice and sports beverages, Coca-Cola holds a commanding position, with a global market share exceeding 40% in the CSD category. Meanwhile, MNST is a category specialist, owning nearly 30% of the global energy drink market, one of the fastest-growing beverage strength lies in its broad reach, iconic brand equity and scale-driven efficiency, while Monster's focused portfolio and marketing edge offer agility and high-margin growth. Despite the strategic partnership between KO and MNST, wherein KO holds a 19% stake in MNST, the two companies increasingly compete for consumer attention across overlapping beverage Coca-Cola continues to pivot toward health-conscious and functional offerings, and Monster pushes international growth and product innovation, the question for investors is clear: Which company is better positioned to capture incremental growth and defend its market position in a shifting landscape? Coca-Cola continues to dominate the global non-alcoholic beverage landscape, holding a top-tier market share across sparkling, still and functional categories. With operations in more than 200 countries and a portfolio of 30 billion-dollar brands, KO continues to win value share across key channels, at home and away from home, and categories ranging from carbonated soft drinks to dairy and first-quarter 2025, the company delivered 6% organic revenue growth and 2% unit case growth, while expanding gross and operating margins, reflecting both pricing strength and underlying demand. Coca-Cola's global beverage strategy is deeply consumer-centric, offering a diverse mix of premium and value offerings, with nearly one-third of its volume now coming from low or no-calorie beverages. Its expansive distribution network and local-first approach help cement its leadership position, even in emerging markets with geopolitical tension or inflationary strength lies in its all-weather business model, a mix of granular market execution, digital agility and portfolio evolution. Through platforms like Studio X and connected packaging, KO is doubling down on personalized digital engagement, while campaigns like "Share a Coke" are being reimagined for Gen Z with enhanced customization and real-time analytics. The company has ramped up innovation in functional and wellness categories, introducing offerings like Coca-Cola Orange Cream and Simply Pop prebiotic is also leaning on local relevance, both culturally and operationally, to deepen trust, particularly in regions like Mexico, India and China. In first-quarter 2025, Coca-Cola added 350,000 outlets and 100,000 digital customers in India alone. As a part of its efforts to improve local and cultural relevance, Coca-Cola India is actively participating in Ratha Yatra 2025 with special-edition Kinley packs, festive activations and wide beverage access. It is empowering local vendors through hydration carts and affordable packs. The PET Bottle-Free Yatra initiative highlights its commitment to sustainability and community as tariff dynamics and global trade tensions introduce cost uncertainties, Coca-Cola's asset-light franchise model and local sourcing practices act as natural buffers. Exposure to tariff-sensitive inputs like aluminum or orange juice remains relatively small, and hedging positions offer further cost acknowledged a manageable impact of tariffs in its guidance, maintaining confidence in 2025 EPS growth of 2-3% and organic revenue growth of 5-6%. With a strong balance sheet, expanding margins and an agile, tech-augmented marketing engine, Coca-Cola is not just defending its market share; it is setting the stage for sustained, long-term growth in a rapidly evolving beverage landscape. Monster continues to solidify its dominance in the global energy drink market, a high-growth, high-margin niche of the non-alcoholic beverage industry. In first-quarter 2025, the company reported a 5.1% increase in operating income and a 10.2% rise in adjusted EPS (excluding alcohol brands) despite FX pressures and macro headwinds. Monster's flagship segment, Monster Energy Drinks, posted 2.2% growth on a foreign-currency-adjusted basis, while international sales now account for 40% of total revenues. The gross margin expanded to 56.5%, driven by pricing actions and supply-chain optimization, reinforcing MNST's strong operational market leadership in several countries and rising per capita energy drink consumption globally, Monster stands well-positioned in a segment that continues to outpace traditional soft drinks. The company's strategy is laser-focused on innovation, affordability and demographic reach. Monster's ever-expanding product suite, spanning core Monster Energy, Reign Total Body Fuel, Reign Storm, Bang Energy and affordable brands like Predator and Fury, targets athletes, gamers, wellness-seekers and price-sensitive consumers across developed and emerging markets. Monster's Ultra Blue Hawaiian has already emerged as a breakout hit in the United States this MNST is aggressively launching SKUs, tapping local market insights and deepening its retail penetration through Coca-Cola's bottling and distribution network. Despite short-term drag from its Alcohol Brands segment, the company remains committed to optimizing that portfolio while fueling its energy drink acknowledges tariff risks and regulatory scrutiny, but its nimble supply chain and strong distributor relationships offer resilience. While trade dynamics and foreign exchange volatility have weighed on reported revenues, Monster's ability to adapt through pricing, cost control and geographic expansion has helped protect ample cash on hand, no outstanding revolver debt and $500 million authorized for share repurchases, MNST remains a financially robust growth stock. As energy drink demand accelerates and global beverage giants chase relevance in the segment, Monster's brand equity, innovation engine and strategic alignment with Coca-Cola make it a compelling long-term play for investors seeking growth and profitability in a maturing beverage landscape. The Zacks Consensus Estimate for Coca-Cola's 2025 sales and EPS implies year-over-year growth of 2.5% and 3.1%, respectively. The EPS estimates have moved up by a penny in the past 30 days. Image Source: Zacks Investment Research The Zacks Consensus Estimate for Monster's 2025 sales and EPS suggests year-over-year growth of 5.8% and 14.8%, respectively. EPS estimates have been unchanged in the past 30 days. Image Source: Zacks Investment Research Coca-Cola currently trades at a forward 12-month P/E ratio of 22.34X, which is above the Zacks Beverages - Soft drinks industry average of 18.23X. However, KO trades at a lower multiple than that of MNST's 32.14X, making it the more value-oriented pick among the two. Image Source: Zacks Investment Research Despite KO being the more value-oriented option based on valuation alone, investors pay up for MNST because it consistently delivers stronger returns. In the past year, Monster's stock has rallied 27.5%, outperforming KO's growth of 7.6% and the broader industry's decline of 1.4%. While KO offers a lower valuation, Monster's stronger stock performance and solid growth trajectory give it the edge. Image Source: Zacks Investment Research Both Coca-Cola and Monster showcase powerful brands and resilient business models, but Monster moves ahead in the eyes of growth-oriented investors. While Coca-Cola offers stability, scale and an unmatched global portfolio, Monster stands out for its category dominance and sharper growth trajectory in the booming energy drink market. Backed by a focused product strategy, deep distribution ties with Coca-Cola and relentless innovation, Monster has delivered a stronger one-year return, reflecting market confidence in its ability to outperform even amid macro truly sets Monster apart is its valuation premium, a testament to its consistent margin strength, capital efficiency and the market's belief in its long runway for expansion. Monster commands investor attention with its growth-centric narrative. For those seeking a beverage stock with momentum, market share gains and scalable innovation, Monster is the more compelling bet in this matchup. Both KO and MNST carry a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CocaCola Company (The) (KO) : Free Stock Analysis Report Monster Beverage Corporation (MNST) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research

Coca-Cola results beat estimates on price hikes, demand surge
Coca-Cola results beat estimates on price hikes, demand surge

Business Times

time29-04-2025

  • Business
  • Business Times

Coca-Cola results beat estimates on price hikes, demand surge

[ATLANTA] Coca-Cola on Tuesday (Apr 29) reported better-than-expected revenue and profit for the first quarter, as the beverage giant benefits from price hikes and enjoys strong demand for its sodas, juices and milk offering Fairlife. The Sprite and Fanta maker also maintained its full-year organic revenue and comparable profit forecasts, unlike PepsiCo and Procter & Gamble that lowered their annual expectations as the global trade war triggered by steep US tariffs threatened to push up costs for American companies. '(Coca-Cola's) operations are primarily local, however, it is subject to global trade dynamics which may impact certain components of the company's cost structure across its markets,' it said in a statement. 'At this time, the company expects the impact to be manageable.' In the last quarter, Coca-Cola had underlined strategies to offer affordable packaging options and plans to use plastic bottles to mitigate the impact from 25 per cent tariffs on aluminum imports. 'This morning's print reaffirms our confidence in Coca-Cola's fundamentals despite a difficult macroeconomic backdrop,' RBC Capital analyst Nik Modi said. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'Coca-Cola reiterated top- and bottom-line guidance, which should be viewed as favourable in this environment,' he said. Shares of Coca-Cola rose 1.2 per cent in premarket trading. Rival PepsiCo last week called out subdued consumer spending, but demand for Coca-Cola's slightly pricey products has so far remained stable, helping boost sales growth despite price hikes in highly inflationary markets such as Argentina and Latin America. Its first-quarter overall average selling prices rose 5 per cent, while unit case volumes increased 2 per cent. Still, volumes in its North America market fell 3 per cent, mostly due to a slowdown in demand for its legacy brands such as Coca-Cola and Sprite, as well as coffee. In an attempt to boost demand in the region, the company has been betting on its portfolio of energy drinks and prebiotic sodas by launching new items such as Simply Pop. Its quarterly revenue fell marginally to US$11.22 billion, compared with expectations of a 0.84 per cent fall to US$11.14 billion, according to data compiled by LSEG. Excluding items, the company earned 73 US cents per share, compared with estimates of 71 US cents. REUTERS

3 Safe Stocks to Buy as the Market Moves from 1 Extreme to Another
3 Safe Stocks to Buy as the Market Moves from 1 Extreme to Another

Globe and Mail

time10-04-2025

  • Business
  • Globe and Mail

3 Safe Stocks to Buy as the Market Moves from 1 Extreme to Another

Wall Street is in turmoil. President Donald Trump announced 'reciprocal' tariffs on U.S. trading partners on April 2, raising investor panic and leading analysts at JPMorgan and Goldman Sachs to raise their recession odds forecasts for 2025. Major stock benchmarks entered correction territory, with popular tech names selling off violently. Then, Trump announced a 90-day pause on tariffs for all trading partners except China. The stock market soared, with the S&P 500 Index ($SPX) closing up nearly 10% on Wednesday, April 9. In turbulent times like these, the consumer staples sector can act as a bulwark for an investor's portfolio. These companies experience consistent demand, steady cash flows, and have navigated business for decades or more. No matter what happens next, these three safe stocks are worth a close look here. Safe Stock #1: Coca-Cola Warren Buffett has long been a fan of Coca-Cola (KO), making KO a great safe stock for investor portfolios. Coca-Cola is now synonymous with refreshing beverages worldwide. Commanding a market cap of about $294 billion, KO stock is up almost 12.5% on a year-to-date basis. Coca-Cola is also a member of the coveted 'Dividend King' club, having raised its dividends consecutively for 50 years or more. Currently, the stock offers a dividend yield of 2.9%. Coca-Cola has consistently outperformed the market in terms of earnings in recent years with the results of its latest quarter being no exception. In Q4 2024, net revenues rose by 6% from the previous year to $11.5 billion with EPS growing by an even sharper 12.2% to $0.55. Remarkably, this marked the 15th consecutive quarter of earnings beats from the company. Coca-Cola's global infrastructure continues to give it a powerful edge as it looks to deepen its presence in emerging markets. With an extensive bottling system — nearly 200 partners worldwide — and daily consumption of its beverages reaching 2.2 billion servings, the company is well positioned to capture growing demand in developing economies where brand familiarity and distribution scale remain critical competitive advantages. Meanwhile, Coca-Cola is actively realigning its offerings and engagement models to better resonate with Gen Z consumers. One of the more strategic developments has been the introduction of a digitally driven ecosystem rolled out in 2023, crafted specifically to target the preferences and consumption habits of younger audiences. Supporting this effort is the expansion of its product lineup to include Simply Pop, a new prebiotic beverage that builds on the broader wellness trend among this demographic. Its sparkling water brand, Topo Chico, also continues to gain traction. Thus, analysts have deemed the stock a 'Strong Buy' with a mean target price of $76.86 which indicates upside potential of about 10% from current levels. Out of 22 analysts covering the stock, 20 have a 'Strong Buy' rating, one has a 'Moderate Buy' rating, and one has a 'Hold' rating. Safe Stock #2: Keurig Dr Pepper Moving from one beverage giant to another, Keurig Dr Pepper (KDP) was formed in 2018 through the merger between Keurig Green Mountain and the Dr Pepper Snapple Group. The beverage conglomerate has a strong presence in coffee, soft drinks, water, juice, and mixers, operating across hot and cold beverage categories with leading brands like Dr Pepper, 7UP, Snapple and Mott's in its portfolio. Valued at a market cap of $45.6 billion, KDP stock is up 8% on a YTD basis. Notably, the stock offers a dividend yield of 2.65%. The most recent quarter saw the company reporting a beat on both revenue and earnings. Net sales of $4.1 billion represented yearly growth of 5.2% while adjusted earnings saw 5.5% growth in the same period to $0.58, coming in ahead of consensus estimates. Overall, KDP's EPS have exceeded Street expectations in seven out of the past eight quarters. Keurig Dr Pepper is steadily transforming into a serious contender in the energy drinks space — a segment where it had virtually no presence until a few years ago. Central to this momentum is its acquisition of GHOST, a youth-driven energy drink brand that has struck a chord with Gen Z consumers. Beyond energy drinks, KDP continues to reinforce its dominance in more established beverage segments. The company's coffee platform, especially in the single-serve pod market, remains the largest in the U.S., thanks in large part to successful brand tie-ups with widely recognized players such as Starbucks (SBUX) and Dunkin'. On the soda front, Dr Pepper has climbed to second place among cola-style beverages in the U.S., capturing 8.3% of the market. Considering these factors, analysts have assigned a rating of 'Moderate Buy' for the stock with a mean target price of $38.39. This indicates upside potential of roughly 11% from current levels. Out of 17 analysts covering the stock, 10 have a 'Strong Buy' rating, one has a 'Moderate Buy,' rating and six have a 'Hold' rating. Safe Stock #3: Procter & Gamble Procter & Gamble (PG), or P&G, specializes in a wide range of personal and consumer health and hygiene products. The company's market cap currently stands at about $371 billion. PG stock is down 3.2% on a YTD basis while offering a dividend yield of 2.48%. PG is also a member of the storied 'Dividend King' club. P&G's results for the most recent quarter were impressive, with both revenue and earnings surpassing estimates. Net sales of $21.9 billion denoted yearly growth of 2% while EPS clocked growth of 2% from the year-ago period to $1.88. Impressively, this was the 10th consecutive quarter of earnings beats from the company. Notably, P&G shows strong physical expansion and AI integration, indicating long-term growth potential. On the technology front, P&G is quietly reshaping its advertising strategy by incorporating artificial intelligence. Leveraging a proprietary system known as AI Studios, the company draws upon decades of internal ad testing data to forecast the likely performance of new campaigns. This enables rapid simulation and analysis, allowing creative concepts to be evaluated in a matter of hours rather than over several weeks. The acceleration of this testing cycle has not only trimmed costs significantly but also compressed the time required for rolling out fresh marketing initiatives, enhancing agility and efficiency across its brand portfolio. Keeping this in mind, analysts have assigned a rating of 'Moderate Buy' for the stock with a mean target price of $181.88, which indicates upside potential of about 16% from current levels. Out of 27 analysts covering the stock, 16 have a 'Strong Buy' rating, two have a 'Moderate Buy' rating, and nine have a 'Hold' rating.

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