More people pile on the Anti-DPS Bandwagon
Yet more people are piling on the Anti-DPS Bandwagon.
Well.... Guess what happened today?
DPS up 49 cents.
Warren Buffet's Coca Cola fell $1.72.
Pepsi fell 41 cents.
Ryan Freund writes, "I want you to close your eyes and picture yourself relaxing on the beach with an ice cold Coca-Cola in your hand. How does that image make you feel? Now picture yourself holding a Pepsi or Dr Pepper, made by PepsiCo (NYSE: PEP) and Dr Pepper Snapple Group (NYSE: DPS), respectively."
I close my eyes and imagine myself drinking an ice cold SNAPPLE Pink Lemonade!
Who in their right minds in this Century thinks Coca Cola beats a SNAPPLE when you are sitting out in 90 degree heat, at a beach? Juice is what sells.... Carbonated Beverages don't sell as well as they used to.
So it is without NO SURPRISE as to why DPS released 2 products in which neither of them were carbonated beverages. Snapple Antioxidant Water + Venom Energy Drink.
Ryan Freund continues to write,
"Coca-Cola currently sports a 21 P/E ttm and a forward P/E of slightly above 16. From a historical perspective, the stock is pretty cheap. In the past 10 years, the company has maintained a trailing average P/E ratio of around 35. That's significantly higher than today's P/E of 21."
From a historical perspective.... When a company has expanded pretty much as far as it can... Suffers a massive sell off rally lasting not days... not weeks.....but months.... lowering the company's P/E Ratio and Forward P/E expectations.... That speaks volumes about Coca Cola as a legitamit investment.
Now I can understand passing up the #4 Beverage company: COTT CORP or passing up on JONES Beverage.
But to place DR PEPPER SNAPPLE GROUP (#3 largest beverage company) in the same category as COTT CORP? JONES??? When you make such a broad based statement like that it's amazing your article got recommended by anyone at all.
DR. PEPPER SNAPPLE GROUP has perhaps the:
#1: Juice Drinks in Snapple and Schweppes.
#1: Ale Drink in VERNORS
#3: Carbonated Beverage in Dr. Pepper / 7UP
Not too bad for a company everyone is supposed to ignore in favor of an over extended, over expanded, yesterday's news Coca Cola company.