Investors Choosing Dr. Pepper Dividend and Growth Over Coke & Pepsi (DPS, KO, PEP)

Dr. Pepper Snapple (NYSE: DPS) is becoming the darling stock for beverage investors.  It has growth, and it leads the pack in dividends.  If today’s post-earnings gains can hold up for the next couple of days, which is still an IF, then the stock will be in a position of a breakout chart pattern that would allow it to go test its 52-week and all-time highs.

Pepsico, Inc. (NYSE: PEP) yields 3.2% despite its lack of enthusiasm around and after earnings.  At $63.46, the 52-week trading range is $58.50 to $71.89.  The Coca-Cola Company (NYSE: KO) yields about 2.7% and at $68.90 its 52-week trading range is $61.29 to $71.77.

What is amazing is that Dr. Pepper is leading the dividend pack.  With Pepsi probably about to raise its payout in a quarter and a Coca-Cola hike coming, Dr. Pepper’s dividend lead may not be assured permanently.  Dr. Pepper is also close to paying out half of its earnings expectations this year.

Dr. Pepper shares probably need to get back over $40 and remain there before calling for any true breakout.  Shares are up 2.3% at $40.00 currently against a 52-week range of $33.83 to $43.13.

JON C. OGG