Top 3 Stocks with a 'Perfect 10' Smart Score

Keurig Dr Pepper (KDP), DraftKings (DKNG), and Jazz Pharmaceuticals (JAZZ) have earned a top "Smart Score" of 10 from TipRanks, indicating high potential for market outperformance. KDP has gained 5% YTD, with a 17% upside potential, while DKNG has soared 15% and is expected to rise 26%. JAZZ is down 9.3% YTD, but analysts predict a 58.3% upside.

Keurig Dr Pepper (KDP), DraftKings (DKNG), and Jazz Pharmaceuticals (JAZZ) have all earned a top "Smart Score" of 10 from TipRanks, indicating high potential for market outperformance. As of July 2, 2025, KDP has gained 5% year-to-date (YTD) with a 17% upside potential, while DKNG has soared 15% and is expected to rise by 26%. JAZZ, on the other hand, is down 9.3% YTD but is predicted to surge by 58.3% [1].

Keurig Dr Pepper, a leading player in the North American beverage industry with a market capitalization of $45.89 billion, has been navigating a complex market landscape characterized by shifting consumer preferences, volatile input costs, and intense competition. The company's ability to maintain impressive gross profit margins of 55.25% and demonstrate relatively low price volatility with a beta of 0.48 has been commended by analysts [2]. KDP's diverse portfolio, which includes flavored carbonated soft drinks, juices, teas, mixers, waters, and coffee products, has allowed it to maintain a strong presence across multiple beverage categories.

DraftKings, a leading daily fantasy sports and sports betting platform, has seen significant growth in its user base and revenue. The company's ability to leverage technology and data analytics to enhance user experience and attract new customers has been a key driver of its success. Jazz Pharmaceuticals, a specialty pharmaceutical company, has been focusing on innovative treatments for cancer and other serious conditions. The company's pipeline of promising drugs and strong clinical trial results have positioned it for significant growth.

Despite the challenges faced by KDP, such as the pressure on its coffee segment due to elevated coffee prices, the company's strong brand portfolio and distribution network remain key strengths. The success of new product launches, such as Dr Pepper Blackberry, and the potential of the Ghost brand to drive growth within KDP's distribution network are further reasons for optimism [2].

Looking ahead, analysts expect KDP to continue leveraging its strong brand portfolio and distribution network to drive growth. The company's ability to innovate and introduce successful new products will be key to maintaining its market position. KDP is currently trading at a P/E ratio of 30.45, near its InvestingPro Fair Value, but will need to navigate challenges such as evolving consumer preferences towards healthier beverage options and ongoing input cost pressures [2].

In conclusion, Keurig Dr Pepper, DraftKings, and Jazz Pharmaceuticals have earned a top "Smart Score" from TipRanks, indicating high potential for market outperformance. While each company faces unique challenges, their strong market positions, innovative strategies, and promising growth prospects make them attractive investment opportunities.

References:
[1] https://www.investing.com/news/swot-analysis/keurig-dr-peppers-swot-analysis-stock-faces-coffee-cost-headwinds-brand-strength-93CH-4123704
[2] https://www.investing.com/news/swot-analysis/keurig-dr-peppers-swot-analysis-stock-faces-coffee-cost-headwinds-brand-strength-93CH-4123704