Why Keurig Dr Pepper Shares Are Sliding Tuesday

Keurig Dr Pepper Inc. KDP shares are trading lower Tuesday after the company announced the pricing of a secondary offering. Here’s what you need to know.

What Happened: Keurig Dr Pepper announced it will offer 60 million shares at $32.85 per share in a secondary sale through a subsidiary of JAB Holding Company. The underwriters will also be granted an option to purchase an additional 9 million shares.

Following the offering, JAB's ownership of Keurig Dr Pepper will drop to approximately 16.5%.

See Also: Corning Q3 Earnings Beat Expectations with 8% Core Sales Growth, Optical Communications Segment Shines

How To Buy KDP Stock

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in Keurig Dr Pepper's case, it is in the Consumer Staples sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

KDP Price Action: Keurig Dr Pepper shares were down 2.57% at $32.99 at the time of writing, according to Benzinga Pro.

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