Keurig Dr Pepper (KDP) is likely to post in-line Q3 results and reiterate its full-year outlook, RBC Capital Markets said in a Thursday report.

The company is due to report Q3 earnings before market open on Monday.

Quarterly data indicates low single-digit growth in Q3 as refreshment beverage trends appear stable amid "solid" performance of partner brands, according to the note.

The potential upside driven by coffee could be positive for the stock, but the pending acquisition of JDE Peet's and plans to spin off the coffee business could limit stock price outperformance, the analysts said.

The brokerage has an outperform rating on the stock with a price target of $42 per share.

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