Verity Asset Management Inc. Lowers Stock Position in PepsiCo, Inc. $PEP

Verity Asset Management Inc. cut its position in shares of PepsiCo, Inc. (NASDAQ:PEP) by 42.9% during the fourth quarter, HoldingsChannel.com reports. The institutional investor owned 6,231 shares of the company’s stock after selling 4,687 shares during the quarter. Verity Asset Management Inc.’s holdings in PepsiCo were worth $894,000 as of its most recent filing with the SEC.

Other hedge funds have also recently added to or reduced their stakes in the company. JCIC Asset Management Inc. acquired a new position in PepsiCo during the third quarter worth $27,000. MH & Associates Securities Management Corp ADV acquired a new stake in shares of PepsiCo in the fourth quarter valued at about $29,000. Imprint Wealth LLC acquired a new stake in shares of PepsiCo in the third quarter valued at about $31,000. Strategic Advocates LLC acquired a new stake in shares of PepsiCo in the third quarter valued at about $33,000. Finally, Mowery & Schoenfeld Wealth Management LLC acquired a new stake in shares of PepsiCo in the fourth quarter valued at about $33,000. 73.07% of the stock is owned by hedge funds and other institutional investors.

PepsiCo Trading Up 2.1%

PEP stock traded up $3.21 during mid-day trading on Thursday, hitting $158.50. 689,639 shares of the company were exchanged, compared to its average volume of 7,421,101. The company has a quick ratio of 0.72, a current ratio of 0.90 and a debt-to-equity ratio of 1.98. The firm has a market capitalization of $216.64 billion, a P/E ratio of 24.85, a PEG ratio of 2.82 and a beta of 0.40. The business has a fifty day simple moving average of $158.08 and a 200-day simple moving average of $152.36. PepsiCo, Inc. has a 12-month low of $127.60 and a 12-month high of $171.48.

PepsiCo (NASDAQ:PEP) last announced its earnings results on Thursday, April 16th. The company reported $1.61 earnings per share for the quarter, topping the consensus estimate of $1.55 by $0.06. The company had revenue of $19.44 billion during the quarter, compared to analyst estimates of $18.89 billion. PepsiCo had a net margin of 9.15% and a return on equity of 56.61%. PepsiCo’s revenue was up 8.5% compared to the same quarter last year. During the same quarter last year, the firm posted $1.48 earnings per share. PepsiCo has set its FY 2026 guidance at 8.465-8.628 EPS. On average, equities research analysts predict that PepsiCo, Inc. will post 8.63 earnings per share for the current fiscal year.

PepsiCo declared that its board has approved a stock buyback plan on Tuesday, February 3rd that allows the company to repurchase $10.00 billion in shares. This repurchase authorization allows the company to buy up to 4.7% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board believes its stock is undervalued.

PepsiCo Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Shareholders of record on Friday, March 6th were paid a dividend of $1.4225 per share. This represents a $5.69 annualized dividend and a yield of 3.6%. The ex-dividend date of this dividend was Friday, March 6th. PepsiCo’s dividend payout ratio (DPR) is 89.32%.

Analysts Set New Price Targets

PEP has been the subject of several recent analyst reports. The Goldman Sachs Group raised their price objective on shares of PepsiCo from $180.00 to $183.00 and gave the stock a “buy” rating in a research report on Friday, April 17th. Argus upgraded shares of PepsiCo to a “hold” rating in a research report on Tuesday, February 17th. Evercore raised their price objective on shares of PepsiCo from $165.00 to $170.00 in a research report on Friday, April 17th. Wells Fargo & Company raised their price objective on shares of PepsiCo from $154.00 to $165.00 and gave the stock an “equal weight” rating in a research report on Wednesday, February 4th. Finally, HSBC raised their price objective on shares of PepsiCo from $175.00 to $176.00 and gave the stock a “hold” rating in a research report on Friday, April 17th. Eight analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $170.26.

PepsiCo Company Profile

PepsiCo, Inc (NASDAQ: PEP) is a multinational food and beverage company headquartered in Purchase, New York. The company develops, manufactures, markets and sells a broad portfolio of branded food and beverage products, including carbonated and noncarbonated soft drinks, bottled water, sports drinks, juices, ready-to-drink teas and coffees, salty snacks, cereals, and other convenient foods. Its leading consumer brands include Pepsi, Mountain Dew, Gatorade, Tropicana, Quaker, Lay’s, Doritos and Cheetos, among others.

Formed through the 1965 merger of Pepsi-Cola and Frito-Lay, PepsiCo has grown into a global business with integrated manufacturing, distribution and marketing operations.