PepsiCo, Inc. (NASDAQ:PEP) Receives $165.00 Consensus Target Price from Brokerages

PepsiCo, Inc. (NASDAQ:PEP) has been given a consensus rating of “Hold” by the twenty brokerages that are covering the company, Marketbeat Ratings reports. One research analyst has rated the stock with a sell rating, eleven have assigned a hold rating and eight have assigned a buy rating to the company. The average 1 year price objective among brokers that have updated their coverage on the stock in the last year is $165.00.

Several brokerages recently commented on PEP. UBS Group dropped their target price on PepsiCo from $186.00 to $172.00 and set a “buy” rating on the stock in a report on Thursday, July 2nd. Citigroup lowered their price objective on shares of PepsiCo from $182.00 to $170.00 and set a “buy” rating for the company in a research report on Thursday, June 25th. The Goldman Sachs Group lifted their price objective on shares of PepsiCo from $180.00 to $183.00 and gave the company a “buy” rating in a research note on Friday, April 17th. HSBC upped their target price on shares of PepsiCo from $175.00 to $176.00 and gave the company a “hold” rating in a research note on Friday, April 17th. Finally, TD Cowen lowered their price target on shares of PepsiCo from $165.00 to $150.00 and set a “hold” rating for the company in a report on Friday, June 12th.

PepsiCo Trading Up 1.2%

PEP stock opened at $144.98 on Friday. 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 company has a market cap of $198.15 billion, a price-to-earnings ratio of 22.76, a PEG ratio of 2.89 and a beta of 0.36. The business has a fifty day simple moving average of $146.38 and a 200-day simple moving average of $151.68. PepsiCo has a 52 week low of $132.96 and a 52 week high of $171.48.

PepsiCo (NASDAQ:PEP) last announced its quarterly earnings results on Wednesday, April 15th. The company reported $1.61 earnings per share for the quarter, beating analysts’ consensus estimates of $1.55 by $0.06. PepsiCo had a net margin of 9.15% and a return on equity of 56.61%. The firm had revenue of $19.44 billion for the quarter, compared to analysts’ expectations of $18.89 billion. During the same period in the previous year, the company posted $1.48 earnings per share. PepsiCo’s revenue was up 8.5% compared to the same quarter last year. On average, equities research analysts expect that PepsiCo will post 8.62 EPS for the current year.

PepsiCo Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Friday, June 5th were issued a $1.48 dividend. This is a boost from PepsiCo’s previous quarterly dividend of $1.42. This represents a $5.92 annualized dividend and a yield of 4.1%. The ex-dividend date of this dividend was Friday, June 5th. PepsiCo’s dividend payout ratio is currently 92.94%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. Auto Owners Insurance Co lifted its position in shares of PepsiCo by 14,857.8% during the fourth quarter. Auto Owners Insurance Co now owns 49,252,907 shares of the company’s stock worth $7,068,777,000 after purchasing an additional 48,923,629 shares in the last quarter. Norges Bank acquired a new stake in shares of PepsiCo in the fourth quarter valued at approximately $3,018,813,000. Diamant Asset Management Inc. raised its position in PepsiCo by 16,146.5% in the 1st quarter. Diamant Asset Management Inc. now owns 3,586,423 shares of the company’s stock worth $556,936,000 after purchasing an additional 3,564,348 shares during the last quarter. AQR Capital Management LLC lifted its holdings in PepsiCo by 120.7% during the 3rd quarter. AQR Capital Management LLC now owns 5,916,417 shares of the company’s stock worth $830,902,000 after buying an additional 3,235,726 shares in the last quarter. Finally, Amundi boosted its position in PepsiCo by 30.0% in the 3rd quarter. Amundi now owns 8,641,588 shares of the company’s stock valued at $1,207,230,000 after buying an additional 1,995,362 shares during the last quarter. Institutional investors and hedge funds own 73.07% of the company’s stock.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Investors are buying ahead of earnings, expecting PepsiCo’s pricing reset, product simplification, and new product launches to support a recovery in demand and volume growth. PepsiCo Rises Ahead of Q2 Results as Investors Bet Turnaround Gains Are Holding
• Positive Sentiment: Market commentary from Jim Cramer framed PepsiCo as a quality stock that may benefit from rotation into defensive names, which can support sentiment even during broader volatility. PepsiCo and more: Jim Cramer says market rotation is creating buying chances, picks 4 stocks
• Neutral Sentiment: Investors are watching for a potentially large post-earnings move, with options pricing implying the stock could swing meaningfully after results. Here’s How Much PepsiCo Stock Is Expected to Move After Earnings
• Neutral Sentiment: Broader market headlines are keeping consumer staples and blue chips in focus, but they do not directly change PepsiCo’s fundamentals. Chips Slip Again as Caterpillar Bites the Dow: Stock Market Today
• Negative Sentiment: Barclays recently cut its price target and warned that PepsiCo’s turnaround could be losing momentum, highlighting risk if North American demand remains weak. PEP Stock Faces Fresh Pressure: Barclays Cuts Price Target, Warns Turnaround Is Losing Steam Ahead Of Q2 Earnings

About PepsiCo

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.