PepsiCo (NASDAQ:PEP) Issues Earnings Results

PepsiCo (NASDAQ:PEP) released its quarterly earnings data on Wednesday. The company reported $2.20 earnings per share for the quarter, topping analysts’ consensus estimates of $2.19 by $0.01, FiscalAI reports. PepsiCo had a net margin of 9.15% and a return on equity of 56.61%. The company had revenue of $24.18 billion for the quarter, compared to analysts’ expectations of $23.95 billion. During the same quarter last year, the company earned $0.92 earnings per share. The firm’s revenue for the quarter was up 6.4% on a year-over-year basis.

PepsiCo Stock Performance

Shares of PEP opened at $142.51 on Thursday. The stock has a market capitalization of $194.78 billion, a P/E ratio of 22.37, a P/E/G ratio of 2.92 and a beta of 0.36. The company has a debt-to-equity ratio of 1.98, a quick ratio of 0.72 and a current ratio of 0.90. PepsiCo has a 1 year low of $132.96 and a 1 year high of $171.48. The company’s fifty day moving average is $146.14 and its two-hundred day moving average is $151.63.

PepsiCo Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Friday, June 5th were paid a $1.48 dividend. The ex-dividend date of this dividend was Friday, June 5th. This represents a $5.92 annualized dividend and a yield of 4.2%. This is an increase from PepsiCo’s previous quarterly dividend of $1.42. PepsiCo’s dividend payout ratio is presently 92.94%.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo beat revenue expectations, with global demand and international markets offsetting weaker North American sales. 5 Things to Know Before the Stock Market Opens on Thursday
• Positive Sentiment: Investors appear to be rewarding signs that PepsiCo’s turnaround efforts, including pricing actions and product changes, are helping stabilize performance. PepsiCo Stock Rises After Earnings Beat as Turnaround Plan Takes Hold

Hedge Funds Weigh In On PepsiCo

Several institutional investors and hedge funds have recently added to or reduced their stakes in PEP. State Street Corp raised its stake in shares of PepsiCo by 1.8% during the 3rd quarter. State Street Corp now owns 59,499,819 shares of the company’s stock worth $8,356,155,000 after buying an additional 1,079,970 shares in the last quarter. Charles Schwab Investment Management Inc. grew its holdings in PepsiCo by 1.1% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 28,090,426 shares of the company’s stock worth $4,031,646,000 after acquiring an additional 295,955 shares during the period. Amundi raised its position in PepsiCo by 13.4% in the fourth quarter. Amundi now owns 9,797,165 shares of the company’s stock worth $1,406,089,000 after acquiring an additional 1,155,577 shares in the last quarter. AQR Capital Management LLC lifted its holdings in PepsiCo by 11.3% in the fourth quarter. AQR Capital Management LLC now owns 6,585,282 shares of the company’s stock valued at $945,120,000 after acquiring an additional 668,865 shares during the period. Finally, California Public Employees Retirement System boosted its position in shares of PepsiCo by 28.0% during the 4th quarter. California Public Employees Retirement System now owns 5,373,358 shares of the company’s stock worth $771,184,000 after purchasing an additional 1,174,030 shares in the last quarter. Institutional investors and hedge funds own 73.07% of the company’s stock.

Analyst Ratings Changes

Several brokerages recently commented on PEP. UBS Group cut their price target on shares of PepsiCo from $186.00 to $172.00 and set a “buy” rating on the stock in a research note on Thursday, July 2nd. Sanford C. Bernstein set a $142.00 target price on PepsiCo and gave the company a “market perform” rating in a research report on Wednesday, July 1st. HSBC raised their target price 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. Jefferies Financial Group set a $162.00 price target on shares of PepsiCo in a research note on Thursday, June 25th. Finally, The Goldman Sachs Group increased their target price on shares of PepsiCo from $180.00 to $183.00 and gave the stock a “buy” rating in a research note on Friday, April 17th. Eight investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $164.40.

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.