PepsiCo (NASDAQ:PEP) Upgraded at Freedom Broker

Freedom Broker upgraded shares of PepsiCo (NASDAQ:PEP) from a hold rating to a strong-buy rating in a report released on Saturday morning,Zacks reports.

A number of other equities research analysts also recently issued reports on PEP. Barclays decreased their price objective on PepsiCo from $133.00 to $126.00 and set an “equal weight” rating on the stock in a research report on Monday. Wells Fargo & Company dropped their target price on PepsiCo from $140.00 to $135.00 and set an “equal weight” rating for the company in a report on Monday, October 5th. Bank of America cut their target price on PepsiCo from $173.00 to $164.00 and set a “neutral” rating on the stock in a research report on Thursday, June 25th. Piper Sandler decreased their price target on PepsiCo from $176.00 to $140.00 and set an “overweight” rating on the stock in a report on Friday. Finally, Deutsche Bank Aktiengesellschaft restated a “hold” rating and set a $132.00 price target on shares of PepsiCo in a report on Friday. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, fourteen have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $145.50.

PepsiCo Trading Up 0.6%

Shares of PEP stock opened at $126.68 on Friday. PepsiCo has a 12-month low of $123.47 and a 12-month high of $171.48. The company has a current ratio of 0.94, a quick ratio of 0.76 and a debt-to-equity ratio of 1.90. The stock’s 50-day moving average price is $135.22 and its 200-day moving average price is $142.83. The stock has a market capitalization of $172.63 billion, a price-to-earnings ratio of 15.91, a price-to-earnings-growth ratio of 2.92 and a beta of 0.35.

PepsiCo (NASDAQ:PEP) last issued its quarterly earnings data on Thursday, October 8th. The company reported $2.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.29 by $0.05. PepsiCo had a return on equity of 53.08% and a net margin of 11.09%. The business had revenue of $25.27 billion for the quarter, compared to analysts’ expectations of $24.95 billion. During the same period in the prior year, the firm earned $2.29 EPS. The company’s revenue for the quarter was up 5.6% on a year-over-year basis. PepsiCo has set its FY 2026 guidance at 8.344-8.425 EPS. Equities research analysts predict that PepsiCo will post 8.40 EPS for the current fiscal year.

PepsiCo Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Friday, September 4th were issued a dividend of $1.48 per share. This represents a $5.92 annualized dividend and a yield of 4.7%. The ex-dividend date was Friday, September 4th. PepsiCo’s dividend payout ratio is presently 74.37%.

Insiders Place Their Bets

In other PepsiCo news, EVP David Flavell sold 2,900 shares of the firm’s stock in a transaction dated Monday, July 27th. The shares were sold at an average price of $139.54, for a total value of $404,666.00. Following the completion of the sale, the executive vice president owned 74,825 shares of the company’s stock, valued at $10,441,080.50. This trade represents a 3.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. 0.12% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Moody National Bank Trust Division boosted its position in PepsiCo by 10.5% during the third quarter. Moody National Bank Trust Division now owns 17,276 shares of the company’s stock worth $2,189,000 after purchasing an additional 1,641 shares in the last quarter. Adelphi Trust Co increased its position in shares of PepsiCo by 6.2% in the third quarter. Adelphi Trust Co now owns 7,862 shares of the company’s stock valued at $996,000 after buying an additional 457 shares in the last quarter. Rockland Trust Co. increased its position in shares of PepsiCo by 2.6% in the third quarter. Rockland Trust Co. now owns 367,153 shares of the company’s stock valued at $46,526,000 after buying an additional 9,403 shares in the last quarter. Envestnet Portfolio Solutions Inc. raised its stake in shares of PepsiCo by 10.5% during the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 127,986 shares of the company’s stock worth $17,321,000 after buying an additional 12,193 shares during the period. Finally, State Street Corp raised its stake in shares of PepsiCo by 1.7% during the 2nd quarter. State Street Corp now owns 60,406,932 shares of the company’s stock worth $8,179,099,000 after buying an additional 987,582 shares during the period. Institutional investors own 73.07% of the company’s stock.

PepsiCo News Roundup

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo’s third-quarter revenue increased 5.6% year over year to approximately $25.3 billion, while adjusted EPS exceeded analyst expectations. The company also raised prices on some products, which could help offset inflation and cost pressures. PepsiCo Q3 revenue and outlook
• Positive Sentiment: PepsiCo is expanding functional beverages, protein-rich snacks and zero-sugar products to capture demand for healthier and wellness-oriented offerings. Its Poppi acquisition is also being positioned as part of a soft-drink turnaround strategy. PepsiCo functional portfolio
• Positive Sentiment: Some investors view PEP as inexpensive after its prolonged decline, citing a dividend yield near 4.7%, strong brands and potentially attractive long-term cash-flow value. PepsiCo also received an A+ profitability grade in one screening report. PepsiCo dividend valuation
• Neutral Sentiment: PepsiCo raised roughly €999 million through euro-denominated senior notes. The financing improves liquidity but increases debt and interest obligations as the company faces pressure to improve margins. PepsiCo euro bond offering
• Neutral Sentiment: CEO Ramon Laguarta said PepsiCo does not plan to separate its snacks and beverage businesses, maintaining the company’s integrated strategy despite activist investor pressure.
• Negative Sentiment: Barclays lowered its PEP price target from $133 to $126 and assigned an “equal weight” rating, implying limited near-term upside. Goldman Sachs and other analysts also reduced their targets amid inflation, cost pressures and concerns about the earnings outlook. Goldman lowers PepsiCo target
• Negative Sentiment: PepsiCo’s reduced forecast and ongoing pressure in North American beverages have weakened investor confidence. Cautious consumers, higher costs and the need to improve margins remain key risks.
• Negative Sentiment: An Indian court refused relief in a labeling dispute involving Sting, preventing PepsiCo from labeling new bottles as an “energy drink,” creating a regulatory and branding headwind in that market. PepsiCo Sting labeling case

PepsiCo Company Profile

PepsiCo, Inc (NASDAQ:PEP) is a global food and beverage company that develops, manufactures, markets and distributes a broad portfolio of snacks, drinks and convenient foods. Its beverage brands include Pepsi, Mountain Dew, Gatorade, 7UP in select markets, and bubly, while its food and snack brands include Lay’s, Doritos, Cheetos, Tostitos, Fritos, Quaker and Ruffles.

The company’s operations include beverage production and distribution, snack foods, convenient meals and nutrition-oriented products.