PepsiCo (NASDAQ:PEP) Share Price Crosses Above 50-Day Moving Average – Here’s What Happened

PepsiCo, Inc. (NASDAQ:PEP) shares crossed above its 50-day moving average during trading on Thursday. The stock has a 50-day moving average of $133.59 and traded as high as $134.96. PepsiCo shares last traded at $133.79, with a volume of 6,143,240 shares changing hands.

More PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo’s shares trade at roughly 17 times earnings, near a six-year low relative to profits. Investors view the depressed valuation, a dividend yield above 4%, and the company’s Dividend King status as potential support for a recovery. PepsiCo Hasn’t Been This Cheap Relative to Earnings in 6 Years
• Positive Sentiment: Analysts highlight PepsiCo’s broad beverage-and-snacks portfolio, international growth opportunities and defensive characteristics. Morningstar favors its recovery potential over Coca-Cola’s because of PEP’s cheaper valuation, while its dividend remains attractive to income-focused investors. Coca-Cola Vs. PepsiCo
• Positive Sentiment: PepsiCo is pursuing cost reductions, brand investment and product innovation through its North America reset, while international operations could provide an additional source of growth. PepsiCo’s North America Reset
• Positive Sentiment: Taco Bell’s decision to retain Mountain Dew Baja Blast supports the durability of PepsiCo’s restaurant partnerships and beverage brands, although the impact on overall earnings is likely limited. Taco Bell Mountain Dew Decision
• Neutral Sentiment: Investor commentary is focused on whether PepsiCo’s cash generation, dividend and defensive brand portfolio can offset slower growth, making the stock more appealing to income investors than to investors seeking rapid earnings expansion. Should You Buy PepsiCo Stock For Its Cash?
• Negative Sentiment: The primary pressure remains PepsiCo’s stagnant North American business. The company has reportedly cut prices by as much as 15% to win back cost-conscious consumers, potentially supporting volume but weighing on margins and signaling weaker pricing power. Why Is PepsiCo Stock Falling?
• Negative Sentiment: PepsiCo has lost roughly one-third of its value from its 2023 peak, and an activist investor is now involved. Investors remain cautious about how quickly management can restore growth, while the company’s substantial debt adds to the risk profile. PepsiCo Stock Decline and Activist Investor

Analyst Upgrades and Downgrades

A number of equities research analysts recently issued reports on the company. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and issued a $132.00 price objective on shares of PepsiCo in a research report on Friday, October 9th. UBS Group decreased their target price on PepsiCo from $159.00 to $145.00 and set a “buy” rating on the stock in a research note on Friday, October 2nd. Barclays lowered their price target on PepsiCo from $133.00 to $126.00 and set an “equal weight” rating on the stock in a report on Monday, October 12th. Citigroup reiterated a “buy” rating on shares of PepsiCo in a research report on Friday, October 9th. Finally, The Goldman Sachs Group reiterated a “buy” rating and set a $165.00 price target on shares of PepsiCo in a research report on Thursday, October 8th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, fourteen have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $143.28.

PepsiCo Price Performance

The business’s fifty day moving average price is $133.59 and its 200-day moving average price is $145.89. The company has a market capitalization of $182.32 billion, a P/E ratio of 16.81, a P/E/G ratio of 3.96 and a beta of 0.35. The company has a current ratio of 0.94, a quick ratio of 0.76 and a debt-to-equity ratio of 1.90.

PepsiCo (NASDAQ:PEP) last released its earnings results on Wednesday, October 7th. The company reported $2.34 EPS for the quarter, beating analysts’ consensus estimates of $2.29 by $0.05. The business had revenue of $25.27 billion for the quarter, compared to analysts’ expectations of $24.95 billion. PepsiCo had a return on equity of 53.08% and a net margin of 11.09%. The firm’s revenue was up 5.6% on a year-over-year basis. During the same quarter in the prior year, the firm earned $2.29 earnings per share. As a group, sell-side analysts predict that PepsiCo, Inc. will post 8.39 earnings per share for the current fiscal year.

Insider Activity

In related news, CEO Ramon Laguarta sold 30,000 shares of the firm’s stock in a transaction dated Wednesday, October 21st. The stock was sold at an average price of $135.13, for a total transaction of $4,053,900.00. Following the transaction, the chief executive officer directly owned 491,645 shares of the company’s stock, valued at approximately $66,435,988.85. This trade represents a 5.75% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Robert C. Pohlad acquired 184,646 shares of the firm’s stock in a transaction that occurred on Wednesday, October 14th. The shares were purchased at an average cost of $128.28 per share, for a total transaction of $23,686,388.88. Following the completion of the acquisition, the director owned 433,009 shares in the company, valued at $55,546,394.52. This represents a 74.35% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders own 0.12% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of PEP. Eads & Heald Wealth Management lifted its stake in PepsiCo by 2.1% in the third quarter. Eads & Heald Wealth Management now owns 14,451 shares of the company’s stock worth $1,831,000 after purchasing an additional 295 shares during the last quarter. Gerber Kawasaki Wealth & Investment Management boosted its position in PepsiCo by 30.5% during the third quarter. Gerber Kawasaki Wealth & Investment Management now owns 2,754 shares of the company’s stock valued at $349,000 after buying an additional 644 shares during the period. GRIMES & Co WEALTH MANAGEMENT LLC grew its stake in shares of PepsiCo by 11.8% during the third quarter. GRIMES & Co WEALTH MANAGEMENT LLC now owns 83,533 shares of the company’s stock valued at $10,585,000 after buying an additional 8,799 shares during the last quarter. Next Level Wealth Planning LLC purchased a new position in shares of PepsiCo in the third quarter worth about $26,000. Finally, Signature Equity Partners LLC increased its holdings in shares of PepsiCo by 15.2% in the third quarter. Signature Equity Partners LLC now owns 1,397 shares of the company’s stock worth $177,000 after buying an additional 184 shares during the period. 73.07% of the stock is currently owned by institutional investors.

PepsiCo Company Profile

PepsiCo, Inc (NASDAQ:PEP) is a global food and beverage company whose portfolio includes Pepsi-Cola, Mountain Dew, Gatorade, Lay’s, Doritos, Cheetos, Quaker, Tostitos, Fritos, and SodaStream. Its products span carbonated soft drinks, sports and energy beverages, bottled water, juices, convenient foods, snacks, and other packaged food offerings.

The company sells products through retail stores, restaurants, food-service providers, e-commerce platforms, and other distribution channels. PepsiCo serves consumers in North America and international markets across Latin America, Europe, Africa, the Middle East, and Asia-Pacific.