HSBC Issues Positive Forecast for PepsiCo (NASDAQ:PEP) Stock Price

PepsiCo (NASDAQ:PEP) had its target price lifted by HSBC from $152.00 to $175.00 in a research note issued to investors on Thursday,MarketScreener reports. The firm currently has a hold rating on the stock.

Other research analysts also recently issued reports about the company. Evercore ISI boosted their price target on PepsiCo from $150.00 to $152.00 in a report on Friday, October 10th. UBS Group reiterated a “buy” rating and set a $190.00 target price on shares of PepsiCo in a research report on Wednesday. Wall Street Zen lowered shares of PepsiCo from a “buy” rating to a “hold” rating in a report on Saturday, December 27th. Bank of America increased their price objective on shares of PepsiCo from $150.00 to $155.00 and gave the company a “neutral” rating in a report on Friday, October 10th. Finally, Wells Fargo & Company boosted their target price on shares of PepsiCo from $154.00 to $165.00 and gave the stock an “equal weight” rating in a research note on Wednesday. Nine investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $167.28.

PepsiCo Stock Performance

Shares of NASDAQ PEP opened at $167.53 on Thursday. The company has a 50 day simple moving average of $147.22 and a two-hundred day simple moving average of $146.10. The stock has a market cap of $228.95 billion, a price-to-earnings ratio of 27.92, a PEG ratio of 5.43 and a beta of 0.40. The company has a current ratio of 0.85, a quick ratio of 0.72 and a debt-to-equity ratio of 2.06. PepsiCo has a 12 month low of $127.60 and a 12 month high of $168.01.

PepsiCo (NASDAQ:PEP) last released its quarterly earnings data on Tuesday, February 3rd. The company reported $2.26 earnings per share for the quarter, topping analysts’ consensus estimates of $2.24 by $0.02. The firm had revenue of $29.34 billion for the quarter, compared to analyst estimates of $28.96 billion. PepsiCo had a net margin of 8.77% and a return on equity of 57.92%. The business’s quarterly revenue was up 5.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.96 earnings per share. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. As a group, analysts predict that PepsiCo will post 8.3 earnings per share for the current year.

PepsiCo Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Friday, March 6th will be paid a $1.4225 dividend. This represents a $5.69 annualized dividend and a dividend yield of 3.4%. The ex-dividend date of this dividend is Friday, March 6th. PepsiCo’s dividend payout ratio (DPR) is currently 94.83%.

PepsiCo declared that its board has authorized a share repurchase program on Tuesday, February 3rd that allows the company to buyback $10.00 billion in outstanding shares. This buyback authorization allows the company to repurchase up to 4.7% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s management believes its stock is undervalued.

Institutional Trading of PepsiCo

A number of hedge funds have recently bought and sold shares of the business. JCIC Asset Management Inc. purchased a new position in PepsiCo during the third quarter worth approximately $27,000. MH & Associates Securities Management Corp ADV acquired a new stake in shares of PepsiCo in the 4th quarter worth $29,000. Evolution Wealth Management Inc. purchased a new position in shares of PepsiCo during the 2nd quarter worth $27,000. Imprint Wealth LLC acquired a new position in shares of PepsiCo during the 3rd quarter valued at about $31,000. Finally, Mowery & Schoenfeld Wealth Management LLC purchased a new stake in shares of PepsiCo in the fourth quarter valued at about $33,000. Institutional investors and hedge funds own 73.07% of the company’s stock.

Trending Headlines about PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Q4 beat and reiterated guidance — PepsiCo topped EPS and revenue estimates for Q4 and kept FY2026 guidance intact, which underpins investor confidence in near-term results. Read More.
• Positive Sentiment: Analyst upgrades and higher price targets — A number of banks raised targets and/or ratings after the quarter (notable raises: UBS to $190, Morgan Stanley to $180, JPMorgan to $176, HSBC to $175), signaling improved sell‑side sentiment. Read More.
• Positive Sentiment: Large $10B buyback approved — Board authorized $10 billion in repurchases (≈4.7% of shares), which supports EPS and signals management confidence in valuation. Read More.
• Positive Sentiment: Dividend increase — Quarterly dividend raised to $1.4225 (5% YoY), keeping Pepsi in the Dividend Kings camp and attractive to income investors. Read More.
• Positive Sentiment: Productivity/efficiency tailwinds — Management is leaning on automation, distribution integration and SKU rationalization to offset inflation and expand margins, which analysts and outlets flag as a catalyst for EPS expansion. Read More.
• Neutral Sentiment: Strategic repositioning highlighted — MarketBeat and others note Pepsi is focusing on top brands, health-oriented SKUs and distribution tests (no full refranchising). These are longer-term actions that support the thesis but require execution. Read More.
• Negative Sentiment: Snack price cuts / consumer backlash — Pepsi will cut prices on certain US snacks (reports cite up to 15%) to drive volumes; this is framed as a “price investment” but risks near-term margin dilution and has drawn critical press and analyst scrutiny. Read More.
• Negative Sentiment: Bearish commentary on margin trade-off — Some analysts/commentators argue recent multiple expansion prices in a recovery that may require trading margin certainty for volume growth, raising execution risk for new buyers. Read More.

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.