Legal & General Group Plc Makes New Investment in PepsiCo, Inc. $PEP

Legal & General Group Plc purchased a new stake in PepsiCo, Inc. (NASDAQ:PEP) during the 2nd quarter, Holdings Channel.com reports. The fund purchased 8,864,652 shares of the company’s stock, valued at approximately $1,200,274,000.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Evergreen Advisors LLC bought a new stake in PepsiCo in the first quarter valued at about $25,000. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new position in PepsiCo during the fourth quarter worth about $26,000. Swiss RE Ltd. acquired a new stake in PepsiCo during the fourth quarter valued at approximately $28,000. Atlatl Advisers LLC bought a new stake in shares of PepsiCo in the 2nd quarter valued at approximately $31,000. Finally, Imprint Wealth LLC acquired a new position in shares of PepsiCo in the 3rd quarter worth approximately $31,000. 73.07% of the stock is owned by institutional investors.

PepsiCo Price Performance

Shares of PEP stock opened at $141.07 on Monday. PepsiCo, Inc. has a 1 year low of $133.73 and a 1 year high of $171.48. The firm’s 50 day moving average is $139.86 and its 200-day moving average is $149.39. The firm has a market capitalization of $192.55 billion, a price-to-earnings ratio of 18.49, a PEG ratio of 3.10 and a beta of 0.35. The company has a current ratio of 0.93, a quick ratio of 0.74 and a debt-to-equity ratio of 1.91.

PepsiCo (NASDAQ:PEP) last issued its quarterly earnings results on Thursday, July 9th. The company reported $2.20 earnings per share for the quarter, beating analysts’ consensus estimates of $2.19 by $0.01. PepsiCo had a net margin of 10.78% and a return on equity of 54.63%. The business had revenue of $24.18 billion during the quarter, compared to analyst estimates of $23.95 billion. During the same quarter last year, the business posted $0.92 earnings per share. PepsiCo’s revenue for the quarter was up 6.4% compared to the same quarter last year. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. Sell-side analysts forecast that PepsiCo, Inc. will post 8.57 EPS for the current fiscal year.

PepsiCo Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Friday, September 4th will be paid a $1.48 dividend. This represents a $5.92 annualized dividend and a dividend yield of 4.2%. The ex-dividend date of this dividend is Friday, September 4th. PepsiCo’s dividend payout ratio (DPR) is 77.59%.

Insider Buying and Selling at PepsiCo

In other news, EVP David Flavell sold 2,900 shares of the company’s stock in a transaction on Monday, July 27th. The stock was sold at an average price of $139.54, for a total transaction of $404,666.00. Following the transaction, the executive vice president owned 74,825 shares of the company’s stock, valued at $10,441,080.50. This represents a 3.73% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.12% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

Several brokerages recently commented on PEP. BNP Paribas Exane decreased their price target on PepsiCo from $195.00 to $183.00 and set an “outperform” rating on the stock in a research note on Wednesday, July 8th. Royal Bank Of Canada dropped their price objective on PepsiCo from $163.00 to $161.00 and set a “sector perform” rating for the company in a research note on Friday, July 10th. Jefferies Financial Group cut their price objective on PepsiCo from $162.00 to $152.00 and set a “hold” rating for the company in a report on Friday, July 10th. Barclays upped their target price on shares of PepsiCo from $138.00 to $142.00 and gave the stock an “equal weight” rating in a report on Tuesday, July 21st. Finally, Wells Fargo & Company dropped their target price on shares of PepsiCo from $150.00 to $140.00 and set an “equal weight” rating for the company in a research report on Friday, July 10th. Seven investment analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $157.90.

PepsiCo News Roundup

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Jim Cramer highlighted PepsiCo as a defensive large-cap opportunity, citing its roughly 4% dividend yield and the potential benefit of lower oil prices. Cheaper fuel could support consumer spending and reduce transportation and operating costs. Jim Cramer Shares Why PepsiCo Caught His Eye During Consumer Headwinds
• Positive Sentiment: Investors remain attracted to PepsiCo’s 54-year record of consecutive dividend increases and comparatively reasonable valuation. Improving international results could help offset continuing weakness in North America, supporting the case for income-oriented investors. Most Investors Overlook This. I’m Buying PepsiCo for Its Dividend
• Positive Sentiment: PepsiCo is pursuing growth beyond its traditional snack portfolio by introducing and emphasizing global flavors, a strategy that could broaden consumer appeal and create new avenues for international growth. PepsiCo Bets on Global Flavors to Grow Beyond Snacks
• Neutral Sentiment: Commentary describing consumer staples as a lagging sector frames PepsiCo as a value opportunity rather than a near-term growth leader. The investment appeal depends on the stock’s discounted valuation, dividend support and execution on its recovery plans. The Consumer Staples Sector Is Lagging the S&P 500
• Negative Sentiment: Texas authorities are investigating PepsiCo and Kraft Heinz over claims involving avocado oil. The outcome and scope of the investigation are unclear, but regulatory scrutiny could create legal, reputational or product-related costs. PepsiCo, Kraft Heinz Under Investigation in Texas Over Avocado Oil Claims
• Negative Sentiment: Analysts note that PepsiCo’s dividend faces pressure from slower growth, persistent North American weakness and a more difficult recovery than the commodity-driven risks facing Chevron. This raises questions about future payout growth, despite the company’s long dividend history. Chevron or PepsiCo: Whose Dividend Is Standing on Thinner Ice?

PepsiCo Profile

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.