Invst LLC Takes Position in PepsiCo, Inc. $PEP

Invst LLC purchased a new position in shares of PepsiCo, Inc. (NASDAQ:PEP) in the second quarter, HoldingsChannel.com reports. The firm purchased 3,785 shares of the company’s stock, valued at approximately $512,000.

Other hedge funds and other institutional investors also recently bought and sold shares of the company. Evergreen Advisors LLC purchased a new stake in shares of PepsiCo in the first quarter valued at about $25,000. Gunpowder Capital Management LLC dba Oliver Wealth Management purchased a new position in shares of PepsiCo during the fourth quarter worth about $26,000. Swiss RE Ltd. acquired a new position in PepsiCo in the 4th quarter valued at about $28,000. Atlatl Advisers LLC acquired a new position in PepsiCo in the 2nd quarter valued at about $31,000. Finally, Osterweis Capital Management Inc. purchased a new stake in PepsiCo during the 2nd quarter valued at approximately $31,000. 73.07% of the stock is owned by hedge funds and other institutional investors.

PepsiCo Stock Performance

NASDAQ PEP opened at $141.07 on Monday. The stock 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 business’s 50 day moving average is $139.86 and its two-hundred day moving average is $149.39. PepsiCo, Inc. has a 12-month low of $133.73 and a 12-month high of $171.48. 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 posted its quarterly earnings results on Thursday, July 9th. The company reported $2.20 EPS for the quarter, beating the consensus estimate of $2.19 by $0.01. PepsiCo had a return on equity of 54.63% and a net margin of 10.78%.The business had revenue of $24.18 billion during the quarter, compared to analysts’ expectations of $23.95 billion. During the same period last year, the firm earned $0.92 EPS. The company’s quarterly revenue was up 6.4% compared to the same quarter last year. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. Research analysts expect that PepsiCo, Inc. will post 8.57 EPS for the current year.

PepsiCo Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Friday, September 4th will be given a dividend of $1.48 per share. This represents a $5.92 annualized dividend and a dividend yield of 4.2%. The ex-dividend date is Friday, September 4th. PepsiCo’s payout ratio is presently 77.59%.

PepsiCo News Summary

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?

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 shares were sold at an average price of $139.54, for a total transaction of $404,666.00. Following the transaction, the executive vice president directly owned 74,825 shares of the company’s stock, valued at $10,441,080.50. This represents a 3.73% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.12% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

Several brokerages have weighed in on PEP. Weiss Ratings reiterated a “hold (c)” rating on shares of PepsiCo in a research note on Monday, July 6th. Bank of America cut their price target on PepsiCo from $173.00 to $164.00 and set a “neutral” rating for the company in a research note on Thursday, June 25th. Morgan Stanley decreased their price target on PepsiCo from $180.00 to $160.00 and set an “equal weight” rating for the company in a report on Friday, July 10th. Citigroup cut shares of PepsiCo from a “buy” rating to a “neutral” rating and dropped their price objective for the company from $170.00 to $145.00 in a research note on Friday, July 10th. Finally, Sanford C. Bernstein set a $134.00 price objective on shares of PepsiCo in a research report on Friday, July 10th. Seven research analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $157.90.

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.