Capital Investment Advisory Services LLC Lowers Stake in PepsiCo, Inc. $PEP

Capital Investment Advisory Services LLC cut its holdings in PepsiCo, Inc. (NASDAQ:PEP) by 16.9% in the third quarter, according to the company in its most recent disclosure with the SEC. The fund owned 18,189 shares of the company’s stock after selling 3,711 shares during the quarter. Capital Investment Advisory Services LLC’s holdings in PepsiCo were worth $2,554,000 at the end of the most recent reporting period.

Several other hedge funds have also recently modified their holdings of PEP. Brighton Jones LLC increased its stake in shares of PepsiCo by 12.4% in the fourth quarter. Brighton Jones LLC now owns 59,392 shares of the company’s stock worth $9,031,000 after acquiring an additional 6,574 shares during the period. Caxton Associates LLP acquired a new position in shares of PepsiCo in the 1st quarter valued at about $251,000. Sivia Capital Partners LLC boosted its stake in shares of PepsiCo by 138.5% in the second quarter. Sivia Capital Partners LLC now owns 6,527 shares of the company’s stock worth $862,000 after buying an additional 3,790 shares during the last quarter. Clear Creek Financial Management LLC grew its holdings in PepsiCo by 8.9% during the second quarter. Clear Creek Financial Management LLC now owns 7,871 shares of the company’s stock worth $1,039,000 after acquiring an additional 643 shares during the period. Finally, Massachusetts Wealth Management raised its position in PepsiCo by 1.4% during the second quarter. Massachusetts Wealth Management now owns 13,493 shares of the company’s stock valued at $1,782,000 after acquiring an additional 187 shares in the last quarter. Institutional investors and hedge funds own 73.07% of the company’s stock.

Analysts Set New Price Targets

PEP has been the topic of several recent research reports. Weiss Ratings restated a “hold (c)” rating on shares of PepsiCo in a research report on Friday, January 9th. UBS Group reissued a “buy” rating and set a $190.00 price target on shares of PepsiCo in a report on Wednesday. JPMorgan Chase & Co. lifted their price objective on shares of PepsiCo from $164.00 to $176.00 and gave the company an “overweight” rating in a report on Wednesday. Exane BNP Paribas reissued an “outperform” rating on shares of PepsiCo in a research note on Wednesday. Finally, Evercore ISI lifted their price target on PepsiCo from $152.00 to $165.00 in a research note on Wednesday. Nine equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, PepsiCo currently has a consensus rating of “Hold” and a consensus price target of $167.28.

PepsiCo Stock Up 0.8%

PEP opened at $167.53 on Friday. The company has a market cap of $228.95 billion, a PE ratio of 27.92, a price-to-earnings-growth ratio of 5.43 and a beta of 0.40. PepsiCo, Inc. has a twelve month low of $127.60 and a twelve month high of $168.01. The company has a 50-day moving average price of $147.22 and a 200 day moving average price of $146.10. The company has a quick ratio of 0.72, a current ratio of 0.85 and a debt-to-equity ratio of 2.06.

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

PepsiCo announced that its board has initiated a stock buyback program on Tuesday, February 3rd that permits the company to buyback $10.00 billion in shares. This buyback authorization permits the company to repurchase up to 4.7% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s management believes its shares are undervalued.

PepsiCo Announces Dividend

The company also recently disclosed 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. The ex-dividend date of this dividend is Friday, March 6th. This represents a $5.69 dividend on an annualized basis and a dividend yield of 3.4%. PepsiCo’s payout ratio is presently 94.83%.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Q4 beat and reiterated guidance — Pepsi reported better-than-expected Q4 revenue and EPS, kept FY26 guidance, and management highlighted margin improvement and execution that helped the stock rally after earnings. Pepsi Pops as Investors Take Notice of Key Strategic Initiatives
• Positive Sentiment: Wall Street lifts targets — Several firms raised PEP price targets (examples: Morgan Stanley to $180, JPMorgan to $176, UBS to $190, HSBC to $175), signaling analyst confidence that recent execution and initiatives improve the outlook. PepsiCo (NASDAQ:PEP) Given New $180.00 Price Target at Morgan Stanley
• Positive Sentiment: Shareholder returns boosted — Board declared a higher quarterly dividend (5% increase) and the company announced a $10 billion share-repurchase program, supporting total-return appeal for income and activist-aligned investors. PepsiCo Declares Quarterly Dividend PepsiCo (NASDAQ:PEP) to Repurchase $10.00 billion in Shares
• Positive Sentiment: Strategy shift to lift volumes and margins — Management is cutting and simplifying SKUs, investing in core brands, rolling out affordability (price cuts up to ~15% on some snacks) and pursuing productivity/automation savings to offset inflation — a coordinated plan investors view as constructive for growth and margin recovery. PepsiCo pivoting to snack affordability PepsiCo’s Productivity Strategy: A Catalyst for EPS Expansion?
• Neutral Sentiment: Price cuts follow consumer backlash — Management publicly acknowledged consumer pushback on recent snack pricing and is reducing prices on select SKUs to regain volume; outcome depends on execution and retailer cooperation. Pepsi will cut prices on Lay’s, Cheetos by as much as 15%
• Negative Sentiment: Margin and valuation risk flagged by some analysts — Critics say the rally is partly multiple expansion, volumes remain soft, and the planned price cuts could pressure margins; upside now depends on execution, raising risk for new buyers. PepsiCo: The Carbonation Is Out Of The Bottle – Strong Sell

PepsiCo Company 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.