PepsiCo (NASDAQ:PEP) Stock Rating Lowered by Wall Street Zen

PepsiCo (NASDAQ:PEP) was downgraded by stock analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Saturday.

PEP has been the topic of several other research reports. Evercore upped their price objective on shares of PepsiCo from $165.00 to $170.00 in a report on Friday. Barclays decreased their target price on PepsiCo from $160.00 to $154.00 and set an “equal weight” rating for the company in a research report on Tuesday, April 14th. Royal Bank Of Canada cut their price target on PepsiCo from $165.00 to $163.00 and set a “sector perform” rating on the stock in a report on Thursday, April 9th. UBS Group reduced their price objective on PepsiCo from $190.00 to $186.00 and set a “buy” rating for the company in a research note on Tuesday, April 7th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of PepsiCo in a research report on Wednesday, April 8th. Eight research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $170.05.

PepsiCo Stock Performance

Shares of PEP stock opened at $157.67 on Friday. The firm has a 50 day moving average of $159.79 and a 200-day moving average of $151.71. The company has a market cap of $215.50 billion, a price-to-earnings ratio of 24.75, a price-to-earnings-growth ratio of 3.04 and a beta of 0.40. The company has a quick ratio of 0.72, a current ratio of 0.90 and a debt-to-equity ratio of 1.98. PepsiCo has a 52 week low of $127.60 and a 52 week high of $171.48.

PepsiCo (NASDAQ:PEP) last released its earnings results on Thursday, April 16th. The company reported $1.61 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.55 by $0.06. The company had revenue of $19.44 billion for the quarter, compared to the consensus estimate of $18.89 billion. PepsiCo had a net margin of 9.15% and a return on equity of 56.61%. PepsiCo’s quarterly revenue was up 8.5% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.48 EPS. PepsiCo has set its FY 2026 guidance at 8.465-8.628 EPS. On average, equities analysts forecast that PepsiCo will post 8.3 earnings per share for the current year.

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

Institutional Trading of PepsiCo

Hedge funds have recently bought and sold shares of the business. Auto Owners Insurance Co raised its stake in shares of PepsiCo by 14,857.8% during the 4th quarter. Auto Owners Insurance Co now owns 49,252,907 shares of the company’s stock worth $7,068,777,000 after purchasing an additional 48,923,629 shares during the period. Norges Bank bought a new position in PepsiCo during the fourth quarter valued at about $3,018,813,000. AQR Capital Management LLC increased its holdings in PepsiCo by 120.7% during the third quarter. AQR Capital Management LLC now owns 5,916,417 shares of the company’s stock worth $830,902,000 after buying an additional 3,235,726 shares during the last quarter. Amundi increased its holdings in PepsiCo by 30.0% during the third quarter. Amundi now owns 8,641,588 shares of the company’s stock worth $1,207,230,000 after buying an additional 1,995,362 shares during the last quarter. Finally, Vanguard Group Inc. raised its position in PepsiCo by 1.2% in the fourth quarter. Vanguard Group Inc. now owns 138,483,870 shares of the company’s stock worth $19,875,205,000 after acquiring an additional 1,612,652 shares during the period. 73.07% of the stock is currently owned by institutional investors.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Q1 beat and volume recovery — PepsiCo reported Q1 revenue of $19.44B and EPS of $1.61 (above consensus). Management said recent price cuts on snacks helped revive U.S. food volumes, supporting top-line momentum. PepsiCo tops quarterly revenue estimates as price cuts drive demand
• Positive Sentiment: Broker support rising — Several major banks raised price targets and kept bullish ratings after the quarter (examples: Goldman to $183, BNP Paribas to $195, JPMorgan to $178, Deutsche to $173), giving the stock additional analyst-driven upside. Goldman Sachs adjusts price target on PepsiCo
• Positive Sentiment: Brand and innovation initiatives — Management highlighted a Gatorade overhaul and new product push (including energy and hydration innovations) as part of a broader “hungry and thirsty for growth” strategy that could sustain the recovery. PepsiCo Q1 earnings beat: CEO talks Gatorade overhaul & more
• Neutral Sentiment: Analyst commentary mixed — While many firms raised targets, some analysts struck cautionary notes on margins and consumer trends; expect divergent views to continue driving intraday volatility. What analysts are saying about PepsiCo after its earnings report
• Negative Sentiment: Guidance and revenue outlook under the microscope — FY‑2026 EPS and revenue ranges were viewed as modest versus some consensus math (company-provided EPS range ~8.465–8.628 and revenue guidance slightly below some estimates), which trimmed some upside despite the beat. PepsiCo Analysts Boost Their Forecasts After Upbeat Q1 Earnings
• Negative Sentiment: Reputational/legal hit from Doritos controversy — Coverage notes past controversy cost the company materially; any renewed consumer backlash or litigation headlines could pressure sentiment. PepsiCo Lost Billions Amid a Doritos Controversy

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.