Waterloo Capital L.P. Purchases 3,467 Shares of PepsiCo, Inc. $PEP

Waterloo Capital L.P. raised its holdings in shares of PepsiCo, Inc. (NASDAQ:PEP) by 81.7% during the third quarter, according to its most recent filing with the SEC. The firm owned 7,708 shares of the company’s stock after purchasing an additional 3,467 shares during the period. Waterloo Capital L.P.’s holdings in PepsiCo were worth $1,083,000 at the end of the most recent reporting period.

Several other hedge funds have also recently modified their holdings of PEP. Vanguard Group Inc. raised its position in shares of PepsiCo by 1.3% in the 2nd quarter. Vanguard Group Inc. now owns 136,936,037 shares of the company’s stock worth $18,081,034,000 after acquiring an additional 1,761,785 shares in the last quarter. State Street Corp raised its holdings in PepsiCo by 1.6% in the second quarter. State Street Corp now owns 58,419,849 shares of the company’s stock worth $7,713,757,000 after purchasing an additional 920,045 shares in the last quarter. Geode Capital Management LLC lifted its position in shares of PepsiCo by 0.3% during the second quarter. Geode Capital Management LLC now owns 32,675,492 shares of the company’s stock valued at $4,301,240,000 after buying an additional 86,695 shares during the last quarter. Charles Schwab Investment Management Inc. grew its position in shares of PepsiCo by 9.7% in the 2nd quarter. Charles Schwab Investment Management Inc. now owns 29,031,404 shares of the company’s stock worth $3,833,406,000 after buying an additional 2,556,163 shares during the last quarter. Finally, Norges Bank purchased a new stake in PepsiCo during the second quarter valued at approximately $2,330,594,000. Hedge funds and other institutional investors own 73.07% of the company’s stock.

PepsiCo Price Performance

Shares of NASDAQ PEP opened at $170.49 on Friday. PepsiCo, Inc. has a 52 week low of $127.60 and a 52 week high of $170.75. The business’s 50 day moving average price is $147.65 and its 200 day moving average price is $146.30. The company has a quick ratio of 0.72, a current ratio of 0.85 and a debt-to-equity ratio of 2.06. The firm has a market cap of $233.00 billion, a P/E ratio of 28.42, a P/E/G ratio of 3.19 and a beta of 0.40.

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

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

PepsiCo Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Friday, March 6th will be paid a dividend of $1.4225 per share. The ex-dividend date is Friday, March 6th. This represents a $5.69 dividend on an annualized basis and a dividend yield of 3.3%. PepsiCo’s dividend payout ratio (DPR) is presently 94.83%.

More PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Q4 results beat expectations (EPS $2.26 vs. $2.24; revenue roughly $29.3B) and management reiterated FY2026 guidance while reporting margin improvement — a core driver for today’s buying. Pepsi Pops as Investors Take Notice of Key Strategic Initiatives
• Positive Sentiment: Board approved a $10 billion share repurchase program, supporting EPS and signaling capital-return priority. PepsiCo to Repurchase $10.00 billion in Shares
• Positive Sentiment: Several brokerages lifted price targets after the strong quarter (UBS to $190, Morgan Stanley $180, JPMorgan $176, HSBC $175), which helps sustain buying interest. UBS Lifts PepsiCo Target JPMorgan Raises Target HSBC Adjusts Target
• Positive Sentiment: Management is cutting prices (up to ~15% on some snacks) and pivoting to “snack affordability” ahead of heavy seasonal demand (Super Bowl), which should boost volumes and retail sales. Guacamole & chip prices and PepsiCo price moves
• Positive Sentiment: Productivity and distribution integration (testing combined beverage/snack logistics) are cited as margin levers — management reported early positive results and operating-margin expansion. Productivity Strategy Analysis
• Neutral Sentiment: Pepsi is publicly adapting product mixes for health-conscious consumers (functional foods) and watching trends like GLP-1 drug use — outcomes are uncertain but the company is actively responding. How PepsiCo is adapting to GLP-1 use
• Neutral Sentiment: Activist investor interest (Elliott) remains a background catalyst; Pepsi is implementing changes but has said full refranchising isn’t being pursued — keeps outcomes dependent on execution. Elliott stake & catalyst analysis
• Negative Sentiment: Snack price cuts — and earlier consumer backlash over pricing — could pressure near-term gross margins until volume gains offset the lower pricing. PepsiCo to cut some US snack prices

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on the company. Weiss Ratings reaffirmed a “hold (c)” rating on shares of PepsiCo in a research report on Friday, January 9th. UBS Group reaffirmed a “buy” rating and set a $190.00 target price on shares of PepsiCo in a research report on Wednesday. Citigroup raised their price target on PepsiCo from $170.00 to $182.00 and gave the stock a “buy” rating in a report on Wednesday. Jefferies Financial Group upped their price objective on shares of PepsiCo from $163.00 to $164.00 and gave the company a “hold” rating in a report on Tuesday, December 9th. Finally, DZ Bank upgraded shares of PepsiCo from a “hold” rating to a “buy” rating and set a $167.00 target price for the company in a research note on Tuesday, October 21st. Eight investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $167.28.

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.