FY2026 EPS Estimates for PepsiCo Reduced by Erste Group Bank

PepsiCo, Inc. (NASDAQ:PEP) – Equities research analysts at Erste Group Bank lowered their FY2026 EPS estimates for PepsiCo in a report released on Wednesday, July 15th. Erste Group Bank analyst S. Lingnau now expects that the company will post earnings of $8.55 per share for the year, down from their prior forecast of $8.60. The consensus estimate for PepsiCo’s current full-year earnings is $8.58 per share. Erste Group Bank also issued estimates for PepsiCo’s FY2027 earnings at $9.02 EPS.

PepsiCo (NASDAQ:PEP) last announced its earnings results on Thursday, July 9th. The company reported $2.20 earnings per share for the quarter, beating the consensus estimate 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 for the quarter, compared to the consensus estimate of $23.95 billion. During the same quarter in the prior year, the firm posted $0.92 earnings per share. The business’s revenue for the quarter was up 6.4% on a year-over-year basis. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS.

Several other research analysts have also issued reports on PEP. UBS Group set a $159.00 target price on PepsiCo in a research report on Thursday, July 9th. Weiss Ratings reissued a “hold (c)” rating on shares of PepsiCo in a research note on Monday, July 6th. TD Cowen dropped their price objective on PepsiCo from $150.00 to $145.00 and set a “hold” rating for the company in a report on Friday, July 10th. Piper Sandler set a $176.00 price objective on PepsiCo in a research report on Thursday, July 9th. Finally, Barclays reduced their target price on PepsiCo from $144.00 to $138.00 and set an “equal weight” rating on the stock in a research note 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’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $157.70.

PepsiCo Stock Performance

Shares of NASDAQ:PEP opened at $137.12 on Friday. The company has a current ratio of 0.93, a quick ratio of 0.74 and a debt-to-equity ratio of 1.91. The company has a market capitalization of $187.15 billion, a price-to-earnings ratio of 17.97, a PEG ratio of 3.06 and a beta of 0.36. PepsiCo has a 12 month low of $134.65 and a 12 month high of $171.48. The firm’s 50-day moving average is $143.53 and its 200 day moving average is $151.21.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of PEP. Evergreen Advisors LLC bought a new position in shares of PepsiCo during the 1st quarter worth $25,000. Gunpowder Capital Management LLC dba Oliver Wealth Management purchased a new stake in PepsiCo in the fourth quarter worth about $26,000. Swiss RE Ltd. bought a new position in PepsiCo during the 4th quarter worth about $28,000. MH & Associates Securities Management Corp ADV purchased a new stake in shares of PepsiCo in the 4th quarter worth approximately $29,000. Finally, Imprint Wealth LLC bought a new position in shares of PepsiCo during the third quarter valued at approximately $31,000. Institutional investors own 73.07% of the company’s stock.

PepsiCo Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Friday, June 5th were paid a dividend of $1.48 per share. This is a boost from PepsiCo’s previous quarterly dividend of $1.42. This represents a $5.92 annualized dividend and a dividend yield of 4.3%. The ex-dividend date of this dividend was Friday, June 5th. PepsiCo’s payout ratio is presently 77.59%.

More PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo declared a quarterly dividend of $1.48 per share, a 4% increase from a year ago, which reinforces its appeal as a steady income stock. PepsiCo Declares Quarterly Dividend
• Positive Sentiment: PepsiCo India reported robust first-half growth and said it will set up a new food manufacturing facility in Tamil Nadu, signaling continued international expansion. PepsiCo India sees robust growth in H1
• Positive Sentiment: PepsiCo’s CEO said the company remains cautiously optimistic about the second half, citing resilient demand in the face of weather-related uncertainty. PepsiCo cautiously optimistic on H2 amid robust demand
• Neutral Sentiment: PepsiCo is drawing more investor attention, but the Zacks items are mostly watchlist-style coverage rather than new fundamental news. PepsiCo, Inc. (PEP) is Attracting Investor Attention
• Neutral Sentiment: PepsiCo is pushing sustainable sourcing further, saying 70% of ingredients now come from sustainable sources and targeting 90% by 2030, which supports long-term ESG goals but is unlikely to move the stock near term. PepsiCo (PEP) Pushes Sustainable Sourcing
• Negative Sentiment: Erste Group Bank trimmed PepsiCo’s FY2026 and FY2027 earnings estimates, adding to concern that profit growth may be slower than previously expected. PepsiCo estimate cuts
• Negative Sentiment: Broader commentary that U.S. grocery unit sales are falling suggests a tougher demand backdrop for PepsiCo and other packaged-food companies. U.S. grocery unit sales falling
• Negative Sentiment: Coverage noting that PepsiCo stock is near a one-year low highlights ongoing investor concern about the company’s growth and margin outlook. Why PepsiCo’s stock is at a 1-year low

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.