Evercore ISI Forecasts Strong Price Appreciation for PepsiCo (NASDAQ:PEP) Stock

PepsiCo (NASDAQ:PEP) had its target price hoisted by Evercore ISI from $152.00 to $165.00 in a research report issued on Wednesday,MarketScreener reports. Evercore ISI’s price objective would indicate a potential downside of 1.51% from the stock’s previous close.

PEP has been the subject of several other research reports. JPMorgan Chase & Co. raised their price target on shares of PepsiCo from $164.00 to $176.00 and gave the stock an “overweight” rating in a report on Wednesday. Wells Fargo & Company lifted their target price on shares of PepsiCo from $154.00 to $165.00 and gave the stock an “equal weight” rating in a research note on Wednesday. Loop Capital set a $164.00 target price on shares of PepsiCo in a report on Thursday, October 23rd. Morgan Stanley increased their price target on PepsiCo from $165.00 to $180.00 and gave the stock an “equal weight” rating in a report on Wednesday. Finally, Royal Bank Of Canada reissued a “sector perform” rating and issued a $156.00 price objective on shares of PepsiCo in a research note on Wednesday. Nine investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $167.28.

PepsiCo Stock Performance

NASDAQ PEP opened at $167.53 on Wednesday. The company has a market capitalization of $228.95 billion, a price-to-earnings ratio of 27.92, a PEG ratio of 5.43 and a beta of 0.40. 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 has a twelve month low of $127.60 and a twelve month high of $168.01. The stock has a fifty day simple moving average of $147.22 and a 200 day simple moving average of $146.10.

PepsiCo (NASDAQ:PEP) last released its quarterly earnings results on Tuesday, February 3rd. The company reported $2.26 EPS for the quarter, beating analysts’ consensus estimates of $2.24 by $0.02. PepsiCo had a return on equity of 57.92% and a net margin of 8.77%.The firm had revenue of $29.34 billion for the quarter, compared to analyst estimates of $28.96 billion. During the same quarter in the previous year, the company posted $1.96 EPS. The business’s 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 will post 8.3 EPS for the current year.

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

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of PEP. Intrua Financial LLC increased its position in shares of PepsiCo by 3.0% during the fourth quarter. Intrua Financial LLC now owns 10,439 shares of the company’s stock worth $1,498,000 after acquiring an additional 303 shares in the last quarter. Kane Co Wealth Management Inc. acquired a new position in PepsiCo during the 4th quarter valued at about $241,000. CDM Financial Counseling Services Inc. bought a new stake in PepsiCo during the 4th quarter worth approximately $335,000. Integrated Investment Consultants LLC raised its stake in shares of PepsiCo by 107.0% in the fourth quarter. Integrated Investment Consultants LLC now owns 14,151 shares of the company’s stock worth $2,031,000 after purchasing an additional 7,314 shares during the last quarter. Finally, Mission Wealth Management LP lifted its holdings in shares of PepsiCo by 12.9% in the fourth quarter. Mission Wealth Management LP now owns 19,082 shares of the company’s stock valued at $2,739,000 after purchasing an additional 2,182 shares in the last quarter. Institutional investors and hedge funds own 73.07% of the company’s stock.

Trending Headlines about PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Q4 beat and reiterated guidance — PepsiCo topped EPS and revenue estimates for Q4 and kept FY2026 guidance intact, which underpins investor confidence in near-term results. Read More.
• Positive Sentiment: Analyst upgrades and higher price targets — A number of banks raised targets and/or ratings after the quarter (notable raises: UBS to $190, Morgan Stanley to $180, JPMorgan to $176, HSBC to $175), signaling improved sell‑side sentiment. Read More.
• Positive Sentiment: Large $10B buyback approved — Board authorized $10 billion in repurchases (≈4.7% of shares), which supports EPS and signals management confidence in valuation. Read More.
• Positive Sentiment: Dividend increase — Quarterly dividend raised to $1.4225 (5% YoY), keeping Pepsi in the Dividend Kings camp and attractive to income investors. Read More.
• Positive Sentiment: Productivity/efficiency tailwinds — Management is leaning on automation, distribution integration and SKU rationalization to offset inflation and expand margins, which analysts and outlets flag as a catalyst for EPS expansion. Read More.
• Neutral Sentiment: Strategic repositioning highlighted — MarketBeat and others note Pepsi is focusing on top brands, health-oriented SKUs and distribution tests (no full refranchising). These are longer-term actions that support the thesis but require execution. Read More.
• Negative Sentiment: Snack price cuts / consumer backlash — Pepsi will cut prices on certain US snacks (reports cite up to 15%) to drive volumes; this is framed as a “price investment” but risks near-term margin dilution and has drawn critical press and analyst scrutiny. Read More.
• Negative Sentiment: Bearish commentary on margin trade-off — Some analysts/commentators argue recent multiple expansion prices in a recovery that may require trading margin certainty for volume growth, raising execution risk for new buyers. Read More.

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.