PepsiCo, Inc. (NASDAQ:PEP) Receives Average Rating of “Hold” from Brokerages

Shares of PepsiCo, Inc. (NASDAQ:PEP) have received an average rating of “Hold” from the twenty ratings firms that are currently covering the company, Marketbeat.com reports. One equities research analyst has rated the stock with a sell rating, eleven have issued a hold rating and eight have assigned a buy rating to the company. The average 1-year target price among brokers that have covered the stock in the last year is $168.00.

PEP has been the topic of a number of analyst reports. TD Cowen increased their price objective on PepsiCo from $162.00 to $165.00 and gave the company a “hold” rating in a research note on Friday, February 20th. Jefferies Financial Group boosted their price objective on PepsiCo from $163.00 to $164.00 and gave the stock a “hold” rating in a research note on Tuesday, December 9th. Piper Sandler increased their target price on PepsiCo from $161.00 to $172.00 and gave the company an “overweight” rating in a research note on Tuesday, December 9th. Citigroup boosted their price target on PepsiCo from $170.00 to $182.00 and gave the stock a “buy” rating in a research report on Wednesday, February 4th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of PepsiCo in a research report on Friday, January 9th.

Trending Headlines about PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo is launching its Poppi soda brand in the UK — its first rollout outside the U.S. — which broadens international growth avenues for a fast‑growing beverage SKU and leverages local bottler Carlsberg Britvic for production and distribution. poppi lands in the UK
• Positive Sentiment: Dividend narrative remains supportive: coverage pieces continue to highlight PepsiCo’s long dividend track record and yield profile, attracting income‑focused investors and providing a defensive valuation underpin. Dividend King coverage
• Positive Sentiment: Management/marketing moves and digital push — PepsiCo elevated Mira Medhat to a regional beverages marketing role and is leaning into social media influencers (TikTok) to drive brand buzz, indicating active investment in demand creation for beverage SKUs. Marketing director promotion
• Neutral Sentiment: Investor attention metrics: tools and sites (Zacks/other screens) show elevated interest in PEP — higher searches can increase short‑term liquidity and volatility but are not directional on fundamentals. Zacks investor interest
• Neutral Sentiment: Nearby competitor/asset news — Celsius Holdings reported strong results after acquiring Rockstar (previously part of PepsiCo). Celsius strength is an industry datapoint but doesn’t directly change PepsiCo’s core beverage economics. Celsius earnings and Rockstar note
• Negative Sentiment: PepsiCo will close a Frito‑Lay warehouse in Rancho Cucamonga, CA, laying off ~248 workers — a cost/supply‑chain action that reduces capacity and creates short‑term disruption and local PR/ESG scrutiny. Frito‑Lay warehouse closure
• Negative Sentiment: Short interest rose sharply in February (≈25% increase month‑over‑month) — a higher short base can amplify downside risk and volatility if negative news or earnings miss occurs. (Data reported in market summaries.)
• Negative Sentiment: Proxy/ESG issue: a shareholder action over animal welfare was halted after PepsiCo relented on a demand — the resolution removes litigation uncertainty but signals concession on an ESG matter, which may concern some investors. Animal welfare proxy suit halted

Hedge Funds Weigh In On PepsiCo

A number of hedge funds have recently added to or reduced their stakes in the business. Swiss RE Ltd. acquired a new stake in PepsiCo in the 4th quarter valued at about $28,000. JCIC Asset Management Inc. acquired a new stake in PepsiCo during the third quarter valued at approximately $27,000. MH & Associates Securities Management Corp ADV bought a new stake in PepsiCo during the fourth quarter worth approximately $29,000. Evolution Wealth Management Inc. bought a new position in shares of PepsiCo in the second quarter valued at $27,000. Finally, Imprint Wealth LLC acquired a new stake in shares of PepsiCo during the 3rd quarter valued at $31,000. Institutional investors and hedge funds own 73.07% of the company’s stock.

PepsiCo Stock Up 1.3%

Shares of NASDAQ PEP opened at $169.74 on Monday. The business’s 50 day moving average is $153.15 and its two-hundred day moving average is $148.83. The company has a quick ratio of 0.67, a current ratio of 0.85 and a debt-to-equity ratio of 2.06. PepsiCo has a 52-week low of $127.60 and a 52-week high of $171.48. The firm has a market cap of $231.98 billion, a price-to-earnings ratio of 28.29, a PEG ratio of 3.25 and a beta of 0.39.

PepsiCo (NASDAQ:PEP) last released its quarterly earnings data on Monday, February 2nd. The company reported $2.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.24 by $0.02. The business had revenue of $29.34 billion during the quarter, compared to analysts’ expectations of $28.96 billion. PepsiCo had a net margin of 8.77% and a return on equity of 57.92%. The company’s revenue for the quarter was up 5.6% on a year-over-year basis. During the same period in the previous year, the company earned $1.96 EPS. Research analysts predict that PepsiCo will post 8.3 EPS for the current year.

PepsiCo Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Friday, March 6th will be given a $1.4225 dividend. This represents a $5.69 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend is Friday, March 6th. PepsiCo’s dividend payout ratio is presently 94.83%.

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

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.