Key Points
- CEO Ramon Laguarta sold 30,000 PepsiCo shares at an average price of $135.13, generating approximately $4.05 million and reducing his direct ownership by 5.75% to 491,645 shares.
- PepsiCo’s latest quarterly results exceeded expectations, with adjusted EPS of $2.34 versus the $2.29 consensus and revenue of $25.27 billion, up 5.6% year over year.
- Despite the earnings beat, investor concerns include weaker North American demand, reduced earnings forecasts and dividend-coverage questions. Analysts maintain a consensus “Hold” rating with an average price target of $143.28.
PepsiCo, Inc. (NASDAQ:PEP - Get Free Report) CEO Ramon Laguarta sold 30,000 shares of the stock in a transaction dated Wednesday, October 21st. The stock was sold at an average price of $135.13, for a total transaction of $4,053,900.00. Following the completion of the sale, the chief executive officer directly owned 491,645 shares in the company, valued at $66,435,988.85. This trade represents a 5.75% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website.
PepsiCo Stock Down 2.2%
Shares of NASDAQ PEP opened at $135.77 on Friday. PepsiCo, Inc. has a 1 year low of $123.47 and a 1 year high of $171.48. The firm has a 50-day simple moving average of $134.05 and a two-hundred day simple moving average of $141.53. The company has a market cap of $185.02 billion, a P/E ratio of 17.06, a PEG ratio of 4.15 and a beta of 0.35. The company has a debt-to-equity ratio of 1.90, a current ratio of 0.94 and a quick ratio of 0.76.
PepsiCo (NASDAQ:PEP - Get Free Report) last released its earnings results on Wednesday, October 7th. The company reported $2.34 EPS for the quarter, beating analysts' consensus estimates of $2.29 by $0.05. The firm had revenue of $25.27 billion for the quarter, compared to analysts' expectations of $24.95 billion. PepsiCo had a return on equity of 53.08% and a net margin of 11.09%. The company's quarterly revenue was up 5.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $2.29 earnings per share. Research analysts anticipate that PepsiCo, Inc. will post 8.39 earnings per share for the current year.
Hedge Funds Weigh In On PepsiCo
Hedge funds and other institutional investors have recently made changes to their positions in the company. Evergreen Advisors LLC bought a new position in PepsiCo during the 1st quarter worth about $25,000. Montgomery Financial Services LLC purchased a new position in PepsiCo during the 2nd quarter valued at about $25,000. Atlatl Advisers LLC purchased a new position in PepsiCo during the 2nd quarter valued at about $31,000. Osterweis Capital Management Inc. bought a new stake in shares of PepsiCo in the 2nd quarter valued at about $31,000. Finally, Networth Advisors LLC raised its holdings in shares of PepsiCo by 2,857.1% in the 1st quarter. Networth Advisors LLC now owns 207 shares of the company's stock valued at $32,000 after purchasing an additional 200 shares in the last quarter. Institutional investors own 73.07% of the company's stock.
Trending Headlines about PepsiCo
Here are the key news stories impacting PepsiCo this week:
- Positive Sentiment: PepsiCo renewed its beverage partnership with Taco Bell through 2036, preserving distribution for brands such as Mountain Dew Baja Blast across participating U.S. and select international locations. The agreement also includes collaboration on crafted, functional and energy drinks, providing a multiyear channel for innovation. Taco Bell and PepsiCo partnership renewal
- Positive Sentiment: Options activity was unusually bullish, with traders purchasing about 55,189 call options—roughly 71% above typical volume—suggesting some market participants are positioning for a rebound. Unusual options volume report
- Neutral Sentiment: PepsiCo is closing its Knoxville, Tennessee, bottling plant, affecting more than 120 roles. The move may reduce costs and align capacity with weaker North American soft-drink volumes, but it also highlights current demand pressure. PepsiCo shuts Tennessee bottling plant
- Negative Sentiment: Erste Group Bank lowered its PepsiCo EPS forecasts to $8.39 for fiscal 2026 and $8.60 for fiscal 2027, citing a weaker outlook. The 2026 estimate is near the broader $8.41 consensus, but the revisions reinforce concerns about slowing growth.
- Negative Sentiment: Investors are questioning whether PepsiCo’s roughly 4% dividend yield is adequately covered after the company lowered its earnings outlook. Reports point to thin free-cash-flow coverage, increasing perceived dividend risk.
- Negative Sentiment: CEO Ramon Laguarta sold 30,000 shares for approximately $4.1 million, reducing his holdings by 5.75%. Although insider sales do not necessarily signal a change in business fundamentals, the transaction adds to near-term investor caution.
Wall Street Analyst Weigh In
A number of equities research analysts recently weighed in on PEP shares. UBS Group decreased their price objective on shares of PepsiCo from $159.00 to $145.00 and set a "buy" rating for the company in a report on Friday, October 2nd. Citigroup restated a "buy" rating on shares of PepsiCo in a research note on Friday, October 9th. Sanford C. Bernstein reaffirmed a "market perform" rating on shares of PepsiCo in a research report on Friday, October 9th. Morgan Stanley set a $145.00 price target on shares of PepsiCo in a research note on Friday, October 9th. Finally, Evercore decreased their price target on shares of PepsiCo from $150.00 to $135.00 in a research note on Wednesday, September 30th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, fourteen have given a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, PepsiCo has a consensus rating of "Hold" and an average target price of $143.28.
Check Out Our Latest Research Report on PEP
PepsiCo Company Profile
(
Get Free Report)
PepsiCo, Inc (NASDAQ:PEP) is a global food and beverage company whose portfolio includes Pepsi-Cola, Mountain Dew, Gatorade, Lay's, Doritos, Cheetos, Quaker, Tostitos, Fritos, and SodaStream. Its products span carbonated soft drinks, sports and energy beverages, bottled water, juices, convenient foods, snacks, and other packaged food offerings.
The company sells products through retail stores, restaurants, food-service providers, e-commerce platforms, and other distribution channels. PepsiCo serves consumers in North America and international markets across Latin America, Europe, Africa, the Middle East, and Asia-Pacific.
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