Bank of Montreal Can Grows Stock Position in PepsiCo, Inc. $PEP

Key Points

• Bank of Montreal Can increased its stake in PepsiCo by 7.0% to 2,484,913 shares, representing about 0.18% of the company and valued at roughly $349 million at the end of the quarter.
• PepsiCo's board authorized a $10.0 billion stock repurchase program (up to ~4.7% of shares) and declared a quarterly dividend of $1.4225 per share (annualized $5.69, ~3.5% yield).
• PepsiCo beat the quarter with EPS of $2.26 (vs. $2.24 est.) and revenue of $29.34B; the stock trades around $161.53 with a market cap of about $220.8B, a P/E near 26.9, and a consensus analyst rating of "Hold" with an average target of $168.50.

Bank of Montreal Can grew its position in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 7.0% during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 2,484,913 shares of the company's stock after buying an additional 162,516 shares during the period. Bank of Montreal Can owned 0.18% of PepsiCo worth $348,981,000 at the end of the most recent reporting period.

Several other large investors also recently added to or reduced their stakes in the company. Three Bridge Wealth Advisors LLC boosted its position in PepsiCo by 1.8% during the third quarter. Three Bridge Wealth Advisors LLC now owns 3,870 shares of the company's stock worth $544,000 after purchasing an additional 68 shares during the period. Facet Wealth Inc. raised its position in shares of PepsiCo by 3.2% in the third quarter. Facet Wealth Inc. now owns 2,221 shares of the company's stock valued at $312,000 after purchasing an additional 69 shares during the period. Hudock Inc. raised its position in shares of PepsiCo by 1.0% in the third quarter. Hudock Inc. now owns 7,079 shares of the company's stock valued at $994,000 after purchasing an additional 70 shares during the period. Delta Asset Management LLC TN lifted its stake in shares of PepsiCo by 0.6% during the 3rd quarter. Delta Asset Management LLC TN now owns 11,000 shares of the company's stock valued at $1,545,000 after buying an additional 70 shares in the last quarter. Finally, Westside Investment Management Inc. boosted its holdings in PepsiCo by 2.8% in the 3rd quarter. Westside Investment Management Inc. now owns 2,602 shares of the company's stock worth $366,000 after buying an additional 70 shares during the period. Hedge funds and other institutional investors own 73.07% of the company's stock.

PepsiCo Trading Up 1.3%

PepsiCo stock opened at $161.53 on Tuesday. The company has a debt-to-equity ratio of 2.06, a quick ratio of 0.67 and a current ratio of 0.85. PepsiCo, Inc. has a fifty-two week low of $127.60 and a fifty-two week high of $171.48. The stock has a market cap of $220.75 billion, a P/E ratio of 26.92, a PEG ratio of 3.06 and a beta of 0.39. The firm's fifty day moving average price is $155.39 and its 200-day moving average price is $149.38.

PepsiCo (NASDAQ:PEP - Get Free Report) last posted its quarterly earnings data on Monday, February 2nd. The company reported $2.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.24 by $0.02. The company had revenue of $29.34 billion during the quarter, compared to analyst estimates of $28.96 billion. PepsiCo had a return on equity of 57.92% and a net margin of 8.77%.The firm's quarterly revenue was up 5.6% on a year-over-year basis. During the same quarter last year, the company earned $1.96 earnings per share. Equities research analysts forecast that PepsiCo, Inc. will post 8.3 earnings per share for the current fiscal year.

PepsiCo announced that its Board of Directors has initiated a stock repurchase plan on Tuesday, February 3rd that authorizes the company to buyback $10.00 billion in shares. This buyback authorization authorizes the company to repurchase up to 4.7% of its stock through open market purchases. Stock buyback plans are typically an indication that the company's board of directors believes its stock is undervalued.

PepsiCo Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Friday, March 6th will be issued a dividend of $1.4225 per share. The ex-dividend date of this dividend is Friday, March 6th. This represents a $5.69 annualized dividend and a dividend yield of 3.5%. PepsiCo's payout ratio is presently 94.83%.

Wall Street Analysts Forecast Growth

PEP has been the topic of a number of analyst reports. TD Cowen boosted their target price on shares of PepsiCo from $162.00 to $165.00 and gave the company a "hold" rating in a report on Friday, February 20th. Wells Fargo & Company lifted their price target on PepsiCo from $154.00 to $165.00 and gave the company an "equal weight" rating in a research report on Wednesday, February 4th. Barclays boosted their price objective on PepsiCo from $148.00 to $160.00 and gave the company an "equal weight" rating in a research note on Wednesday, February 4th. JPMorgan Chase & Co. raised their target price on PepsiCo from $164.00 to $176.00 and gave the stock an "overweight" rating in a research note on Wednesday, February 4th. Finally, Jefferies Financial Group lifted their target price on PepsiCo from $163.00 to $164.00 and gave the company a "hold" rating in a report on Tuesday, December 9th. Eight equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average target price of $168.50.

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.

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