Birinyi Associates Inc. Takes $1.88 Million Position in PepsiCo, Inc. $PEP

Key Points

• Birinyi Associates Inc. has acquired a $1.88 million stake in PepsiCo, Inc., adding 14,225 shares to their portfolio during the second quarter, which now accounts for 0.5% of their investments.
• The latest earnings report for PepsiCo exceeded expectations, with reported EPS of $2.12 against a consensus estimate of $2.03, while quarterly revenue reached $22.73 billion.
• PepsiCo recently announced a quarterly dividend of $1.4225, reflecting an annualized payout of $5.69 and a dividend yield of 4.0%.

Birinyi Associates Inc. bought a new position in PepsiCo, Inc. (NASDAQ:PEP - Free Report) during the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 14,225 shares of the company's stock, valued at approximately $1,878,000. PepsiCo comprises about 0.5% of Birinyi Associates Inc.'s portfolio, making the stock its 27th largest position.

Other institutional investors have also recently modified their holdings of the company. Nova Wealth Management Inc. purchased a new stake in shares of PepsiCo in the first quarter worth $25,000. Elite Financial Inc. bought a new stake in PepsiCo in the 1st quarter worth about $28,000. Legend Financial Advisors Inc. purchased a new position in PepsiCo in the 2nd quarter worth about $29,000. RMG Wealth Management LLC bought a new position in PepsiCo during the 2nd quarter valued at about $45,000. Finally, Investment Research & Advisory Group Inc. lifted its stake in PepsiCo by 263.6% during the 2nd quarter. Investment Research & Advisory Group Inc. now owns 320 shares of the company's stock valued at $42,000 after acquiring an additional 232 shares during the period. 73.07% of the stock is owned by hedge funds and other institutional investors.

PepsiCo Stock Up 0.8%

NASDAQ PEP opened at $140.79 on Wednesday. The stock's 50-day moving average price is $144.26 and its 200-day moving average price is $139.31. The company has a quick ratio of 0.60, a current ratio of 0.78 and a debt-to-equity ratio of 2.12. PepsiCo, Inc. has a 52 week low of $127.60 and a 52 week high of $177.50. The company has a market capitalization of $192.75 billion, a P/E ratio of 25.64, a price-to-earnings-growth ratio of 3.53 and a beta of 0.46.

PepsiCo (NASDAQ:PEP - Get Free Report) last posted its quarterly earnings data on Thursday, July 17th. The company reported $2.12 EPS for the quarter, topping the consensus estimate of $2.03 by $0.09. PepsiCo had a return on equity of 57.81% and a net margin of 8.23%.The firm had revenue of $22.73 billion for the quarter, compared to the consensus estimate of $22.28 billion. During the same quarter last year, the company earned $2.28 earnings per share. The business's revenue for the quarter was up 1.0% compared to the same quarter last year. PepsiCo has set its FY 2025 guidance at 8.038-8.038 EPS. On average, equities research analysts predict that PepsiCo, Inc. will post 8.3 earnings per share for the current year.

PepsiCo Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, September 30th. Stockholders of record on Friday, September 5th were paid a $1.4225 dividend. The ex-dividend date of this dividend was Friday, September 5th. This represents a $5.69 annualized dividend and a dividend yield of 4.0%. PepsiCo's dividend payout ratio (DPR) is 103.64%.

Wall Street Analyst Weigh In

Several research firms have issued reports on PEP. Deutsche Bank Aktiengesellschaft restated a "buy" rating on shares of PepsiCo in a research note on Thursday, July 17th. Barclays restated a "cautious" rating on shares of PepsiCo in a research note on Friday. JPMorgan Chase & Co. lowered their target price on shares of PepsiCo from $157.00 to $151.00 and set a "neutral" rating on the stock in a research note on Monday. Citigroup lowered their target price on shares of PepsiCo from $168.00 to $165.00 and set a "buy" rating on the stock in a research note on Thursday, September 25th. Finally, Cowen reissued a "hold" rating on shares of PepsiCo in a research report on Thursday, July 17th. Four equities research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the company has an average rating of "Hold" and a consensus target price of $158.13.

PepsiCo Company Profile

PepsiCo, Inc engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through seven segments: Frito-Lay North America; Quaker Foods North America; PepsiCo Beverages North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia and New Zealand and China Region.

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