Calamos Advisors LLC Buys 70,041 Shares of PepsiCo, Inc. $PEP

Key Points

• Calamos Advisors LLC increased its PepsiCo stake by 36.8% in the first quarter, buying 70,041 additional shares and bringing its total holding to 260,235 shares worth about $40.4 million.
• PepsiCo’s latest earnings beat expectations, with quarterly EPS of $2.20 versus $2.19 expected and revenue of $24.18 billion versus $23.95 billion expected, while revenue rose 6.4% year over year.
• The company also raised its quarterly dividend to $1.48 per share from $1.42, putting the annualized dividend yield at about 4.3% despite a cautious Wall Street view with a consensus rating of “Hold.”

Calamos Advisors LLC lifted its position in PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 36.8% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 260,235 shares of the company's stock after buying an additional 70,041 shares during the quarter. Calamos Advisors LLC's holdings in PepsiCo were worth $40,412,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds have also recently added to or reduced their stakes in the business. Gunpowder Capital Management LLC dba Oliver Wealth Management acquired a new position in PepsiCo during the 4th quarter valued at $26,000. Swiss RE Ltd. acquired a new stake in PepsiCo during the fourth quarter valued at approximately $28,000. MH & Associates Securities Management Corp ADV acquired a new stake in PepsiCo in the 4th quarter valued at $29,000. Imprint Wealth LLC acquired a new stake in shares of PepsiCo in the 3rd quarter valued at $31,000. Finally, Networth Advisors LLC grew its stake in PepsiCo by 2,857.1% during the first quarter. Networth Advisors LLC now owns 207 shares of the company's stock worth $32,000 after buying an additional 200 shares during the last quarter. Institutional investors own 73.07% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on PEP shares. Wells Fargo & Company decreased their price objective on shares of PepsiCo from $150.00 to $140.00 and set an "equal weight" rating on the stock in a report on Friday. UBS Group set a $159.00 price objective on PepsiCo in a research note on Thursday. Bank of America cut their target price on shares of PepsiCo from $173.00 to $164.00 and set a "neutral" rating on the stock in a report on Thursday, June 25th. The Goldman Sachs Group raised their price target on PepsiCo from $180.00 to $183.00 and gave the stock a "buy" rating in a research report on Friday, April 17th. Finally, Citigroup cut shares of PepsiCo from a "buy" rating to a "neutral" rating and cut their price objective for the company from $170.00 to $145.00 in a research report on Friday. Seven equities research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $157.70.

PepsiCo Stock Performance

NASDAQ PEP opened at $138.49 on Tuesday. PepsiCo, Inc. has a 52-week low of $133.75 and a 52-week high of $171.48. The stock has a market cap of $189.02 billion, a PE ratio of 18.15, a P/E/G ratio of 2.78 and a beta of 0.36. The firm has a 50-day moving average of $145.02 and a 200-day moving average of $151.45. The company has a debt-to-equity ratio of 1.91, a quick ratio of 0.74 and a current ratio of 0.93.

PepsiCo (NASDAQ:PEP - Get Free Report) last posted its earnings results on Thursday, July 9th. The company reported $2.20 earnings per share for the quarter, topping analysts' consensus estimates of $2.19 by $0.01. The company had revenue of $24.18 billion during the quarter, compared to the consensus estimate of $23.95 billion. PepsiCo had a return on equity of 54.63% and a net margin of 10.78%.The company's revenue was up 6.4% on a year-over-year basis. During the same quarter last year, the firm earned $0.92 earnings per share. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. On average, sell-side analysts anticipate that PepsiCo, Inc. will post 8.59 EPS for the current year.

PepsiCo Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Friday, June 5th were given a $1.48 dividend. This is a boost from PepsiCo's previous quarterly dividend of $1.42. This represents a $5.92 dividend on an annualized basis and a yield of 4.3%. The ex-dividend date was Friday, June 5th. PepsiCo's dividend payout ratio (DPR) is presently 77.59%.

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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