California Public Employees Retirement System Has $503.30 Million Stock Holdings in PepsiCo, Inc. $PEP

Key Points

• California Public Employees Retirement System cut its PepsiCo stake by 39.7% in the first quarter, but still held about $503.3 million worth of shares at the end of the period.
• PepsiCo reported better-than-expected quarterly results, with EPS of $2.20 and revenue of $24.18 billion, while also issuing FY2026 EPS guidance of 8.55 to 8.71.
• The company boosted its quarterly dividend to $1.48 per share, a 4% increase from a year earlier, even as several analysts trimmed price targets and the stock traded near its 52-week low.

California Public Employees Retirement System trimmed its position in PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 39.7% in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 3,241,048 shares of the company's stock after selling 2,132,310 shares during the period. California Public Employees Retirement System owned approximately 0.24% of PepsiCo worth $503,302,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also added to or reduced their stakes in the company. Brighton Jones LLC lifted its stake in shares of PepsiCo by 12.4% in the fourth quarter. Brighton Jones LLC now owns 59,392 shares of the company's stock valued at $9,031,000 after buying an additional 6,574 shares in the last quarter. Caxton Associates LLP bought a new stake in shares of PepsiCo during the first quarter worth about $251,000. Sivia Capital Partners LLC raised its holdings in shares of PepsiCo by 138.5% in the 2nd quarter. Sivia Capital Partners LLC now owns 6,527 shares of the company's stock worth $862,000 after acquiring an additional 3,790 shares during the last quarter. Schnieders Capital Management LLC. lifted its position in PepsiCo by 10.1% in the 2nd quarter. Schnieders Capital Management LLC. now owns 38,164 shares of the company's stock valued at $5,039,000 after acquiring an additional 3,502 shares in the last quarter. Finally, Sei Investments Co. boosted its stake in PepsiCo by 45.5% during the 2nd quarter. Sei Investments Co. now owns 536,133 shares of the company's stock valued at $70,789,000 after purchasing an additional 167,707 shares during the last quarter. Institutional investors own 73.07% of the company's stock.

PepsiCo News Roundup

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo declared a quarterly dividend of $1.48 per share, a 4% increase from a year ago, which reinforces its appeal as a steady income stock. PepsiCo Declares Quarterly Dividend
• Positive Sentiment: PepsiCo India reported robust first-half growth and said it will set up a new food manufacturing facility in Tamil Nadu, signaling continued international expansion. PepsiCo India sees robust growth in H1
• Positive Sentiment: PepsiCo’s CEO said the company remains cautiously optimistic about the second half, citing resilient demand in the face of weather-related uncertainty. PepsiCo cautiously optimistic on H2 amid robust demand
• Neutral Sentiment: PepsiCo is drawing more investor attention, but the Zacks items are mostly watchlist-style coverage rather than new fundamental news. PepsiCo, Inc. (PEP) is Attracting Investor Attention
• Neutral Sentiment: PepsiCo is pushing sustainable sourcing further, saying 70% of ingredients now come from sustainable sources and targeting 90% by 2030, which supports long-term ESG goals but is unlikely to move the stock near term. PepsiCo (PEP) Pushes Sustainable Sourcing
• Negative Sentiment: Erste Group Bank trimmed PepsiCo’s FY2026 and FY2027 earnings estimates, adding to concern that profit growth may be slower than previously expected. PepsiCo estimate cuts
• Negative Sentiment: Broader commentary that U.S. grocery unit sales are falling suggests a tougher demand backdrop for PepsiCo and other packaged-food companies. U.S. grocery unit sales falling
• Negative Sentiment: Coverage noting that PepsiCo stock is near a one-year low highlights ongoing investor concern about the company’s growth and margin outlook. Why PepsiCo's stock is at a 1-year low

Wall Street Analyst Weigh In

PEP has been the subject of several analyst reports. Morgan Stanley lowered their price objective on PepsiCo from $180.00 to $160.00 and set an "equal weight" rating for the company in a research note on Friday, July 10th. Piper Sandler set a $176.00 target price on PepsiCo in a research report on Thursday, July 9th. Sanford C. Bernstein set a $134.00 price target on PepsiCo in a research report on Friday, July 10th. Wall Street Zen cut PepsiCo from a "buy" rating to a "hold" rating in a research note on Saturday, April 18th. Finally, Wells Fargo & Company cut 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, July 10th. Seven research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $157.70.

PepsiCo Stock Down 1.7%

PepsiCo stock opened at $137.12 on Friday. PepsiCo, Inc. has a twelve month low of $134.65 and a twelve month high of $171.48. The firm has a 50 day moving average price of $143.53 and a 200-day moving average price of $151.21. The company has a market capitalization of $187.15 billion, a P/E ratio of 17.97, a P/E/G ratio of 3.06 and a beta of 0.36. The company has a quick ratio of 0.74, a current ratio of 0.93 and a debt-to-equity ratio of 1.91.

PepsiCo (NASDAQ:PEP - Get Free Report) last posted its quarterly earnings results on Thursday, July 9th. The company reported $2.20 EPS for the quarter, topping analysts' consensus estimates of $2.19 by $0.01. PepsiCo had a net margin of 10.78% and a return on equity of 54.63%. The company had revenue of $24.18 billion for the quarter, compared to analysts' expectations of $23.95 billion. During the same quarter in the previous year, the firm posted $0.92 EPS. PepsiCo's revenue was up 6.4% on a year-over-year basis. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. As a group, equities analysts predict that PepsiCo, Inc. will post 8.58 EPS for the current year.

PepsiCo Increases Dividend

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

PepsiCo 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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