CenterBook Partners LP Makes New Investment in PepsiCo, Inc. $PEP

Key Points

• CenterBook Partners opened a new PepsiCo position, acquiring 18,509 shares worth approximately $2.35 million in the third quarter. Institutional investors collectively own 73.07% of the stock.
• Analysts have cut several price targets, and the consensus rating is Hold, with an average target of $143.28.
• PepsiCo beat quarterly earnings and revenue estimates, with revenue up 5.6% year over year, but its reduced 2026 EPS growth outlook and North American margin pressure remain concerns.

CenterBook Partners LP acquired a new position in PepsiCo, Inc. (NASDAQ:PEP - Free Report) in the 3rd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor acquired 18,509 shares of the company's stock, valued at approximately $2,345,000.

Several other institutional investors and hedge funds have also recently modified their holdings of the stock. Asset One Wealth Management LLC boosted its position in PepsiCo by 97.3% during the 3rd quarter. Asset One Wealth Management LLC now owns 4,088 shares of the company's stock valued at $518,000 after acquiring an additional 2,016 shares in the last quarter. International Assets Investment Management LLC grew its holdings in shares of PepsiCo by 28.1% during the 3rd quarter. International Assets Investment Management LLC now owns 18,356 shares of the company's stock worth $2,306,000 after acquiring an additional 4,032 shares during the period. Calamos Advisors LLC raised its position in shares of PepsiCo by 2.0% in the 3rd quarter. Calamos Advisors LLC now owns 192,188 shares of the company's stock worth $24,354,000 after acquiring an additional 3,806 shares in the last quarter. Alta Advisers Ltd raised its position in shares of PepsiCo by 84.4% in the 3rd quarter. Alta Advisers Ltd now owns 9,781 shares of the company's stock worth $1,239,000 after acquiring an additional 4,478 shares in the last quarter. Finally, Westside Investment Management Inc. lifted its stake in shares of PepsiCo by 6.7% in the 3rd quarter. Westside Investment Management Inc. now owns 2,863 shares of the company's stock valued at $363,000 after purchasing an additional 179 shares during the period. 73.07% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on PEP shares. Evercore dropped their price target on PepsiCo from $150.00 to $135.00 in a research report on Wednesday, September 30th. Wells Fargo & Company decreased their price objective on PepsiCo from $140.00 to $135.00 and set an "equal weight" rating for the company in a report on Monday, October 5th. Piper Sandler lowered their price objective on PepsiCo from $176.00 to $140.00 and set an "overweight" rating for the company in a research report on Friday, October 9th. TD Cowen lowered their price objective on PepsiCo from $145.00 to $133.00 and set a "hold" rating for the company in a research report on Monday, September 28th. Finally, BNP Paribas Exane dropped their target price on shares of PepsiCo from $161.00 to $157.00 and set an "outperform" rating on the stock in a report on Friday, October 9th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, PepsiCo has a consensus rating of "Hold" and an average price target of $143.28.

PepsiCo News Summary

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo renewed its beverage partnership with KFC across eight international markets. The deal extends a longstanding relationship and could support sales and distribution as KFC expands internationally. PepsiCo Secures Renewal Across Select KFC International Markets
• Neutral Sentiment: A valuation analysis argues PEP could be undervalued, citing the KFC renewal and recent share performance. That is an analyst view, not a change to the company’s financial results. PepsiCo (PEP) Could Be 29% Undervalued Following Its KFC Deal Renewal
• Negative Sentiment: PepsiCo lowered its 2026 EPS growth outlook as North American margin pressures persist. Strong international growth and productivity savings may help offset the weakness, but the guidance cut is a potential drag on investor expectations. PepsiCo Lowers 2026 EPS Outlook as North America Pressures Margins
• Negative Sentiment: PepsiCo’s CEO reportedly sold shares after the guidance reduction, which could add to investor concerns about the weaker outlook. These 3 Underperforming Stocks Are Seeing Notable CEO Insider Trades
• Negative Sentiment: India’s food regulator has challenged PepsiCo’s energy-drink labeling, alleging the branding could mislead consumers. The dispute introduces potential regulatory and reputational risk, though the articles do not specify any financial penalty. PepsiCo, Monster face FSSAI pushback over energy drink labelling

Insider Activity at PepsiCo

In other news, Director Robert Pohlad purchased 184,646 shares of the business's stock in a transaction dated Wednesday, October 14th. The shares were purchased at an average price of $128.28 per share, for a total transaction of $23,686,388.88. Following the completion of the acquisition, the director directly owned 433,009 shares in the company, valued at $55,546,394.52. This represents a 74.35% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Ramon Laguarta sold 30,000 shares of the firm's stock in a transaction that occurred on Wednesday, October 21st. The shares were sold at an average price of $135.13, for a total transaction of $4,053,900.00. Following the sale, the chief executive officer directly owned 491,645 shares of the company's stock, valued at $66,435,988.85. This trade represents a 5.75% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.12% of the company's stock.

PepsiCo Price Performance

PEP opened at $141.34 on Monday. The firm has a market cap of $192.61 billion, a PE ratio of 17.76, a P/E/G ratio of 4.21 and a beta of 0.31. The stock has a 50-day moving average price of $133.33 and a 200-day moving average price of $145.75. PepsiCo, Inc. has a 1 year low of $123.47 and a 1 year high of $171.48. 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 announced its quarterly earnings data on Wednesday, October 7th. The company reported $2.34 EPS for the quarter, beating the consensus estimate of $2.29 by $0.05. The company had revenue of $25.27 billion for the quarter, compared to the consensus estimate of $24.95 billion. PepsiCo had a net margin of 11.09% and a return on equity of 53.08%. PepsiCo's revenue for the quarter was up 5.6% on a year-over-year basis. During the same period in the prior year, the firm posted $2.29 EPS. Sell-side analysts predict that PepsiCo, Inc. will post 8.42 earnings per share for the current fiscal year.

PepsiCo Profile

PepsiCo, Inc is a global food and beverage company that develops, manufactures, markets and distributes a broad range of products. Its portfolio includes snacks such as Lay's, Doritos and Cheetos, as well as beverages including Pepsi, Gatorade and Mountain Dew.

The company was formed in 1965 through the merger of Pepsi-Cola and Frito-Lay. Its products are sold in more than 200 countries and territories through retail, food-service and other distribution channels.

PepsiCo is headquartered in Purchase, New York.

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