Costello Asset Management INC Has $4.54 Million Stake in PepsiCo, Inc. (NASDAQ:PEP)

Key Points

• Costello Asset Management INC increased its stake in PepsiCo, Inc. by 13.0%, owning 30,246 shares valued at approximately $4.54 million.
• PepsiCo's recent quarterly earnings report showed EPS of $2.12, exceeding estimates and indicating a 1.0% revenue growth year-over-year.
• The company announced a quarterly dividend of $1.4225 per share, resulting in an annualized dividend of $5.69 and a yield of 4.1%.

Costello Asset Management INC grew its holdings in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 13.0% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 30,246 shares of the company's stock after buying an additional 3,485 shares during the quarter. PepsiCo accounts for about 1.8% of Costello Asset Management INC's investment portfolio, making the stock its 14th largest holding. Costello Asset Management INC's holdings in PepsiCo were worth $4,535,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors have also modified their holdings of the company. Elite Financial Inc. acquired a new stake in shares of PepsiCo in the 1st quarter worth about $28,000. Measured Risk Portfolios Inc. bought a new stake in PepsiCo in the fourth quarter worth about $31,000. GKV Capital Management Co. Inc. acquired a new stake in shares of PepsiCo during the 4th quarter valued at $38,000. Bridge Generations Wealth Management LLC acquired a new stake in shares of PepsiCo during the fourth quarter worth $38,000. Finally, Sunbeam Capital Management LLC acquired a new stake in shares of PepsiCo during the fourth quarter valued at approximately $47,000. Institutional investors and hedge funds own 73.07% of the company's stock.

PepsiCo Trading Down 0.1%

NASDAQ:PEP traded down $0.11 during trading hours on Tuesday, hitting $139.45. 5,533,502 shares of the stock were exchanged, compared to its average volume of 9,759,724. The company's 50 day moving average is $134.83 and its two-hundred day moving average is $140.77. The company has a market capitalization of $190.92 billion, a P/E ratio of 25.40, a price-to-earnings-growth ratio of 3.72 and a beta of 0.45. PepsiCo, Inc. has a twelve month low of $127.60 and a twelve month high of $179.73. 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 (NASDAQ:PEP - Get Free Report) last announced its quarterly earnings data on Thursday, July 17th. The company reported $2.12 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.03 by $0.09. PepsiCo had a net margin of 8.23% and a return on equity of 57.81%. The firm had revenue of $22.73 billion for the quarter, compared to analysts' expectations of $22.28 billion. During the same period last year, the firm earned $2.28 earnings per share. The business's revenue for the quarter was up 1.0% on a year-over-year basis. On average, sell-side analysts anticipate that PepsiCo, Inc. will post 8.3 earnings per share for the current fiscal year.

PepsiCo Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Friday, September 5th will be given a $1.4225 dividend. The ex-dividend date is Friday, September 5th. This represents a $5.69 dividend on an annualized basis and a dividend yield of 4.1%. PepsiCo's dividend payout ratio is currently 103.64%.

Analyst Upgrades and Downgrades

A number of research firms have recently weighed in on PEP. Bank of America dropped their price target on shares of PepsiCo from $150.00 to $145.00 and set a "neutral" rating on the stock in a research note on Friday, July 11th. JPMorgan Chase & Co. reduced their price objective on PepsiCo from $150.00 to $139.00 and set a "neutral" rating for the company in a research report on Thursday, July 10th. Cowen reaffirmed a "hold" rating on shares of PepsiCo in a research report on Thursday, July 17th. Barclays lifted their price objective on PepsiCo from $132.00 to $144.00 and gave the stock an "equal weight" rating in a report on Monday, July 21st. Finally, Royal Bank Of Canada reissued a "sector perform" rating and issued a $148.00 price target on shares of PepsiCo in a research report on Tuesday, June 24th. One research analyst has rated the stock with a sell rating, fifteen have given a hold rating and four have assigned a buy rating to the company. According to data from MarketBeat, the stock has an average rating of "Hold" and an average price target of $158.73.

About PepsiCo

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.