D.A. Davidson & CO. Acquires 11,296 Shares of PepsiCo, Inc. $PEP

Key Points

• D.A. Davidson & CO. increased its PepsiCo stake by 2.2% in the first quarter, buying 11,296 additional shares and bringing its total holding to 524,014 shares valued at about $81.4 million.
• PepsiCo reported better-than-expected quarterly results, with EPS of $2.20 versus $2.19 expected and revenue of $24.18 billion, up 6.4% year over year. The company also raised its quarterly dividend to $1.48 per share, or $5.92 annually, for a 4.4% yield.
• Wall Street sentiment is mixed to cautious: the stock has a consensus “Hold” rating and average price target of $157.70, while recent analyst actions included target cuts and a Citigroup downgrade amid concerns about PepsiCo’s turnaround and consumer demand trends.

D.A. Davidson & CO. lifted its stake in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 2.2% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 524,014 shares of the company's stock after purchasing an additional 11,296 shares during the quarter. D.A. Davidson & CO.'s holdings in PepsiCo were worth $81,374,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors and hedge funds have also added to or reduced their stakes in PEP. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new position in PepsiCo in the 4th quarter valued at approximately $26,000. Swiss RE Ltd. acquired a new position in PepsiCo in the 4th quarter valued at approximately $28,000. MH & Associates Securities Management Corp ADV acquired a new position in PepsiCo in the 4th quarter valued at approximately $29,000. Imprint Wealth LLC bought a new position in shares of PepsiCo during the third quarter valued at $31,000. Finally, Networth Advisors LLC lifted its holdings in shares of 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 purchasing an additional 200 shares during the period. Institutional investors own 73.07% of the company's stock.

Wall Street Analyst Weigh In

PEP has been the subject of a number of recent research reports. Rothschild & Co Redburn increased their price objective on PepsiCo from $130.00 to $132.00 in a report on Monday, May 11th. JPMorgan Chase & Co. lowered their price target on shares of PepsiCo from $178.00 to $170.00 and set an "overweight" rating for the company in a report on Wednesday, July 1st. Citigroup downgraded shares of PepsiCo from a "buy" rating to a "neutral" rating and dropped their price target for the stock from $170.00 to $145.00 in a research report on Friday, July 10th. Deutsche Bank Aktiengesellschaft set a $155.00 price objective on shares of PepsiCo in a research report on Friday, July 10th. Finally, Bank of America decreased their price target on PepsiCo from $173.00 to $164.00 and set a "neutral" rating for the company in a report on Thursday, June 25th. Seven research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $157.70.

PepsiCo Trading Down 0.0%

NASDAQ:PEP opened at $135.40 on Thursday. The company has a debt-to-equity ratio of 1.91, a current ratio of 0.93 and a quick ratio of 0.74. PepsiCo, Inc. has a one year low of $133.75 and a one year high of $171.48. The company has a market cap of $184.81 billion, a PE ratio of 17.75, a PEG ratio of 2.97 and a beta of 0.36. The firm has a 50-day moving average of $144.21 and a 200-day moving average of $151.34.

PepsiCo (NASDAQ:PEP - Get Free Report) last issued its quarterly earnings data on Thursday, July 9th. The company reported $2.20 earnings per share for the quarter, beating the consensus estimate of $2.19 by $0.01. PepsiCo had a return on equity of 54.63% and a net margin of 10.78%.The business had revenue of $24.18 billion for the quarter, compared to analysts' expectations of $23.95 billion. During the same period last year, the business earned $0.92 EPS. The business'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 research analysts expect that PepsiCo, Inc. will post 8.58 EPS for the current fiscal year.

PepsiCo Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Friday, June 5th were paid a dividend of $1.48 per share. This represents a $5.92 dividend on an annualized basis and a dividend yield of 4.4%. The ex-dividend date was Friday, June 5th. This is an increase from PepsiCo's previous quarterly dividend of $1.42. PepsiCo's dividend payout ratio is currently 77.59%.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo’s CEO said the company is maintaining its full-year guidance even as higher gas prices raise input and logistics costs, suggesting management still sees the business on track. PepsiCo CEO maintains full-year guidance amid higher gas prices
• Positive Sentiment: Some coverage continues to highlight PepsiCo as a quality dividend stock, which can support investor interest in the name during periods of market volatility. Wall Street Is Sleeping on These 5 Quality Dividend Stocks: Grab Them Now Before It’s Too Late
• Neutral Sentiment: RBC Capital kept a Sector Perform rating but trimmed its price target to $161 from $163 after calling the latest quarter mixed, signaling a cautious but not outright bearish stance. RBC Capital Keeps Sector Perform Rating on PepsiCo (PEP)
• Neutral Sentiment: Articles on PepsiCo’s digital-twin efforts and local resilience point to operational improvements and supply-chain flexibility, but these themes are longer-term and less likely to move the stock immediately. Inside PepsiCo’s digital twin revolution PepsiCo doubles down on local resilience
• Neutral Sentiment: Commentary from Jim Cramer and other market-watch pieces suggests PepsiCo can do better, but these are opinion-driven and do not add a clear new catalyst. Jim Cramer Believes PepsiCo, Inc. (PEP) Can Do Better
• Negative Sentiment: Several reports say PepsiCo’s turnaround is stalling as consumers rethink snacking, with analysts pushing back on the company’s growth narrative and questioning its North American strategy. PepsiCo's turnaround stutters as Americans rethink snacking Where Analysts Pushed Back On PEP Stock's Latest Earnings Call
• Negative Sentiment: Broader commentary on consumer staples warns that food company dividends may be at risk, reinforcing concerns about a tougher operating environment for PepsiCo and similar names. Conagra and 6 More Food Stock Dividends That Are at Risk

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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