Fred Alger Management LLC Increases Stake in PepsiCo, Inc. $PEP

Key Points

• Fred Alger Management LLC increased its stake in PepsiCo by 323.9% in the first quarter, acquiring an additional 34,049 shares, making their total holdings worth $6,681,000 at the quarter's end.
• PepsiCo's quarterly earnings showed a revenue of $22.73 billion, surpassing estimates, and reported earnings per share of $2.12, beating the expected $2.03.
• The company declared a quarterly dividend of $1.4225 per share, set to be paid on September 30th, which represents a yield of 4.0%.

Fred Alger Management LLC grew its stake in PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 323.9% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 44,561 shares of the company's stock after purchasing an additional 34,049 shares during the quarter. Fred Alger Management LLC's holdings in PepsiCo were worth $6,681,000 as of its most recent SEC filing.

Other institutional investors have also modified their holdings of the company. Elite Financial Inc. acquired a new stake in shares of PepsiCo in the first quarter valued at about $28,000. Measured Risk Portfolios Inc. acquired a new stake in shares of PepsiCo in the fourth quarter valued at about $31,000. Sunbeam Capital Management LLC acquired a new stake in shares of PepsiCo in the fourth quarter valued at about $47,000. MorganRosel Wealth Management LLC acquired a new position in PepsiCo during the first quarter worth about $55,000. Finally, Migdal Insurance & Financial Holdings Ltd. acquired a new position in PepsiCo during the first quarter worth about $58,000. Institutional investors and hedge funds own 73.07% of the company's stock.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on PEP shares. Barclays boosted their price target on shares of PepsiCo from $132.00 to $144.00 and gave the stock an "equal weight" rating in a research report on Monday, July 21st. Deutsche Bank Aktiengesellschaft restated a "buy" rating on shares of PepsiCo in a research report on Thursday, July 17th. Wells Fargo & Company boosted their price target on shares of PepsiCo from $140.00 to $154.00 and gave the stock an "equal weight" rating in a research report on Friday, July 18th. Citigroup boosted their price target on shares of PepsiCo from $160.00 to $168.00 and gave the stock a "buy" rating in a research report on Friday, July 18th. Finally, Cowen reiterated a "hold" rating on shares of PepsiCo in a report on Thursday, July 17th. Four equities research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, PepsiCo currently has an average rating of "Hold" and an average price target of $158.60.

PepsiCo Trading Up 1.0%

NASDAQ:PEP traded up $1.39 on Tuesday, hitting $143.10. The stock had a trading volume of 5,852,496 shares, compared to its average volume of 8,398,995. The company has a quick ratio of 0.60, a current ratio of 0.78 and a debt-to-equity ratio of 2.12. The stock has a market cap of $195.92 billion, a price-to-earnings ratio of 26.07, a PEG ratio of 3.58 and a beta of 0.46. The company has a fifty day moving average price of $143.35 and a two-hundred day moving average price of $140.74. PepsiCo, Inc. has a 1-year low of $127.60 and a 1-year high of $179.43.

PepsiCo (NASDAQ:PEP - Get Free Report) last posted its earnings results on Thursday, July 17th. The company reported $2.12 earnings per share for the quarter, beating the consensus estimate of $2.03 by $0.09. The company had revenue of $22.73 billion for the quarter, compared to analyst estimates of $22.28 billion. PepsiCo had a net margin of 8.23% and a return on equity of 57.81%. PepsiCo's revenue was up 1.0% on a year-over-year basis. During the same period in the previous year, the business posted $2.28 EPS. PepsiCo has set its FY 2025 guidance at 8.038-8.038 EPS. Equities research analysts expect that PepsiCo, Inc. will post 8.3 earnings per share for the current fiscal year.

PepsiCo Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Friday, September 5th will be paid a $1.4225 dividend. This represents a $5.69 dividend on an annualized basis and a dividend yield of 4.0%. The ex-dividend date of this dividend is Friday, September 5th. PepsiCo's payout ratio is 103.64%.

PepsiCo Company Profile

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.