GQG Partners LLC Buys Shares of 218,202 PepsiCo, Inc. $PEP

Key Points

• GQG Partners acquired 218,202 PepsiCo shares during the second quarter, valued at approximately $29.5 million. Institutional investors collectively own 73.07% of the company.
• Analyst sentiment remains cautious, with PepsiCo receiving a consensus “Hold” rating and an average price target of $157.90; shares recently traded near $141.
• PepsiCo reported quarterly revenue of $24.18 billion and EPS of $2.20, while maintaining a quarterly dividend of $1.48 per share, equal to a 4.2% annualized yield. Slower growth, North American weakness and regulatory scrutiny over avocado-oil claims remain key risks.

GQG Partners LLC bought a new stake in PepsiCo, Inc. (NASDAQ:PEP - Free Report) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor bought 218,202 shares of the company's stock, valued at approximately $29,547,000.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the stock. Evergreen Advisors LLC purchased a new stake in shares of PepsiCo during the first quarter worth $25,000. Gunpowder Capital Management LLC dba Oliver Wealth Management purchased a new stake in shares of PepsiCo during the 4th quarter worth about $26,000. Swiss RE Ltd. bought a new stake in shares of PepsiCo in the 4th quarter valued at approximately $28,000. Networth Advisors LLC raised its position in PepsiCo by 2,857.1% during the first quarter. Networth Advisors LLC now owns 207 shares of the company's stock valued at $32,000 after acquiring an additional 200 shares in the last quarter. Finally, Vermillion Wealth Management Inc. lifted its stake in PepsiCo by 99.1% in the first quarter. Vermillion Wealth Management Inc. now owns 217 shares of the company's stock valued at $34,000 after acquiring an additional 108 shares during the last quarter. Hedge funds and other institutional investors own 73.07% of the company's stock.

Analyst Ratings Changes

PEP has been the subject of a number of recent research reports. Piper Sandler set a $176.00 price objective on shares of PepsiCo in a report on Thursday, July 9th. 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 research note on Thursday, June 25th. Sanford C. Bernstein set a $134.00 target price on PepsiCo in a report on Friday, July 10th. Deutsche Bank Aktiengesellschaft set a $155.00 price target on PepsiCo in a report on Friday, July 10th. Finally, Jefferies Financial Group reduced their price objective on shares of PepsiCo from $162.00 to $152.00 and set a "hold" rating for the company in a research note on Friday, July 10th. Seven equities 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 company. Based on data from MarketBeat.com, PepsiCo has an average rating of "Hold" and a consensus price target of $157.90.

Key Stories Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Jim Cramer highlighted PepsiCo as a defensive large-cap opportunity, citing its roughly 4% dividend yield and the potential benefit of lower oil prices. Cheaper fuel could support consumer spending and reduce transportation and operating costs. Jim Cramer Shares Why PepsiCo Caught His Eye During Consumer Headwinds
• Positive Sentiment: Investors remain attracted to PepsiCo’s 54-year record of consecutive dividend increases and comparatively reasonable valuation. Improving international results could help offset continuing weakness in North America, supporting the case for income-oriented investors. Most Investors Overlook This. I’m Buying PepsiCo for Its Dividend
• Positive Sentiment: PepsiCo is pursuing growth beyond its traditional snack portfolio by introducing and emphasizing global flavors, a strategy that could broaden consumer appeal and create new avenues for international growth. PepsiCo Bets on Global Flavors to Grow Beyond Snacks
• Neutral Sentiment: Commentary describing consumer staples as a lagging sector frames PepsiCo as a value opportunity rather than a near-term growth leader. The investment appeal depends on the stock’s discounted valuation, dividend support and execution on its recovery plans. The Consumer Staples Sector Is Lagging the S&P 500
• Negative Sentiment: Texas authorities are investigating PepsiCo and Kraft Heinz over claims involving avocado oil. The outcome and scope of the investigation are unclear, but regulatory scrutiny could create legal, reputational or product-related costs. PepsiCo, Kraft Heinz Under Investigation in Texas Over Avocado Oil Claims
• Negative Sentiment: Analysts note that PepsiCo’s dividend faces pressure from slower growth, persistent North American weakness and a more difficult recovery than the commodity-driven risks facing Chevron. This raises questions about future payout growth, despite the company’s long dividend history. Chevron or PepsiCo: Whose Dividend Is Standing on Thinner Ice?

Insider Transactions at PepsiCo

In other PepsiCo news, EVP David Flavell sold 2,900 shares of the firm's stock in a transaction dated Monday, July 27th. The shares were sold at an average price of $139.54, for a total transaction of $404,666.00. Following the completion of the transaction, the executive vice president owned 74,825 shares in the company, valued at $10,441,080.50. This trade represents a 3.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.12% of the stock is owned by company insiders.

PepsiCo Stock Up 1.0%

NASDAQ PEP opened at $141.07 on Friday. The firm has a 50-day simple moving average of $139.86 and a 200 day simple moving average of $149.51. The company has a debt-to-equity ratio of 1.91, a quick ratio of 0.74 and a current ratio of 0.93. PepsiCo, Inc. has a twelve month low of $133.73 and a twelve month high of $171.48. The stock has a market cap of $192.55 billion, a PE ratio of 18.49, a PEG ratio of 3.07 and a beta of 0.35.

PepsiCo (NASDAQ:PEP - Get Free Report) last announced its quarterly earnings data on Thursday, July 9th. The company reported $2.20 earnings per share for the quarter, topping the consensus estimate of $2.19 by $0.01. The company had revenue of $24.18 billion for the quarter, compared to analyst estimates of $23.95 billion. PepsiCo had a return on equity of 54.63% and a net margin of 10.78%.PepsiCo's revenue for the quarter was up 6.4% compared to the same quarter last year. During the same quarter last year, the firm earned $0.92 EPS. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. On average, research analysts forecast that PepsiCo, Inc. will post 8.57 EPS for the current year.

PepsiCo Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Friday, September 4th will be given a dividend of $1.48 per share. This represents a $5.92 annualized dividend and a dividend yield of 4.2%. The ex-dividend date is Friday, September 4th. PepsiCo's payout ratio is 77.59%.

About PepsiCo

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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