Janus Henderson Group PLC Grows Stock Position in PepsiCo, Inc. $PEP

Key Points

• Janus Henderson increased its PepsiCo stake by 28.3% in the first quarter, bringing its holdings to 188,029 shares valued at approximately $29.2 million. Institutional investors collectively own 73.07% of the company.
• PepsiCo exceeded quarterly earnings and revenue expectations, reporting $2.20 in EPS and $24.18 billion in revenue, while revenue rose 6.4% year over year. The company reaffirmed a $1.48 quarterly dividend, equivalent to a 4.2% yield and a 77.59% payout ratio.
• Analyst sentiment remains cautious, with the stock carrying an overall “Hold” rating and an average price target of $157.90 versus its recent price near $139.56. Concerns include margin pressure from price cuts, weaker consumer demand and a recent insider sale by an executive.

Janus Henderson Group PLC increased its holdings in PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 28.3% in the 1st quarter, according to its most recent disclosure with the SEC. The firm owned 188,029 shares of the company's stock after acquiring an additional 41,478 shares during the period. Janus Henderson Group PLC's holdings in PepsiCo were worth $29,196,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the business. Evergreen Advisors LLC purchased a new position in shares of PepsiCo during the 1st quarter worth approximately $25,000. Gunpowder Capital Management LLC dba Oliver Wealth Management acquired a new position in PepsiCo during the 4th quarter worth $26,000. Swiss RE Ltd. acquired a new position in shares of PepsiCo during the fourth quarter worth about $28,000. MH & Associates Securities Management Corp ADV purchased a new stake in shares of PepsiCo during the fourth quarter worth approximately $29,000. Finally, Imprint Wealth LLC acquired a new stake in shares of PepsiCo in the 3rd quarter valued at $31,000. Hedge funds and other institutional investors own 73.07% of the company's stock.

Insider Transactions at PepsiCo

In related news, EVP David Flavell sold 2,900 shares of PepsiCo stock in a transaction on Monday, July 27th. The stock was 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 directly owned 74,825 shares of the company's stock, valued at approximately $10,441,080.50. The trade was a 3.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Corporate insiders own 0.12% of the company's stock.

PepsiCo Stock Performance

Shares of PEP opened at $139.56 on Monday. The company has a quick ratio of 0.74, a current ratio of 0.93 and a debt-to-equity ratio of 1.91. PepsiCo, Inc. has a 52-week low of $133.73 and a 52-week high of $171.48. The company has a 50-day simple moving average of $141.27 and a 200-day simple moving average of $151.07. The company has a market capitalization of $190.48 billion, a PE ratio of 18.29, a P/E/G ratio of 3.07 and a beta of 0.36.

PepsiCo (NASDAQ:PEP - Get Free Report) last issued its earnings results 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. PepsiCo had a net margin of 10.78% and a return on equity of 54.63%. The company had revenue of $24.18 billion for the quarter, compared to analyst estimates of $23.95 billion. During the same period in the prior year, the business posted $0.92 earnings per share. The firm's revenue for the quarter was up 6.4% compared to the same quarter last year. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. Equities research analysts predict that PepsiCo, Inc. will post 8.57 earnings per share for the current fiscal year.

PepsiCo Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Friday, September 4th will be paid a $1.48 dividend. This represents a $5.92 annualized dividend and a yield of 4.2%. The ex-dividend date of this dividend is Friday, September 4th. PepsiCo's dividend payout ratio (DPR) is presently 77.59%.

PepsiCo News Summary

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo’s price reductions appear to be encouraging consumers to buy more products, potentially supporting volume growth in the second half of 2026. This could help stabilize demand, particularly in North America, where consumers have pushed back against higher prices. PepsiCo Has Gone Practically Nowhere for a Year
• Positive Sentiment: A reported $22 million ratio call diagonal spread indicates at least one large options trader is positioned for upside ahead of PepsiCo’s third-quarter earnings, potentially improving short-term sentiment. PepsiCo Options Trade
• Positive Sentiment: PepsiCo purchased the low-carbon attributes of green ammonia produced by Envision, supporting its sustainability goals and potentially reducing the emissions profile of fertilizer and manufacturing inputs. The financial impact was not disclosed. PepsiCo Buys Green Ammonia Attributes
• Neutral Sentiment: The board approved a quarterly dividend of $1.48 per share, reinforcing PepsiCo’s income-investment appeal. However, the roughly 4% yield and approximately 78% payout ratio also highlight limited room for error if earnings weaken. PepsiCo Dividend and Brand Strategy
• Neutral Sentiment: New initiatives focused on women’s health, localized flavors and brand marketing may support long-term innovation, but these reports provide no immediate earnings or guidance changes. PepsiCo also discontinued a product, reflecting portfolio management with limited near-term stock implications. PepsiCo Women’s Health Strategy
• Negative Sentiment: Price cuts may boost volume but could pressure revenue growth and profitability. Analysts are also lowering consumer-staples estimates as shoppers resist price increases, raising concerns about PepsiCo’s margins and North American snack demand. Consumer Staples Estimate Outlook
• Negative Sentiment: PepsiCo EVP David Flavell sold 2,900 shares worth about $405,000. The sale was relatively small compared with his remaining holdings, but insider selling can add modestly to investor caution. SEC Insider Transaction Filing

Analyst Upgrades and Downgrades

PEP has been the topic of several research analyst reports. Wells Fargo & Company cut their target price on PepsiCo from $150.00 to $140.00 and set an "equal weight" rating on the stock in a research report on Friday, July 10th. Piper Sandler set a $176.00 price target on PepsiCo in a research note on Thursday, July 9th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of PepsiCo in a report on Monday, July 6th. Citigroup downgraded PepsiCo from a "buy" rating to a "neutral" rating and reduced their price objective for the company from $170.00 to $145.00 in a research note on Friday, July 10th. Finally, BNP Paribas Exane cut their price objective on shares of PepsiCo from $195.00 to $183.00 and set an "outperform" rating for the company in a research report on Wednesday, July 8th. Seven research analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and an average target price of $157.90.

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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