New York State Teachers Retirement System Trims Stake in PepsiCo, Inc. $PEP

Key Points

• New York State Teachers Retirement System trimmed its PepsiCo stake by 2.7% in Q4, selling 30,465 shares and now holds 1,080,769 shares worth about $155.11 million (0.08% of the company).
• PepsiCo reported quarterly beats ($1.61 EPS vs. $1.55 expected; $19.44B revenue, +8.5% YoY), set FY2026 guidance of $8.465–$8.628 EPS, and the board authorized a $10 billion share buyback while paying a $1.4225 quarterly dividend (3.6% yield).
• Analysts are mixed with an average rating of "Hold" and an average target price of $170.26, based on 8 Buys, 11 Holds and 1 Sell.

New York State Teachers Retirement System reduced its position in PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 2.7% in the 4th quarter, according to its most recent filing with the SEC. The fund owned 1,080,769 shares of the company's stock after selling 30,465 shares during the period. New York State Teachers Retirement System owned 0.08% of PepsiCo worth $155,112,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also made changes to their positions in the company. JCIC Asset Management Inc. purchased a new stake in PepsiCo during the 3rd quarter valued at approximately $27,000. MH & Associates Securities Management Corp ADV purchased a new stake in PepsiCo during the 4th quarter valued at approximately $29,000. Imprint Wealth LLC purchased a new stake in PepsiCo during the 3rd quarter valued at approximately $31,000. Strategic Advocates LLC purchased a new stake in PepsiCo during the 3rd quarter valued at approximately $33,000. Finally, Mowery & Schoenfeld Wealth Management LLC purchased a new stake in PepsiCo during the 4th quarter valued at approximately $33,000. 73.07% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several research firms have commented on PEP. Citigroup upped their price objective on PepsiCo from $170.00 to $182.00 and gave the company a "buy" rating in a research note on Wednesday, February 4th. TD Cowen upped their price objective on PepsiCo from $162.00 to $165.00 and gave the company a "hold" rating in a research note on Friday, February 20th. Wells Fargo & Company upped their price objective on PepsiCo from $154.00 to $165.00 and gave the company an "equal weight" rating in a research note on Wednesday, February 4th. Evercore increased their target price on PepsiCo from $165.00 to $170.00 in a research note on Friday, April 17th. Finally, Royal Bank Of Canada cut their target price on PepsiCo from $165.00 to $163.00 and set a "sector perform" rating for the company in a research note on Thursday, April 9th. Eight equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Hold" and an average target price of $170.26.

More PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo deployed 50 electric delivery trucks in Fresno as part of a broader push to electrify its fleet, which can lower long‑term fuel & maintenance costs and supports ESG targets that many institutional investors value. Fresno PepsiCo rolls out 50 electric delivery trucks, aims to reduce emissions
• Positive Sentiment: PepsiCo led a multi‑partner renewable power pact and signed a 10‑year agreement to decarbonize its European value chain — a move that can reduce long‑run energy cost volatility and improve ESG credentials. PepsiCo leads renewable power pact with suppliers to decarbonise across Europe
• Positive Sentiment: Management outlined a 2026 growth plan emphasizing cost cuts and an innovation push — a clear signal it’s focusing on margin expansion and top‑line product innovation that could support earnings growth. PepsiCo sets 2026 growth plan with cost cuts, innovation push
• Positive Sentiment: Marketing/retail initiatives (e.g., Walmart Connect strategy) and recognition as a dividend "king" support brand strength and income investor appeal. PepsiCo CMO: Walmart Connect Turns Retail Media Into 'Launch Media'
• Neutral Sentiment: PepsiCo plans to end its bottling/distribution deal with Royal Unibrew in parts of Northern Europe by 2028 — this will change production and go‑to‑market arrangements and could create near‑term transition costs but may improve control/returns longer term. PepsiCo Bottling Shift In Northern Europe And What It Means For Valuation
• Neutral Sentiment: Tesla beginning mass production of Semi trucks is industry news that could affect fleet electrification options for PepsiCo (a potential supplier choice), but the near‑term impact on PepsiCo’s operations remains uncertain. Tesla finally gets Semi production moving at scale
• Negative Sentiment: A new consumer lawsuit alleges ultraprocessed packaged foods (naming PepsiCo among defendants) could be framed as addictive — a legal/regulatory risk that could increase litigation costs or marketing restrictions if similar suits gain traction. Food giants hit with consumer lawsuit calling ultraprocessed ingredients addictive
• Negative Sentiment: Erste Group trimmed FY2026/27 EPS estimates slightly — a modest analyst downgrade that can weigh on sentiment even if consensus remains broadly stable. Analyst estimate changes reported via MarketBeat

PepsiCo Stock Performance

Shares of PEP stock opened at $158.49 on Friday. The company has a market cap of $216.62 billion, a price-to-earnings ratio of 24.88, a price-to-earnings-growth ratio of 2.84 and a beta of 0.40. The stock has a 50 day simple moving average of $157.96 and a 200-day simple moving average of $152.40. PepsiCo, Inc. has a 12-month low of $127.60 and a 12-month high of $171.48. The company has a current ratio of 0.90, a quick ratio of 0.72 and a debt-to-equity ratio of 1.98.

PepsiCo (NASDAQ:PEP - Get Free Report) last issued its earnings results on Thursday, April 16th. The company reported $1.61 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.55 by $0.06. The business had revenue of $19.44 billion during the quarter, compared to the consensus estimate of $18.89 billion. PepsiCo had a return on equity of 56.61% and a net margin of 9.15%.The company's revenue for the quarter was up 8.5% on a year-over-year basis. During the same period in the prior year, the business posted $1.48 EPS. PepsiCo has set its FY 2026 guidance at 8.465-8.628 EPS. On average, equities analysts forecast that PepsiCo, Inc. will post 8.63 EPS for the current year.

PepsiCo declared that its board has authorized a stock repurchase plan on Tuesday, February 3rd that permits the company to repurchase $10.00 billion in shares. This repurchase authorization permits the company to purchase up to 4.7% of its shares through open market purchases. Shares repurchase plans are often a sign that the company's board of directors believes its stock is undervalued.

PepsiCo Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Friday, March 6th were paid a $1.4225 dividend. This represents a $5.69 annualized dividend and a yield of 3.6%. The ex-dividend date of this dividend was Friday, March 6th. PepsiCo's dividend payout ratio (DPR) is presently 89.32%.

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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