Professional Advisory Services Inc. Buys 13,215 Shares of PepsiCo, Inc. $PEP

Key Points

• Professional Advisory Services Inc. increased its holdings in PepsiCo by 7.6% in Q2, making it the company's 8th largest position at a value of $24.6 million.
• PepsiCo recently reported quarterly earnings of $2.12 per share, exceeding analysts' estimates and showing a 1.0% increase in revenue year-over-year.
• The company announced a quarterly dividend of $1.4225 per share, reflecting a 4.0% yield and a dividend payout ratio of 103.64%.

Professional Advisory Services Inc. boosted its position in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 7.6% during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 186,329 shares of the company's stock after acquiring an additional 13,215 shares during the period. PepsiCo accounts for about 3.3% of Professional Advisory Services Inc.'s investment portfolio, making the stock its 8th largest position. Professional Advisory Services Inc.'s holdings in PepsiCo were worth $24,603,000 at the end of the most recent reporting period.

A number of other institutional investors have also added to or reduced their stakes in PEP. Nova Wealth Management Inc. purchased a new position in shares of PepsiCo in the first quarter valued at $25,000. Elite Financial Inc. purchased a new position in PepsiCo during the first quarter worth $28,000. Sunbeam Capital Management LLC bought a new stake in shares of PepsiCo during the fourth quarter worth $47,000. MorganRosel Wealth Management LLC bought a new stake in shares of PepsiCo during the first quarter worth $55,000. Finally, Migdal Insurance & Financial Holdings Ltd. bought a new stake in shares of PepsiCo during the first quarter worth $58,000. 73.07% of the stock is owned by hedge funds and other institutional investors.

PepsiCo Trading Up 0.7%

PepsiCo stock traded up $0.95 during midday trading on Tuesday, reaching $141.98. 3,194,766 shares of the stock traded hands, compared to its average volume of 8,439,527. The company has a 50-day simple moving average of $144.50 and a two-hundred day simple moving average of $139.87. The company has a current ratio of 0.78, a quick ratio of 0.60 and a debt-to-equity ratio of 2.12. The firm has a market cap of $194.38 billion, a PE ratio of 25.85, a price-to-earnings-growth ratio of 3.58 and a beta of 0.46. PepsiCo, Inc. has a 12-month low of $127.60 and a 12-month high of $177.50.

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

PepsiCo Announces Dividend

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

Wall Street Analyst Weigh In

Several research firms recently weighed in on PEP. UBS Group decreased their price objective on PepsiCo from $175.00 to $170.00 and set a "buy" rating for the company in a report on Thursday, September 11th. Cowen reaffirmed a "hold" rating on shares of PepsiCo in a report on Thursday, July 17th. Morgan Stanley upped their target price on PepsiCo from $153.00 to $165.00 and gave the company an "equal weight" rating in a research report on Friday, July 18th. Bank of America dropped their target price on PepsiCo from $150.00 to $145.00 and set a "neutral" rating on the stock in a research report on Friday, July 11th. Finally, Citigroup upped their price objective on PepsiCo from $160.00 to $168.00 and gave the stock a "buy" rating in a research report on Friday, July 18th. Four equities research analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, PepsiCo has a consensus rating of "Hold" and an average target price of $158.60.

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.