PepsiCo, Inc. $PEP Position Cut by AIA Group Ltd

Key Points

• AIA Group Ltd cut its PepsiCo stake by 48.6% in the first quarter, selling 48,796 shares and leaving it with 51,505 shares worth about $8.0 million.
• PepsiCo posted a solid quarterly beat, reporting $2.20 EPS on $24.18 billion in revenue, both ahead of estimates, with revenue up 6.4% year over year.
• The company announced a quarterly dividend of $1.48 per share, equal to a 4.3% yield, while analysts currently rate the stock a Hold on average with a $157.70 price target.

AIA Group Ltd lessened its position in PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 48.6% during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 51,505 shares of the company's stock after selling 48,796 shares during the period. AIA Group Ltd's holdings in PepsiCo were worth $7,998,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in PEP. Brighton Jones LLC raised its holdings in PepsiCo by 12.4% during the fourth quarter. Brighton Jones LLC now owns 59,392 shares of the company's stock worth $9,031,000 after purchasing an additional 6,574 shares in the last quarter. Caxton Associates LLP acquired a new position in PepsiCo in the first quarter worth approximately $251,000. Sivia Capital Partners LLC increased its holdings in shares of PepsiCo by 138.5% in the second quarter. Sivia Capital Partners LLC now owns 6,527 shares of the company's stock valued at $862,000 after buying an additional 3,790 shares in the last quarter. Schnieders Capital Management LLC. boosted its stake in shares of PepsiCo by 10.1% during the 2nd quarter. Schnieders Capital Management LLC. now owns 38,164 shares of the company's stock worth $5,039,000 after acquiring an additional 3,502 shares in the last quarter. Finally, Sei Investments Co. raised its position in shares of PepsiCo by 45.5% during the second quarter. Sei Investments Co. now owns 536,133 shares of the company's stock worth $70,789,000 after purchasing an additional 167,707 shares during the period. 73.07% of the stock is currently owned by institutional investors and hedge funds.

PepsiCo Stock Performance

Shares of NASDAQ PEP opened at $137.12 on Monday. The business has a 50 day simple moving average of $143.53 and a 200 day simple moving average of $151.26. PepsiCo, Inc. has a 52 week low of $134.65 and a 52 week high of $171.48. The stock has a market cap of $187.15 billion, a price-to-earnings ratio of 17.97, a PEG ratio of 3.01 and a beta of 0.36. 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 (NASDAQ:PEP - Get Free Report) last issued its quarterly earnings data on Thursday, July 9th. The company reported $2.20 earnings per share for the quarter, beating the consensus estimate of $2.19 by $0.01. The firm had revenue of $24.18 billion for the quarter, compared to analyst estimates of $23.95 billion. PepsiCo had a net margin of 10.78% and a return on equity of 54.63%. The company's revenue for the quarter was up 6.4% on a year-over-year basis. During the same quarter last year, the firm earned $0.92 earnings per share. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. On average, research analysts predict that PepsiCo, Inc. will post 8.58 earnings per share for the current fiscal year.

PepsiCo Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Friday, September 4th will be paid a dividend of $1.48 per share. This represents a $5.92 annualized dividend and a dividend yield of 4.3%. The ex-dividend date is Friday, September 4th. PepsiCo's dividend payout ratio is 77.59%.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo declared a quarterly dividend of $1.48 per share, a 4% increase from a year ago, which reinforces its appeal as a steady income stock. PepsiCo Declares Quarterly Dividend
• Positive Sentiment: PepsiCo India reported robust first-half growth and said it will set up a new food manufacturing facility in Tamil Nadu, signaling continued international expansion. PepsiCo India sees robust growth in H1
• Positive Sentiment: PepsiCo’s CEO said the company remains cautiously optimistic about the second half, citing resilient demand in the face of weather-related uncertainty. PepsiCo cautiously optimistic on H2 amid robust demand
• Neutral Sentiment: PepsiCo is drawing more investor attention, but the Zacks items are mostly watchlist-style coverage rather than new fundamental news. PepsiCo, Inc. (PEP) is Attracting Investor Attention
• Neutral Sentiment: PepsiCo is pushing sustainable sourcing further, saying 70% of ingredients now come from sustainable sources and targeting 90% by 2030, which supports long-term ESG goals but is unlikely to move the stock near term. PepsiCo (PEP) Pushes Sustainable Sourcing
• Negative Sentiment: Erste Group Bank trimmed PepsiCo’s FY2026 and FY2027 earnings estimates, adding to concern that profit growth may be slower than previously expected. PepsiCo estimate cuts
• Negative Sentiment: Broader commentary that U.S. grocery unit sales are falling suggests a tougher demand backdrop for PepsiCo and other packaged-food companies. U.S. grocery unit sales falling
• Negative Sentiment: Coverage noting that PepsiCo stock is near a one-year low highlights ongoing investor concern about the company’s growth and margin outlook. Why PepsiCo's stock is at a 1-year low

Analyst Ratings Changes

Several research firms have recently weighed in on PEP. HSBC lifted their target price on shares of PepsiCo from $175.00 to $176.00 and gave the stock a "hold" rating in a research report on Friday, April 17th. Evercore set a $150.00 target price on PepsiCo in a report on Thursday, July 9th. Rothschild & Co Redburn upped their price target on PepsiCo from $130.00 to $132.00 in a research report on Monday, May 11th. Weiss Ratings restated a "hold (c)" rating on shares of PepsiCo in a research report on Monday, July 6th. Finally, JPMorgan Chase & Co. decreased their price target on shares of PepsiCo from $178.00 to $170.00 and set an "overweight" rating for the company in a report on Wednesday, July 1st. Seven research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average price target of $157.70.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.