PepsiCo, Inc. $PEP Position Cut by Columbia Asset Management

Key Points

• Columbia Asset Management significantly cut its stake in PepsiCo by 71.9% in the second quarter, now holding only 25,545 shares after selling 65,380 shares.
• PepsiCo's quarterly earnings reported $2.12 per share, exceeding expectations, while its revenue reached $22.73 billion, marking a 1.0% increase year-over-year.
• The company announced a quarterly dividend of $1.4225 per share, reflecting an annualized yield of 4.1%, although its payout ratio stands at 103.64%.

Columbia Asset Management reduced its position in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 71.9% in the second quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 25,545 shares of the company's stock after selling 65,380 shares during the quarter. Columbia Asset Management's holdings in PepsiCo were worth $3,373,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Nova Wealth Management Inc. bought a new position in PepsiCo during the 1st quarter valued at $25,000. Elite Financial Inc. bought a new position in PepsiCo during the 1st quarter valued at $28,000. Legend Financial Advisors Inc. bought a new position in PepsiCo during the 2nd quarter valued at $29,000. Investment Research & Advisory Group Inc. boosted its stake in PepsiCo by 263.6% during the 2nd quarter. Investment Research & Advisory Group Inc. now owns 320 shares of the company's stock valued at $42,000 after purchasing an additional 232 shares in the last quarter. Finally, MorganRosel Wealth Management LLC bought a new stake in shares of PepsiCo during the 1st quarter worth $55,000. 73.07% of the stock is owned by institutional investors.

PepsiCo Price Performance

Shares of NASDAQ:PEP opened at $140.44 on Wednesday. The company has a current ratio of 0.78, a quick ratio of 0.60 and a debt-to-equity ratio of 2.12. PepsiCo, Inc. has a 1 year low of $127.60 and a 1 year high of $177.50. The business has a fifty day simple moving average of $144.49 and a 200 day simple moving average of $139.54. The firm has a market cap of $192.27 billion, a price-to-earnings ratio of 25.58, a P/E/G ratio of 3.54 and a beta of 0.46.

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, topping the consensus estimate of $2.03 by $0.09. PepsiCo had a return on equity of 57.81% and a net margin of 8.23%.The business had revenue of $22.73 billion during the quarter, compared to analyst estimates of $22.28 billion. During the same period last year, the company earned $2.28 earnings per share. PepsiCo's quarterly revenue was up 1.0% compared to the same quarter last year. PepsiCo has set its FY 2025 guidance at 8.038-8.038 EPS. As a group, sell-side analysts predict that PepsiCo, Inc. will post 8.3 earnings per share for the current fiscal year.

PepsiCo Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 30th. Shareholders of record on Friday, September 5th were given a dividend of $1.4225 per share. This represents a $5.69 annualized dividend and a yield of 4.1%. The ex-dividend date of this dividend was Friday, September 5th. PepsiCo's dividend payout ratio is presently 103.64%.

Analyst Ratings Changes

Several research firms have recently weighed in on PEP. Deutsche Bank Aktiengesellschaft reissued a "buy" rating on shares of PepsiCo in a research note on Thursday, July 17th. Barclays raised their price objective on PepsiCo from $132.00 to $144.00 and gave the stock an "equal weight" rating in a research note on Monday, July 21st. UBS Group reduced their price objective on PepsiCo from $175.00 to $170.00 and set a "buy" rating for the company in a research note on Thursday, September 11th. Cowen reissued a "hold" rating on shares of PepsiCo in a research note on Thursday, July 17th. Finally, Royal Bank Of Canada reduced their target price on PepsiCo from $146.00 to $145.00 and set a "sector perform" rating for the company in a report on Monday, September 15th. Four research analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, PepsiCo currently has a consensus rating of "Hold" and a consensus target price of $158.13.

About PepsiCo

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.

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