PepsiCo, Inc. $PEP Shares Sold by Focused Investors LLC

Key Points

• Focused Investors LLC reduced its position in PepsiCo by 0.4%, owning 531,550 shares worth approximately $70.2 million, making it the 22nd largest holding in their portfolio.
• PepsiCo's recent quarterly earnings report showed an EPS of $2.12, surpassing estimates, with quarterly revenue reaching $22.73 billion, reflecting a 1% growth year-over-year.
• The company has declared a quarterly dividend of $1.4225, with an annualized dividend yield of 4.0%, despite having a high dividend payout ratio of 103.64%.

Focused Investors LLC decreased its position in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 0.4% in the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 531,550 shares of the company's stock after selling 2,000 shares during the quarter. PepsiCo comprises about 2.3% of Focused Investors LLC's investment portfolio, making the stock its 22nd largest holding. Focused Investors LLC's holdings in PepsiCo were worth $70,186,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also modified their holdings of the company. Nova Wealth Management Inc. bought a new stake in shares of PepsiCo during the first quarter valued at about $25,000. Elite Financial Inc. bought a new stake in shares of PepsiCo during the first quarter valued at about $28,000. Legend Financial Advisors Inc. bought a new stake in PepsiCo in the second quarter worth about $29,000. RMG Wealth Management LLC bought a new stake in PepsiCo in the second quarter worth about $45,000. Finally, Investment Research & Advisory Group Inc. raised its position in PepsiCo by 263.6% in the second quarter. Investment Research & Advisory Group Inc. now owns 320 shares of the company's stock worth $42,000 after acquiring an additional 232 shares in the last quarter. 73.07% of the stock is currently owned by institutional investors.

PepsiCo Trading Up 0.8%

Shares of NASDAQ PEP opened at $140.79 on Wednesday. The stock has a market cap of $192.75 billion, a price-to-earnings ratio of 25.64, a PEG ratio of 3.53 and a beta of 0.46. The business has a 50 day simple moving average of $144.26 and a 200 day simple moving average of $139.31. PepsiCo, Inc. has a 52 week low of $127.60 and a 52 week high of $177.50. The company has a debt-to-equity ratio of 2.12, a quick ratio of 0.60 and a current ratio of 0.78.

PepsiCo (NASDAQ:PEP - Get Free Report) last announced its quarterly earnings results on Thursday, July 17th. The company reported $2.12 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 firm's quarterly revenue was up 1.0% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.28 EPS. PepsiCo has set its FY 2025 guidance at 8.038-8.038 EPS. On average, research analysts predict that PepsiCo, Inc. will post 8.3 earnings per share for the current fiscal year.

PepsiCo Dividend Announcement

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

Analysts Set New Price Targets

Several equities research analysts have commented on PEP shares. Citigroup dropped their price target on shares of PepsiCo from $168.00 to $165.00 and set a "buy" rating on the stock in a research report on Thursday, September 25th. Royal Bank Of Canada cut their price objective on PepsiCo from $146.00 to $145.00 and set a "sector perform" rating on the stock in a report on Monday, September 15th. JPMorgan Chase & Co. cut their price objective on PepsiCo from $157.00 to $151.00 and set a "neutral" rating on the stock in a report on Monday. Morgan Stanley boosted their price objective on PepsiCo from $153.00 to $165.00 and gave the stock an "equal weight" rating in a report on Friday, July 18th. Finally, Deutsche Bank Aktiengesellschaft restated a "buy" rating on shares of PepsiCo in a report on Thursday, July 17th. Four equities research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $158.13.

PepsiCo 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.

Want to see what other hedge funds are holding PEP? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for PepsiCo, Inc. (NASDAQ:PEP - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.