Peregrine Asset Advisers Inc. Boosts Stake in PepsiCo, Inc. $PEP

Key Points

• Peregrine Asset Advisers increased its stake in PepsiCo by 39.8% in Q4 to 57,170 shares (worth $8.205 million), making PEP 2.3% of Peregrine's portfolio and its 7th-largest holding.
• PepsiCo beat Q1 expectations with EPS of $1.61 versus $1.55 and revenue of $19.44 billion (up 8.5% YoY), and it set FY2026 guidance of $8.465–$8.628 EPS (consensus analyst forecast ~8.63).
• The board authorized a $10.0 billion buyback (up to ~4.7% of shares) and pays a $1.4225 quarterly dividend (3.6% yield), while analyst coverage is mixed with a consensus "Hold" and average target of $170.26 (8 Buy / 11 Hold / 1 Sell).

Peregrine Asset Advisers Inc. grew its stake in PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 39.8% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 57,170 shares of the company's stock after buying an additional 16,265 shares during the quarter. PepsiCo makes up 2.3% of Peregrine Asset Advisers Inc.'s portfolio, making the stock its 7th biggest holding. Peregrine Asset Advisers Inc.'s holdings in PepsiCo were worth $8,205,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also bought and sold shares of the stock. Altrius Capital Management Inc increased its position in PepsiCo by 1.4% in the fourth quarter. Altrius Capital Management Inc now owns 34,801 shares of the company's stock worth $4,995,000 after buying an additional 483 shares in the last quarter. Sun Financial Inc purchased a new stake in PepsiCo in the fourth quarter worth about $390,000. Blake Schutter Theil Wealth Advisors LLC increased its position in PepsiCo by 5.5% in the fourth quarter. Blake Schutter Theil Wealth Advisors LLC now owns 2,304 shares of the company's stock worth $331,000 after buying an additional 121 shares in the last quarter. Montag A & Associates Inc. increased its position in PepsiCo by 2.5% in the fourth quarter. Montag A & Associates Inc. now owns 88,082 shares of the company's stock worth $12,765,000 after buying an additional 2,189 shares in the last quarter. Finally, Level Wealth Management LLC purchased a new stake in PepsiCo in the fourth quarter worth about $202,000. Hedge funds and other institutional investors own 73.07% of the company's stock.

Analyst Upgrades and Downgrades

A number of brokerages have commented on PEP. TD Cowen upped their price target on PepsiCo from $162.00 to $165.00 and gave the stock a "hold" rating in a research report on Friday, February 20th. UBS Group reduced their price target on PepsiCo from $190.00 to $186.00 and set a "buy" rating for the company in a research report on Tuesday, April 7th. Piper Sandler upped their price target on PepsiCo from $172.00 to $181.00 and gave the stock an "overweight" rating in a research report on Thursday, March 12th. Citigroup increased their target price on PepsiCo from $170.00 to $182.00 and gave the stock a "buy" rating in a research report on Wednesday, February 4th. Finally, Deutsche Bank Aktiengesellschaft increased their target price on PepsiCo from $169.00 to $173.00 and gave the stock a "buy" rating in a research report on Friday, April 17th. Eight research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Hold" and an average target price of $170.26.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo signed a 10‑year virtual power purchase agreement with Statkraft to cut ~32,000 metric tons of CO2 annually across Europe — supports sustainability targets and may lower long‑term energy costs. PepsiCo inks 10-year renewable energy deal to cut emissions across Europe
• Positive Sentiment: Zacks Research raised multiple near‑ and medium‑term EPS estimates (including FY2027 and FY2028), signaling improved analyst expectations for profitability. PepsiCo (PEP) analyst note (MarketBeat summary)
• Positive Sentiment: PepsiCo is expanding electrification of distribution with a 50 electric delivery truck rollout in Fresno — incremental cost and emissions benefits and supports supply‑chain decarbonization narrative. Fresno PepsiCo rolls out 50 electric delivery trucks, aims to reduce emissions
• Positive Sentiment: Company announced a 2026 growth plan focused on cost cuts and product innovation — potential margin improvement and revenue growth tailwinds if execution holds. PepsiCo sets 2026 growth plan with cost cuts, innovation push
• Neutral Sentiment: Analyst and media pieces comparing Coca‑Cola vs. PepsiCo provide context for relative valuation and may drive short‑term trading but contain no new company‑specific catalysts. Coca-Cola vs. PepsiCo: Which Stock Is the Better Buy?
• Neutral Sentiment: PepsiCo plans to end its bottling/distribution partnership with Royal Unibrew in parts of Northern Europe by 2028 — strategic operational change that will require new local arrangements (potential short‑term costs, long‑term control). PepsiCo Bottling Shift In Northern Europe And What It Means For Valuation
• Negative Sentiment: PepsiCo apologised to South African consumers and pulled its ProNutro formula from shelves after a backlash — immediate reputational damage, potential regulatory scrutiny and lost sales in the market; this appears to be the most direct near‑term negative catalyst. PepsiCo apologises to South Africans and pulls ProNutro from shelves over formula backlash
• Negative Sentiment: PepsiCo is named in a consumer lawsuit alleging ultraprocessed foods can be addictive — legal risk and reputational headlines that could pressure longer‑term consumer perception and marketing costs. Food giants hit with consumer lawsuit calling ultraprocessed ingredients addictive
• Negative Sentiment: Erste Group trimmed FY2026/27 EPS estimates slightly — a small downward analyst revision that marginally reduces near‑term analyst sentiment. Erste Group Bank analyst note (MarketBeat summary)

PepsiCo Stock Performance

NASDAQ:PEP opened at $157.39 on Monday. 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, Inc. has a 12-month low of $127.60 and a 12-month high of $171.48. The stock has a 50-day moving average price of $157.96 and a 200 day moving average price of $152.43. The stock has a market capitalization of $215.11 billion, a P/E ratio of 24.71, a P/E/G ratio of 2.88 and a beta of 0.38.

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

PepsiCo Announces Dividend

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

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

About PepsiCo

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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