Rayburn West Financial Services LLC Acquires Shares of 21,467 PepsiCo, Inc. $PEP

Key Points

• Rayburn West Financial Services LLC opened a new position in PepsiCo, buying 21,467 shares valued at about $3.08 million. PepsiCo now makes up 1.9% of the firm’s holdings and is its 18th-largest holding.
• PepsiCo’s latest earnings beat expectations, with EPS of $1.61 versus the $1.55 consensus and revenue of $19.44 billion versus $18.89 billion expected. Revenue rose 8.5% year over year.
• The company also raised its quarterly dividend to $1.48 per share and has an active $10 billion share buyback authorization. Institutional ownership remains high at 73.07%, and several large investors recently increased their stakes.

Rayburn West Financial Services LLC acquired a new stake in PepsiCo, Inc. (NASDAQ:PEP - Free Report) during the 4th quarter, according to the company in its most recent filing with the SEC. The institutional investor acquired 21,467 shares of the company's stock, valued at approximately $3,081,000. PepsiCo accounts for 1.9% of Rayburn West Financial Services LLC's holdings, making the stock its 18th biggest holding.

Several other large investors have also recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its stake in PepsiCo by 1.2% in the 4th quarter. Vanguard Group Inc. now owns 138,483,870 shares of the company's stock valued at $19,875,205,000 after buying an additional 1,612,652 shares during the period. State Street Corp increased its stake in PepsiCo by 1.8% in the 3rd quarter. State Street Corp now owns 59,499,819 shares of the company's stock valued at $8,356,155,000 after buying an additional 1,079,970 shares during the period. Invesco Ltd. increased its stake in PepsiCo by 7.6% in the 3rd quarter. Invesco Ltd. now owns 13,617,747 shares of the company's stock valued at $1,912,476,000 after buying an additional 958,701 shares during the period. Legal & General Group Plc increased its stake in PepsiCo by 1.3% in the 3rd quarter. Legal & General Group Plc now owns 8,902,664 shares of the company's stock valued at $1,250,290,000 after buying an additional 118,286 shares during the period. Finally, Amundi increased its stake in PepsiCo by 30.0% in the 3rd quarter. Amundi now owns 8,641,588 shares of the company's stock valued at $1,207,230,000 after buying an additional 1,995,362 shares during the period. Institutional investors and hedge funds own 73.07% of the company's stock.

PepsiCo Stock Performance

Shares of PEP opened at $149.27 on Thursday. The company has a quick ratio of 0.72, a current ratio of 0.90 and a debt-to-equity ratio of 1.98. The company's fifty day moving average is $155.88 and its 200-day moving average is $152.46. The firm has a market cap of $204.02 billion, a price-to-earnings ratio of 23.43, a price-to-earnings-growth ratio of 2.78 and a beta of 0.38. PepsiCo, Inc. has a 12 month low of $127.60 and a 12 month high of $171.48.

PepsiCo (NASDAQ:PEP - Get Free Report) last posted its quarterly earnings data on Wednesday, April 15th. The company reported $1.61 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.55 by $0.06. The business had revenue of $19.44 billion during the quarter, compared to the consensus estimate of $18.89 billion. PepsiCo had a net margin of 9.15% and a return on equity of 56.61%. PepsiCo's quarterly revenue was up 8.5% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.48 EPS. Equities analysts expect that PepsiCo, Inc. will post 8.63 EPS for the current fiscal year.

PepsiCo Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Friday, June 5th will be issued a dividend of $1.48 per share. The ex-dividend date of this dividend is Friday, June 5th. This represents a $5.92 annualized dividend and a dividend yield of 4.0%. This is an increase from PepsiCo's previous quarterly dividend of $1.42. PepsiCo's payout ratio is currently 89.32%.

PepsiCo announced that its board has initiated a stock buyback program on Tuesday, February 3rd that permits the company to buyback $10.00 billion in shares. This buyback authorization permits the company to repurchase up to 4.7% of its shares through open market purchases. Shares buyback programs are often an indication that the company's management believes its shares are undervalued.

Key Headlines Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Rothschild & Co Redburn reportedly issued a positive forecast for PepsiCo, which can support sentiment around the stock. Rothschild & Co Redburn Issues Positive Forecast for PepsiCo NASDAQ: PEP Stock Price
• Positive Sentiment: PepsiCo is being recognized for using retailer data to improve product launch execution, a sign it may be becoming more efficient at bringing new products to market. How PepsiCo Used Walmart's Data to Rethink Launch Playbook
• Neutral Sentiment: PepsiCo executive Eugene Willemsen discussed meeting Chinese consumers’ demand for more experiential beverage offerings, highlighting ongoing international product strategy. PepsiCo's Eugene Willemsen on meeting Chinese consumers' demand for experiential beverage experience
• Neutral Sentiment: PepsiCo is featured in a sustainability summit speaker lineup, which is more of a corporate profile item than a direct stock catalyst. Major Global Brands Join Sustainability LIVE at London Climate Action Week 2026
• Negative Sentiment: Elliott Investment Management has built a reported $4 billion stake in PepsiCo and is pushing for operational changes, with North American snack and beverage margins in focus. That activist pressure can increase uncertainty around management strategy and signal the market sees room for improvement. Elliott’s US$4b PepsiCo Stake Puts North American Margins In Focus
• Negative Sentiment: Coverage around PepsiCo’s brand makeover and efforts to escape the “cola orbit” suggests the company is still working to reaccelerate growth, which may keep investors focused on execution risk. Pepsico’s brand makeover designed to escape the cola orbit

Analyst Upgrades and Downgrades

Several brokerages have recently commented on PEP. Evercore increased their price target on shares of PepsiCo from $165.00 to $170.00 in a research note on Friday, April 17th. BNP Paribas Exane increased their price target on shares of PepsiCo from $191.00 to $195.00 and gave the stock an "outperform" rating in a research note on Friday, April 17th. Rothschild & Co Redburn increased their price target on shares of PepsiCo from $130.00 to $132.00 in a research note on Monday. UBS Group dropped their price target on shares of PepsiCo from $190.00 to $186.00 and set a "buy" rating on the stock in a research note on Tuesday, April 7th. Finally, Deutsche Bank Aktiengesellschaft increased their price target on shares of PepsiCo from $169.00 to $173.00 and gave the stock a "buy" rating in a research note on Friday, April 17th. Eight research analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $170.37.

PepsiCo 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.

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