Renaissance Investment Group LLC Sells 41,693 Shares of PepsiCo, Inc. (NASDAQ:PEP)

Key Points

• Renaissance Investment Group LLC reduced its stake in PepsiCo by 82.0%, selling 41,693 shares and now holding 9,175 shares valued at approximately $1.38 million.
• Analysts have lowered their price targets for PepsiCo, with Bank of America setting it at $145.00 and UBS Group at $169.00, while maintaining a mix of "buy," "hold," and "sell" ratings.
• PepsiCo announced a quarterly dividend of $1.4225 per share, resulting in an annualized dividend of $5.69 and a yield of 4.02%, despite a payout ratio of 103.64%.

Renaissance Investment Group LLC lowered its stake in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 82.0% in the first quarter, according to its most recent 13F filing with the SEC. The fund owned 9,175 shares of the company's stock after selling 41,693 shares during the period. Renaissance Investment Group LLC's holdings in PepsiCo were worth $1,376,000 as of its most recent SEC filing.

A number of other hedge funds have also added to or reduced their stakes in the stock. Geode Capital Management LLC raised its position in shares of PepsiCo by 1.9% in the fourth quarter. Geode Capital Management LLC now owns 31,079,522 shares of the company's stock valued at $4,717,069,000 after purchasing an additional 582,254 shares during the period. Northern Trust Corp lifted its stake in PepsiCo by 8.7% in the 4th quarter. Northern Trust Corp now owns 16,403,395 shares of the company's stock worth $2,494,300,000 after purchasing an additional 1,306,818 shares in the last quarter. Bank of New York Mellon Corp lifted its stake in PepsiCo by 0.4% in the 1st quarter. Bank of New York Mellon Corp now owns 14,062,857 shares of the company's stock worth $2,108,585,000 after purchasing an additional 49,699 shares in the last quarter. Franklin Resources Inc. lifted its stake in PepsiCo by 5.6% in the 4th quarter. Franklin Resources Inc. now owns 13,748,403 shares of the company's stock worth $2,090,582,000 after purchasing an additional 727,087 shares in the last quarter. Finally, Capital Research Global Investors lifted its stake in PepsiCo by 7.4% in the 4th quarter. Capital Research Global Investors now owns 12,048,646 shares of the company's stock worth $1,832,116,000 after purchasing an additional 831,148 shares in the last quarter. Institutional investors and hedge funds own 73.07% of the company's stock.

PepsiCo Stock Up 1.2%

NASDAQ PEP traded up $1.60 during trading hours on Friday, reaching $139.52. 4,286,696 shares of the company's stock traded hands, compared to its average volume of 8,571,899. PepsiCo, Inc. has a 52-week low of $127.60 and a 52-week high of $180.91. The firm has a market cap of $191.01 billion, a PE ratio of 25.41, a PEG ratio of 3.81 and a beta of 0.45. The firm has a 50-day simple moving average of $134.43 and a 200 day simple moving average of $140.93. The company has a debt-to-equity ratio of 2.12, a current ratio of 0.78 and a quick ratio of 0.60.

PepsiCo (NASDAQ:PEP - Get Free Report) last issued its earnings results 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. The business had revenue of $22.73 billion during the quarter, compared to analysts' expectations of $22.28 billion. PepsiCo had a net margin of 8.23% and a return on equity of 57.81%. The business's revenue for the quarter was up 1.0% compared to the same quarter last year. During the same period in the previous year, the company earned $2.28 earnings per share. Sell-side analysts anticipate that PepsiCo, Inc. will post 8.3 EPS for the current fiscal year.

PepsiCo Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Friday, September 5th will be issued a dividend of $1.4225 per share. This represents a $5.69 annualized dividend and a dividend yield of 4.1%. The ex-dividend date of this dividend is Friday, September 5th. PepsiCo's payout ratio is presently 103.64%.

Analyst Ratings Changes

Several research firms recently commented on PEP. JPMorgan Chase & Co. reduced their target price on shares of PepsiCo from $150.00 to $139.00 and set a "neutral" rating on the stock in a report on Thursday, July 10th. Dbs Bank lowered shares of PepsiCo from a "strong-buy" rating to a "hold" rating in a report on Friday, May 9th. Wells Fargo & Company increased their target price on shares of PepsiCo from $140.00 to $154.00 and gave the company an "equal weight" rating in a report on Friday, July 18th. Bank of America cut their price target on shares of PepsiCo from $150.00 to $145.00 and set a "neutral" rating on the stock in a report on Friday, July 11th. Finally, Morgan Stanley raised their price target on shares of PepsiCo from $153.00 to $165.00 and gave the stock an "equal weight" rating in a report on Friday, July 18th. One analyst has rated the stock with a sell rating, fifteen have assigned a hold rating and four have given a buy rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $158.73.

PepsiCo Company 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.