SageView Advisory Group LLC Raises Holdings in PepsiCo, Inc. $PEP

Key Points

• 80.4% stake increase: SageView Advisory Group LLC boosted its position in PepsiCo in Q3 by 80.4% to 29,841 shares, valued at about $4.19 million.
• $10.0 billion buyback and dividend: PepsiCo’s board authorized a $10.0 billion repurchase plan (up to ~4.7% of outstanding shares) and declared a quarterly dividend of $1.4225 ($5.69 annualized, ~3.5% yield).
• Quarterly results beat expectations: PepsiCo reported EPS of $2.26 vs. $2.24 expected and revenue of $29.34 billion, up 5.6% year‑over‑year; analysts’ consensus rating is "Hold" with an average target of $168.50.

SageView Advisory Group LLC increased its position in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 80.4% during the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 29,841 shares of the company's stock after buying an additional 13,303 shares during the period. SageView Advisory Group LLC's holdings in PepsiCo were worth $4,191,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently made changes to their positions in the company. Vanguard Group Inc. increased its position in PepsiCo by 1.3% during the 2nd quarter. Vanguard Group Inc. now owns 136,936,037 shares of the company's stock valued at $18,081,034,000 after purchasing an additional 1,761,785 shares during the period. State Street Corp lifted its position in shares of PepsiCo by 1.6% in the 2nd quarter. State Street Corp now owns 58,419,849 shares of the company's stock worth $7,713,757,000 after purchasing an additional 920,045 shares during the period. Geode Capital Management LLC boosted its stake in shares of PepsiCo by 0.3% during the second quarter. Geode Capital Management LLC now owns 32,675,492 shares of the company's stock valued at $4,301,240,000 after purchasing an additional 86,695 shares in the last quarter. Charles Schwab Investment Management Inc. increased its holdings in PepsiCo by 9.7% during the second quarter. Charles Schwab Investment Management Inc. now owns 29,031,404 shares of the company's stock valued at $3,833,406,000 after buying an additional 2,556,163 shares during the period. Finally, Norges Bank bought a new position in PepsiCo in the second quarter worth approximately $2,330,594,000. 73.07% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the company. Barclays upped their target price on PepsiCo from $148.00 to $160.00 and gave the stock an "equal weight" rating in a report on Wednesday, February 4th. Weiss Ratings reissued a "hold (c)" rating on shares of PepsiCo in a research report on Friday, January 9th. Wall Street Zen raised PepsiCo from a "hold" rating to a "buy" rating in a research report on Saturday. Wells Fargo & Company lifted their target price on PepsiCo from $154.00 to $165.00 and gave the company an "equal weight" rating in a research note on Wednesday, February 4th. Finally, UBS Group reiterated a "buy" rating and issued a $190.00 target price on shares of PepsiCo in a report on Wednesday, February 4th. Eight investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, PepsiCo has a consensus rating of "Hold" and an average target price of $168.50.

PepsiCo Price Performance

Shares of NASDAQ PEP opened at $160.78 on Wednesday. PepsiCo, Inc. has a fifty-two week low of $127.60 and a fifty-two week high of $171.48. The company has a market cap of $219.73 billion, a PE ratio of 26.80, a P/E/G ratio of 3.10 and a beta of 0.39. The company has a debt-to-equity ratio of 2.06, a quick ratio of 0.67 and a current ratio of 0.85. The business has a 50-day simple moving average of $155.72 and a two-hundred day simple moving average of $149.45.

PepsiCo (NASDAQ:PEP - Get Free Report) last posted its quarterly earnings data on Monday, February 2nd. The company reported $2.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.24 by $0.02. The firm had revenue of $29.34 billion for the quarter, compared to the consensus estimate of $28.96 billion. PepsiCo had a net margin of 8.77% and a return on equity of 57.92%. The company's revenue for the quarter was up 5.6% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.96 earnings per share. As a group, equities analysts expect that PepsiCo, Inc. will post 8.3 EPS for the current fiscal year.

PepsiCo Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Friday, March 6th will be issued a $1.4225 dividend. The ex-dividend date of this dividend is Friday, March 6th. This represents a $5.69 dividend on an annualized basis and a dividend yield of 3.5%. PepsiCo's dividend payout ratio (DPR) is currently 94.83%.

PepsiCo declared that its board has initiated a stock repurchase plan on Tuesday, February 3rd that permits the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization permits the company to purchase up to 4.7% of its shares through open market purchases. Shares repurchase plans are often an indication that the company's board of directors believes its shares are 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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