Simmons Bank Cuts Stake in PepsiCo, Inc. $PEP

Key Points

• Simmons Bank cut its PepsiCo stake by 23.2% in the fourth quarter, selling 14,538 shares and leaving it with 48,187 shares valued at about $6.9 million.
• Several analysts remained constructive on PepsiCo, with firms including Deutsche Bank, Evercore and JPMorgan raising price targets; the stock’s overall consensus rating is still Hold.
• PepsiCo reported better-than-expected quarterly results, including EPS of $1.61 on revenue of $19.44 billion, and also announced a higher quarterly dividend of $1.48 per share plus a $10 billion buyback authorization.

Simmons Bank reduced its stake in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 23.2% during the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 48,187 shares of the company's stock after selling 14,538 shares during the period. Simmons Bank's holdings in PepsiCo were worth $6,916,000 as of its most recent SEC filing.

Several other large investors have also modified their holdings of PEP. Brighton Jones LLC lifted its holdings in shares of PepsiCo by 12.4% during the 4th quarter. Brighton Jones LLC now owns 59,392 shares of the company's stock worth $9,031,000 after acquiring an additional 6,574 shares during the period. Caxton Associates LLP purchased a new position in PepsiCo in the first quarter valued at approximately $251,000. Sivia Capital Partners LLC raised its holdings in PepsiCo by 138.5% in the second quarter. Sivia Capital Partners LLC now owns 6,527 shares of the company's stock valued at $862,000 after buying an additional 3,790 shares during the period. Schnieders Capital Management LLC. raised its holdings in PepsiCo by 10.1% in the second quarter. Schnieders Capital Management LLC. now owns 38,164 shares of the company's stock valued at $5,039,000 after buying an additional 3,502 shares during the period. Finally, Sei Investments Co. raised its holdings in PepsiCo by 45.5% in the second quarter. Sei Investments Co. now owns 536,133 shares of the company's stock valued at $70,789,000 after buying an additional 167,707 shares during the period. 73.07% of the stock is currently owned by hedge funds and other institutional investors.

PepsiCo News Roundup

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 Ratings Changes

PEP has been the topic of several research reports. Deutsche Bank Aktiengesellschaft raised their price target on shares of PepsiCo from $169.00 to $173.00 and gave the company a "buy" rating in a report on Friday, April 17th. Rothschild & Co Redburn raised their price target on shares of PepsiCo from $130.00 to $132.00 in a report on Monday. Evercore raised their price target on shares of PepsiCo from $165.00 to $170.00 in a report on Friday, April 17th. JPMorgan Chase & Co. increased their price objective on shares of PepsiCo from $172.00 to $178.00 and gave the company an "overweight" rating in a research report on Friday, April 17th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of PepsiCo in a research report on Wednesday, April 8th. Eight equities research analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, PepsiCo currently has a consensus rating of "Hold" and a consensus price target of $170.37.

PepsiCo Stock Down 1.7%

Shares of NASDAQ: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. PepsiCo, Inc. has a 52-week low of $127.60 and a 52-week high of $171.48. The company has a 50 day moving average of $155.88 and a two-hundred day moving average of $152.46. The company has a market capitalization 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 (NASDAQ:PEP - Get Free Report) last issued its quarterly earnings data on Wednesday, April 15th. The company reported $1.61 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.55 by $0.06. PepsiCo had a net margin of 9.15% and a return on equity of 56.61%. The company had revenue of $19.44 billion during the quarter, compared to the consensus estimate of $18.89 billion. During the same quarter last year, the company earned $1.48 earnings per share. PepsiCo's revenue for the quarter was up 8.5% on a year-over-year basis. As a group, analysts forecast that PepsiCo, Inc. will post 8.63 earnings per share for the current fiscal year.

PepsiCo declared that its Board of Directors has initiated a stock buyback program on Tuesday, February 3rd that permits the company to buyback $10.00 billion in outstanding shares. This buyback authorization permits the company to purchase up to 4.7% of its stock through open market purchases. Stock buyback programs are typically a sign that the company's board of directors believes its stock is undervalued.

PepsiCo Increases Dividend

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

PepsiCo Company 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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