State Street Corp Buys 987,582 Shares of PepsiCo, Inc. $PEP

Key Points

• State Street increased its PepsiCo position by 987,582 shares in the second quarter, bringing its holdings to 60.4 million shares worth approximately $8.18 billion. Institutional investors collectively own 73.07% of PEP.
• PepsiCo shares traded around $131.09, near their 52-week low, despite the company exceeding quarterly earnings and revenue expectations. Analysts maintain a consensus “Hold” rating with an average price target of $157.90.
• PepsiCo announced a quarterly dividend of $1.48 per share, or $5.92 annualized, representing a 4.5% yield. Potential headwinds include weak technical momentum, a planned plant closure, slower North American growth and a proposed marketing-related class-action lawsuit.

State Street Corp boosted its position in shares of PepsiCo, Inc. (NASDAQ:PEP - Free Report) by 1.7% during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 60,406,932 shares of the company's stock after acquiring an additional 987,582 shares during the period. State Street Corp owned 4.43% of PepsiCo worth $8,179,099,000 at the end of the most recent quarter.

A number of other hedge funds have also modified their holdings of PEP. Core Capital Management & Research inc. bought a new stake in PepsiCo in the 2nd quarter valued at $932,000. National Pension Service boosted its holdings in shares of PepsiCo by 2.5% during the 4th quarter. National Pension Service now owns 3,143,939 shares of the company's stock valued at $451,218,000 after purchasing an additional 77,051 shares during the last quarter. Allstate Corp grew its position in shares of PepsiCo by 108.1% during the fourth quarter. Allstate Corp now owns 104,723 shares of the company's stock valued at $15,030,000 after purchasing an additional 54,405 shares in the last quarter. First Nebraska Trust Co bought a new stake in shares of PepsiCo in the first quarter worth about $10,782,000. Finally, Knights of Columbus Asset Advisors LLC increased its holdings in shares of PepsiCo by 90.0% in the fourth quarter. Knights of Columbus Asset Advisors LLC now owns 94,652 shares of the company's stock worth $13,584,000 after purchasing an additional 44,824 shares during the last quarter. 73.07% of the stock is currently owned by institutional investors.

Key Stories Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo is reportedly among the brands investing in paper drink bottles, a move that could strengthen its sustainability credentials and help address consumer and regulatory pressure over plastic packaging. Paper drink bottles are cool again
• Positive Sentiment: PepsiCo’s international business is growing faster than its North American operations and generating improving profitability. Investors may view this as an underappreciated growth engine, particularly after the stock reached a 52-week low. International business keeps accelerating
• Positive Sentiment: One investment firm continues to maintain a substantially higher price target, implying significant upside if PepsiCo stabilizes North American snacks and beverages, improves execution and benefits from its international expansion. Pepsi’s fall continues and price target
• Positive Sentiment: Consumer staples are outperforming discretionary stocks in 2026, reinforcing PepsiCo’s appeal as a defensive, dividend-oriented holding during an uncertain economic environment. Staples ETF widens gap over discretionary
• Neutral Sentiment: Several investment articles present PepsiCo as a potentially attractive high-yield dividend stock after its sell-off, but also acknowledge challenges affecting long-term passive-income investors, including slower growth and business execution risks. Nike versus PepsiCo dividend stock
• Negative Sentiment: PepsiCo plans to end manufacturing at a longstanding Washington, D.C.-area plant. The closure may reduce costs over time, but near-term headlines focus on operational disruption, workforce reductions and evidence of efforts to align capacity with weaker demand. PepsiCo to end manufacturing at D.C. plant
• Negative Sentiment: A technical analysis report says PEP broke below a key support level, with a potential decline toward $127.70. This reinforces bearish momentum while the stock trades below its 50-day and 200-day moving averages. PEP price outlook
• Negative Sentiment: A proposed class-action lawsuit alleges PepsiCo falsely marketed certain Siete and Tostitos chips as containing avocado oil. Although the allegations are unproven, litigation could create legal costs and reputational damage. Avocado oil chips class-action lawsuit

PepsiCo Trading Up 1.2%

NASDAQ PEP traded up $1.50 on Tuesday, hitting $131.09. 2,884,070 shares of the stock were exchanged, compared to its average volume of 7,920,305. PepsiCo, Inc. has a 52-week low of $127.98 and a 52-week high of $171.48. The firm has a market capitalization of $178.92 billion, a P/E ratio of 17.18, a P/E/G ratio of 2.73 and a beta of 0.35. The company has a debt-to-equity ratio of 1.91, a quick ratio of 0.74 and a current ratio of 0.93. The stock has a fifty day moving average price of $138.44 and a two-hundred day moving average price of $145.98.

PepsiCo (NASDAQ:PEP - Get Free Report) last released its earnings results on Thursday, July 9th. The company reported $2.20 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.19 by $0.01. The firm had revenue of $24.18 billion during the quarter, compared to analyst estimates of $23.95 billion. PepsiCo had a net margin of 10.78% and a return on equity of 54.63%. The business's revenue was up 6.4% on a year-over-year basis. During the same quarter last year, the business earned $0.92 EPS. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. Research analysts forecast that PepsiCo, Inc. will post 8.57 EPS for the current fiscal year.

PepsiCo Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Friday, September 4th will be paid a dividend of $1.48 per share. The ex-dividend date of this dividend is Friday, September 4th. This represents a $5.92 dividend on an annualized basis and a dividend yield of 4.5%. PepsiCo's dividend payout ratio is currently 77.59%.

Analysts Set New Price Targets

A number of equities analysts recently commented on the company. Evercore set a $150.00 price target on PepsiCo in a research note on Thursday, July 9th. Sanford C. Bernstein set a $134.00 price objective on PepsiCo in a report on Friday, July 10th. JPMorgan Chase & Co. cut their target price on shares of PepsiCo from $178.00 to $170.00 and set an "overweight" rating for the company in a report on Wednesday, July 1st. TD Cowen reaffirmed a "hold" rating on shares of PepsiCo in a research note on Friday, August 28th. Finally, Barclays increased their price objective on shares of PepsiCo from $138.00 to $142.00 and gave the company an "equal weight" rating in a research report on Tuesday, July 21st. Seven equities research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, PepsiCo has an average rating of "Hold" and an average target price of $157.90.

Insider Buying and Selling at PepsiCo

In related news, EVP David Flavell sold 2,900 shares of the firm's stock in a transaction that occurred on Monday, July 27th. The stock was sold at an average price of $139.54, for a total transaction of $404,666.00. Following the completion of the sale, the executive vice president directly owned 74,825 shares of the company's stock, valued at approximately $10,441,080.50. This trade represents a 3.73% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.12% of the company's stock.

About PepsiCo

PepsiCo, Inc NASDAQ: PEP is a global food and beverage company headquartered in Purchase, New York. Its portfolio includes carbonated soft drinks, sports drinks, bottled water, juices, ready-to-drink beverages, snack foods and convenient foods. Major brands include Pepsi, Mountain Dew, Gatorade, Lay's, Doritos, Cheetos, Quaker and SodaStream.

The company sells products through a broad range of channels, including grocery stores, convenience stores, restaurants, food-service providers, vending operations and e-commerce platforms.

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