PepsiCo (NASDAQ:PEP) Trading Up 0.9% on Better-Than-Expected Earnings

PepsiCo, Inc. (NASDAQ:PEP - Get Free Report)'s stock price shot up 0.9% on Wednesday after the company announced better than expected quarterly earnings. The stock traded as high as $173.41 and last traded at $172.74. 1,831,636 shares were traded during trading, a decline of 68% from the average session volume of 5,747,046 shares. The stock had previously closed at $171.22.

The company reported $1.61 EPS for the quarter, topping analysts' consensus estimates of $1.52 by $0.09. The company had revenue of $18.25 billion for the quarter, compared to analyst estimates of $18.08 billion. PepsiCo had a return on equity of 58.03% and a net margin of 9.92%. The business's revenue was up 2.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $1.50 earnings per share.

PepsiCo Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, April 1st. Stockholders of record on Friday, March 1st were paid a dividend of $1.265 per share. This represents a $5.06 annualized dividend and a dividend yield of 2.85%. The ex-dividend date was Thursday, February 29th. PepsiCo's dividend payout ratio (DPR) is presently 77.02%.

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on PEP shares. Royal Bank of Canada reaffirmed a "sector perform" rating and set a $180.00 price target on shares of PepsiCo in a research note on Monday, February 12th. Morgan Stanley raised PepsiCo from an "equal weight" rating to an "overweight" rating and set a $190.00 target price on the stock in a research note on Monday, March 18th. Citigroup raised PepsiCo from a "neutral" rating to a "buy" rating and increased their target price for the company from $180.00 to $195.00 in a research note on Monday, February 12th. JPMorgan Chase & Co. increased their target price on PepsiCo from $178.00 to $181.00 and gave the company a "neutral" rating in a research note on Wednesday. Finally, Argus downgraded PepsiCo from a "buy" rating to a "hold" rating in a report on Wednesday, April 3rd. Six analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $187.33.

Institutional Trading of PepsiCo

Several hedge funds have recently added to or reduced their stakes in the company. Cerity Partners LLC lifted its position in shares of PepsiCo by 59.4% during the 4th quarter. Cerity Partners LLC now owns 993,567 shares of the company's stock valued at $168,747,000 after acquiring an additional 370,122 shares during the period. Harbour Capital Advisors LLC raised its holdings in shares of PepsiCo by 0.4% during the 4th quarter. Harbour Capital Advisors LLC now owns 27,446 shares of the company's stock worth $4,747,000 after buying an additional 102 shares in the last quarter. Meadow Creek Wealth Advisors LLC acquired a new position in shares of PepsiCo during the 4th quarter worth $405,000. Manchester Capital Management LLC increased its holdings in PepsiCo by 1.4% in the 3rd quarter. Manchester Capital Management LLC now owns 13,240 shares of the company's stock worth $2,243,000 after purchasing an additional 185 shares in the last quarter. Finally, Householder Group Estate & Retirement Specialist LLC increased its holdings in PepsiCo by 34.5% in the 4th quarter. Householder Group Estate & Retirement Specialist LLC now owns 12,317 shares of the company's stock worth $2,091,000 after purchasing an additional 3,159 shares in the last quarter. 73.07% of the stock is owned by institutional investors and hedge funds.

PepsiCo Trading Up 3.6 %

The business has a fifty day simple moving average of $168.84 and a 200-day simple moving average of $167.63. The company has a debt-to-equity ratio of 2.02, a quick ratio of 0.68 and a current ratio of 0.85. The firm has a market cap of $243.85 billion, a price-to-earnings ratio of 26.50, a PEG ratio of 2.77 and a beta of 0.53.

About PepsiCo

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.