PepsiCo (NASDAQ:PEP) Trading Up 1.3% - Still a Buy?

Key Points

• PepsiCo's stock price rose by 1.3%, reaching a last trade price of $148.77, with a trading volume significantly lower than its average.
• Analysts have mixed outlooks on PepsiCo, with target prices ranging from $145.00 to $175.00 and a consensus rating of "Hold".
• The company recently announced a quarterly dividend of $1.4225 per share, reflecting a 3.8% yield and a payout ratio of 103.64%.

PepsiCo, Inc. (NASDAQ:PEP - Get Free Report) shares rose 1.3% during mid-day trading on Wednesday . The stock traded as high as $148.47 and last traded at $148.77. Approximately 1,331,853 shares changed hands during trading, a decline of 84% from the average daily volume of 8,461,726 shares. The stock had previously closed at $146.87.

Analyst Upgrades and Downgrades

PEP has been the subject of several research reports. JPMorgan Chase & Co. decreased their price objective on shares of PepsiCo from $150.00 to $139.00 and set a "neutral" rating for the company in a research note on Thursday, July 10th. Bank of America decreased their price objective on shares of PepsiCo from $150.00 to $145.00 and set a "neutral" rating for the company in a research note on Friday, July 11th. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating on shares of PepsiCo in a research note on Thursday, July 17th. Cowen restated a "hold" rating on shares of PepsiCo in a research note on Thursday, July 17th. Finally, Evercore ISI set a $140.00 target price on shares of PepsiCo in a research note on Thursday, April 24th. One investment analyst has rated the stock with a sell rating, fifteen have given a hold rating and four have issued a buy rating to the stock. According to MarketBeat, PepsiCo has an average rating of "Hold" and a consensus target price of $158.73.

PepsiCo Stock Performance

The company has a current ratio of 0.78, a quick ratio of 0.60 and a debt-to-equity ratio of 2.12. The company has a market cap of $205.91 billion, a P/E ratio of 27.40, a price-to-earnings-growth ratio of 4.01 and a beta of 0.45. The company's 50-day moving average price is $137.39 and its two-hundred day moving average price is $140.56.

PepsiCo (NASDAQ:PEP - Get Free Report) last posted its quarterly earnings data on Thursday, July 17th. The company reported $2.12 EPS for the quarter, beating analysts' consensus estimates of $2.03 by $0.09. The company had revenue of $22.73 billion during the quarter, compared to analyst estimates of $22.28 billion. PepsiCo had a net margin of 8.23% and a return on equity of 57.81%. The business's quarterly revenue was up 1.0% on a year-over-year basis. During the same period in the prior year, the firm earned $2.28 earnings per share. As a group, equities analysts forecast that PepsiCo, Inc. will post 8.3 earnings per share for the current year.

PepsiCo Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Friday, September 5th will be given a $1.4225 dividend. This represents a $5.69 dividend on an annualized basis and a dividend yield of 3.8%. The ex-dividend date of this dividend is Friday, September 5th. PepsiCo's dividend payout ratio is 103.64%.

Institutional Trading of PepsiCo

Hedge funds have recently made changes to their positions in the stock. JSF Financial LLC lifted its stake in PepsiCo by 3.8% in the second quarter. JSF Financial LLC now owns 1,897 shares of the company's stock valued at $250,000 after acquiring an additional 69 shares during the last quarter. Legacy Financial Group LLC raised its holdings in shares of PepsiCo by 4.9% during the 1st quarter. Legacy Financial Group LLC now owns 1,514 shares of the company's stock valued at $227,000 after purchasing an additional 71 shares in the last quarter. Binnacle Investments Inc lifted its stake in shares of PepsiCo by 33.2% in the 2nd quarter. Binnacle Investments Inc now owns 285 shares of the company's stock valued at $38,000 after purchasing an additional 71 shares during the last quarter. Dogwood Wealth Management LLC lifted its stake in shares of PepsiCo by 15.4% in the 2nd quarter. Dogwood Wealth Management LLC now owns 539 shares of the company's stock valued at $73,000 after purchasing an additional 72 shares during the last quarter. Finally, Weaver Consulting Group lifted its stake in shares of PepsiCo by 2.9% in the 2nd quarter. Weaver Consulting Group now owns 2,581 shares of the company's stock valued at $341,000 after purchasing an additional 72 shares during the last quarter. 73.07% of the stock is owned by hedge funds and other institutional investors.

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.