PepsiCo's (PEP) "Sector Perform" Rating Reaffirmed at Royal Bank Of Canada

Key Points

• Royal Bank of Canada has reaffirmed its "sector perform" rating on PepsiCo (PEP) with a price objective of $146.00, indicating a potential downside of 1.36% from the current price.
• Wells Fargo, Morgan Stanley, and Citigroup have recently adjusted their price targets for PepsiCo, with Citigroup setting a price target of $168.00 and upgrading their rating to "buy."
• PepsiCo reported earnings of $2.12 EPS for the latest quarter, exceeding analysts’ expectations and showing a 1.0% year-over-year revenue increase.

PepsiCo (NASDAQ:PEP - Get Free Report)'s stock had its "sector perform" rating restated by stock analysts at Royal Bank Of Canada in a research report issued to clients and investors on Wednesday,Benzinga reports. They currently have a $146.00 price objective on the stock. Royal Bank Of Canada's price target indicates a potential downside of 1.36% from the company's current price.

PEP has been the subject of a number of other reports. Wells Fargo & Company lifted their target price on shares of PepsiCo from $140.00 to $154.00 and gave the stock an "equal weight" rating in a research note on Friday, July 18th. Morgan Stanley lifted their price objective on shares of PepsiCo from $153.00 to $165.00 and gave the company an "equal weight" rating in a research note on Friday, July 18th. Citigroup lifted their price objective on shares of PepsiCo from $160.00 to $168.00 and gave the company a "buy" rating in a research note on Friday, July 18th. 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. Finally, Deutsche Bank Aktiengesellschaft restated a "buy" rating on shares of PepsiCo in a research note on Thursday, July 17th. Four research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $158.60.

PepsiCo Stock Performance

PEP stock traded down $2.27 during trading on Wednesday, reaching $148.01. The company had a trading volume of 1,788,872 shares, compared to its average volume of 8,496,188. The firm has a 50-day simple moving average of $141.91 and a 200-day simple moving average of $140.80. The company has a market cap of $202.63 billion, a price-to-earnings ratio of 26.94, a price-to-earnings-growth ratio of 3.96 and a beta of 0.46. The company has a debt-to-equity ratio of 2.12, a quick ratio of 0.60 and a current ratio of 0.78. PepsiCo has a twelve month low of $127.60 and a twelve month high of $179.73.

PepsiCo (NASDAQ:PEP - Get Free Report) last released its earnings results on Thursday, July 17th. The company reported $2.12 EPS for the quarter, topping analysts' consensus estimates of $2.03 by $0.09. The company had revenue of $22.73 billion during the quarter, compared to analysts' expectations of $22.28 billion. PepsiCo had a net margin of 8.23% and a return on equity of 57.81%. PepsiCo's revenue for the quarter was up 1.0% on a year-over-year basis. During the same period last year, the business earned $2.28 EPS. PepsiCo has set its FY 2025 guidance at 8.038-8.038 EPS. As a group, sell-side analysts expect that PepsiCo will post 8.3 earnings per share for the current year.

Institutional Investors Weigh In On PepsiCo

A number of hedge funds have recently modified their holdings of PEP. Nova Wealth Management Inc. purchased a new stake in shares of PepsiCo in the first quarter valued at about $25,000. Evolution Wealth Management Inc. purchased a new position in PepsiCo during the second quarter worth about $27,000. Elite Financial Inc. purchased a new position in PepsiCo during the first quarter worth about $28,000. Legend Financial Advisors Inc. purchased a new position in PepsiCo during the second quarter worth about $29,000. Finally, Measured Risk Portfolios Inc. purchased a new position in shares of PepsiCo in the fourth quarter valued at approximately $31,000. Hedge funds and other institutional investors own 73.07% of the company's stock.

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.

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