Zacks Investment Research upgraded shares of Pepsico, Inc. (NYSE:PEP) from a hold rating to a buy rating in a research report released on Tuesday, October 10th. Zacks Investment Researchcurrently has $123.00 price objective on the stock.
According to Zacks, “PepsiCo reported mixed third-quarter 2017 results, with earnings beating the Zacks Consensus Estimate and revenues missing the same. Nonetheless, this is the sixth consecutive quarter of positive earnings surprise. On a year-over-year basis, core earnings and revenues grew 6% and 1.3%, respectively. PepsiCo has been doing well on the back of significant innovation, continued momentum in Frito-Lay business, revenue management strategies, improved productivity and cost-saving initiatives, along with better market execution. Revenues increased 1.7% on an organic basis, primarily driven by higher demand for beverages/food/snacks in the Asia, Middle East and North Africa, Europe Sub-Saharan Africa and Latin America segments. Total volumes however declined 1% during the quarter against flat growth in the previous quarter. Core gross margins also contracted 15 basis points.”
Several other equities research analysts have also weighed in on PEP. Cowen and Company reaffirmed a buy rating on shares of Pepsico in a research report on Sunday, September 17th. Credit Suisse Group lowered Pepsico from an outperform rating to a neutral rating and dropped their target price for the stock from $126.00 to $124.00 in a research report on Friday, September 8th. Macquarie initiated coverage on Pepsico in a research note on Thursday, September 14th. They issued an outperform rating and a $125.00 price target for the company. BMO Capital Markets reissued a hold rating and issued a $120.00 price target on shares of Pepsico in a research note on Wednesday, September 6th. Finally, Royal Bank Of Canada reissued a hold rating and issued a $115.00 price target on shares of Pepsico in a research note on Wednesday, September 6th. Seven equities research analysts have rated the stock with a hold rating, ten have given a buy rating and one has issued a strong buy rating to the stock. The company currently has a consensus rating of Buy and an average price target of $121.35.
Shares of Pepsico (NYSE PEP) opened at 111.61 on Tuesday. The company has a 50-day moving average of $112.79 and a 200 day moving average of $114.72. Pepsico has a one year low of $98.50 and a one year high of $119.39. The firm has a market cap of $158.73 billion, a PE ratio of 23.06 and a beta of 0.68.
Pepsico (NYSE:PEP) last posted its quarterly earnings results on Wednesday, October 4th. The company reported $1.48 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $1.43 by $0.05. The business had revenue of $16.24 billion for the quarter, compared to analyst estimates of $16.35 billion. Pepsico had a return on equity of 59.68% and a net margin of 10.97%. The business’s revenue was up 1.3% compared to the same quarter last year. During the same period in the prior year, the company posted $1.40 EPS. On average, equities research analysts expect that Pepsico will post $5.22 EPS for the current fiscal year.
In other news, Chairman Indra K. Nooyi sold 452,830 shares of Pepsico stock in a transaction that occurred on Tuesday, July 25th. The stock was sold at an average price of $116.44, for a total transaction of $52,727,525.20. Following the sale, the chairman now owns 733,315 shares of the company’s stock, valued at approximately $85,387,198.60. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Indra K. Nooyi sold 340,449 shares of Pepsico stock in a transaction that occurred on Monday, July 24th. The stock was sold at an average price of $116.42, for a total value of $39,635,072.58. Following the sale, the chief executive officer now directly owns 733,315 shares in the company, valued at approximately $85,372,532.30. The disclosure for this sale can be found here. Insiders sold a total of 919,613 shares of company stock worth $106,956,258 over the last three months. 0.26% of the stock is owned by company insiders.
Several large investors have recently made changes to their positions in the company. Vanguard Group Inc. lifted its position in shares of Pepsico by 2.4% during the 2nd quarter. Vanguard Group Inc. now owns 112,083,751 shares of the company’s stock worth $12,944,553,000 after buying an additional 2,635,738 shares during the period. Ameriprise Financial Inc. raised its position in Pepsico by 2.5% in the 2nd quarter. Ameriprise Financial Inc. now owns 12,699,308 shares of the company’s stock valued at $1,466,839,000 after purchasing an additional 306,675 shares during the last quarter. FMR LLC raised its position in Pepsico by 8.3% in the 2nd quarter. FMR LLC now owns 8,043,420 shares of the company’s stock valued at $928,934,000 after purchasing an additional 618,813 shares during the last quarter. Schwab Charles Investment Management Inc. raised its position in Pepsico by 3.2% in the 2nd quarter. Schwab Charles Investment Management Inc. now owns 7,781,835 shares of the company’s stock valued at $898,725,000 after purchasing an additional 238,221 shares during the last quarter. Finally, Alliancebernstein L.P. raised its position in Pepsico by 7.0% in the 2nd quarter. Alliancebernstein L.P. now owns 6,568,054 shares of the company’s stock valued at $758,545,000 after purchasing an additional 428,728 shares during the last quarter. 70.31% of the stock is currently owned by institutional investors.
About Pepsico
PepsiCo, Inc is a global food and beverage company. The Company’s portfolio of brands includes Frito-Lay, Gatorade, Pepsi-Cola, Quaker and Tropicana. The Company operates through six segments: Frito-Lay North America (FLNA), Quaker Foods North America (QFNA), North America Beverages (NAB), Latin America, Euro
According to Zacks, “PepsiCo reported mixed third-quarter 2017 results, with earnings beating the Zacks Consensus Estimate and revenues missing the same. Nonetheless, this is the sixth consecutive quarter of positive earnings surprise. On a year-over-year basis, core earnings and revenues grew 6% and 1.3%, respectively. PepsiCo has been doing well on the back of significant innovation, continued momentum in Frito-Lay business, revenue management strategies, improved productivity and cost-saving initiatives, along with better market execution. Revenues increased 1.7% on an organic basis, primarily driven by higher demand for beverages/food/snacks in the Asia, Middle East and North Africa, Europe Sub-Saharan Africa and Latin America segments. Total volumes however declined 1% during the quarter against flat growth in the previous quarter. Core gross margins also contracted 15 basis points.”
Several other equities research analysts have also weighed in on PEP. Cowen and Company reaffirmed a buy rating on shares of Pepsico in a research report on Sunday, September 17th. Credit Suisse Group lowered Pepsico from an outperform rating to a neutral rating and dropped their target price for the stock from $126.00 to $124.00 in a research report on Friday, September 8th. Macquarie initiated coverage on Pepsico in a research note on Thursday, September 14th. They issued an outperform rating and a $125.00 price target for the company. BMO Capital Markets reissued a hold rating and issued a $120.00 price target on shares of Pepsico in a research note on Wednesday, September 6th. Finally, Royal Bank Of Canada reissued a hold rating and issued a $115.00 price target on shares of Pepsico in a research note on Wednesday, September 6th. Seven equities research analysts have rated the stock with a hold rating, ten have given a buy rating and one has issued a strong buy rating to the stock. The company currently has a consensus rating of Buy and an average price target of $121.35.
Shares of Pepsico (NYSE PEP) opened at 111.61 on Tuesday. The company has a 50-day moving average of $112.79 and a 200 day moving average of $114.72. Pepsico has a one year low of $98.50 and a one year high of $119.39. The firm has a market cap of $158.73 billion, a PE ratio of 23.06 and a beta of 0.68.
Pepsico (NYSE:PEP) last posted its quarterly earnings results on Wednesday, October 4th. The company reported $1.48 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $1.43 by $0.05. The business had revenue of $16.24 billion for the quarter, compared to analyst estimates of $16.35 billion. Pepsico had a return on equity of 59.68% and a net margin of 10.97%. The business’s revenue was up 1.3% compared to the same quarter last year. During the same period in the prior year, the company posted $1.40 EPS. On average, equities research analysts expect that Pepsico will post $5.22 EPS for the current fiscal year.
In other news, Chairman Indra K. Nooyi sold 452,830 shares of Pepsico stock in a transaction that occurred on Tuesday, July 25th. The stock was sold at an average price of $116.44, for a total transaction of $52,727,525.20. Following the sale, the chairman now owns 733,315 shares of the company’s stock, valued at approximately $85,387,198.60. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Indra K. Nooyi sold 340,449 shares of Pepsico stock in a transaction that occurred on Monday, July 24th. The stock was sold at an average price of $116.42, for a total value of $39,635,072.58. Following the sale, the chief executive officer now directly owns 733,315 shares in the company, valued at approximately $85,372,532.30. The disclosure for this sale can be found here. Insiders sold a total of 919,613 shares of company stock worth $106,956,258 over the last three months. 0.26% of the stock is owned by company insiders.
Several large investors have recently made changes to their positions in the company. Vanguard Group Inc. lifted its position in shares of Pepsico by 2.4% during the 2nd quarter. Vanguard Group Inc. now owns 112,083,751 shares of the company’s stock worth $12,944,553,000 after buying an additional 2,635,738 shares during the period. Ameriprise Financial Inc. raised its position in Pepsico by 2.5% in the 2nd quarter. Ameriprise Financial Inc. now owns 12,699,308 shares of the company’s stock valued at $1,466,839,000 after purchasing an additional 306,675 shares during the last quarter. FMR LLC raised its position in Pepsico by 8.3% in the 2nd quarter. FMR LLC now owns 8,043,420 shares of the company’s stock valued at $928,934,000 after purchasing an additional 618,813 shares during the last quarter. Schwab Charles Investment Management Inc. raised its position in Pepsico by 3.2% in the 2nd quarter. Schwab Charles Investment Management Inc. now owns 7,781,835 shares of the company’s stock valued at $898,725,000 after purchasing an additional 238,221 shares during the last quarter. Finally, Alliancebernstein L.P. raised its position in Pepsico by 7.0% in the 2nd quarter. Alliancebernstein L.P. now owns 6,568,054 shares of the company’s stock valued at $758,545,000 after purchasing an additional 428,728 shares during the last quarter. 70.31% of the stock is currently owned by institutional investors.
About Pepsico
PepsiCo, Inc is a global food and beverage company. The Company’s portfolio of brands includes Frito-Lay, Gatorade, Pepsi-Cola, Quaker and Tropicana. The Company operates through six segments: Frito-Lay North America (FLNA), Quaker Foods North America (QFNA), North America Beverages (NAB), Latin America, Europe Sub-Saharan Africa (ESSA), and Asia, Middle East and North Africa (AMENA).
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Source: ledgergazette
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