Pepsico, Inc. (PEP) Announces Earnings Results, Beats Estimates By $0.05 EPS
Pepsico, Inc. (NYSE:PEP) announced its quarterly earnings results on Wednesday. The company reported $1.48 earnings per share for the quarter, beating the Zacks’ consensus estimate of $1.43 by $0.05, Bloomberg Earnings reports. Pepsico had a net margin of 10.77% and a return on equity of 59.74%. The firm had revenue of $16.24 billion for the quarter, compared to analyst estimates of $16.35 billion. During the same quarter in the previous year, the firm posted $1.40 earnings per share. The business’s revenue was up 1.3% on a year-over-year basis. Pepsico updated its FY17 guidance to $5.23 EPS.
Shares of Pepsico (NYSE:PEP) opened at 109.34 on Thursday. The stock has a 50 day moving average of $114.58 and a 200-day moving average of $114.76. Pepsico has a 12 month low of $98.50 and a 12 month high of $119.39. The company has a market cap of $155.87 billion, a price-to-earnings ratio of 23.16 and a beta of 0.68. Pepsico also was the target of some unusual options trading activity on Monday. Traders purchased 5,616 put options on the stock. This is an increase of approximately 248% compared to the typical volume of 1,616 put options.
The firm also recently disclosed a quarterly dividend, which was paid on Friday, September 29th. Stockholders of record on Friday, September 1st were given a $0.805 dividend. This represents a $3.22 dividend on an annualized basis and a dividend yield of 2.94%. The ex-dividend date of this dividend was Wednesday, August 30th. Pepsico’s dividend payout ratio is presently 68.22%.
In related news, EVP Mehmood Khan sold 63,396 shares of Pepsico stock in a transaction on Monday, July 24th. The shares were sold at an average price of $116.39, for a total value of $7,378,660.44. Following the completion of the sale, the executive vice president now owns 174,273 shares of the company’s stock, valued at approximately $20,283,634.47. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CEO Indra K. Nooyi sold 340,449 shares of Pepsico stock in a transaction on Monday, July 24th. The shares were sold at an average price of $116.42, for a total transaction of $39,635,072.58. Following the completion of the sale, the chief executive officer now directly owns 733,315 shares of the company’s stock, valued at approximately $85,372,532.30. The disclosure for this sale can be found here. In the last three months, insiders sold 898,164 shares of company stock valued at $104,585,929. 0.26% of the stock is currently owned by insiders.
A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Vanguard Group Inc. grew its position in Pepsico by 2.4% in the 2nd quarter. Vanguard Group Inc. now owns 112,083,751 shares of the company’s stock valued at $12,944,553,000 after purchasing an additional 2,635,738 shares during the period. Ameriprise Financial Inc. grew 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 period. FMR LLC grew 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 period. Alliancebernstein L.P. grew 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 period. Finally, Renaissance Technologies LLC grew its position in Pepsico by 29.9% in the 2nd quarter. Renaissance Technologies LLC now owns 5,642,700 shares of the company’s stock valued at $651,675,000 after purchasing an additional 1,298,900 shares during the period. 70.06% of the stock is owned by institutional investors and hedge funds.
A number of brokerages have weighed in on PEP. Zacks Investment Research lowered shares of Pepsico from a “buy” rating to a “hold” rating in a research note on Monday, July 31st. BMO Capital Markets lowered shares of Pepsico from an “outperform” rating to a “market perform” rating and lifted their price target for the company from $118.00 to $120.00 in a research note on Wednesday, June 7th. They noted that the move was a valuation call. Cowen and Company reaffirmed an “outperform” rating and issued a $128.00 price target on shares of Pepsico in a research note on Thursday, July 13th. Jefferies Group LLC reaffirmed a “buy” rating and issued a $133.00 price target (up previously from $130.00) on shares of Pepsico in a research note on Wednesday, July 12th. Finally, Susquehanna Bancshares Inc reaffirmed a “positive” rating and issued a $133.00 price target (down previously from $134.00) on shares of Pepsico in a research note on Thursday, July 6th. Seven equities research analysts have rated the stock with a hold rating, nine have given a buy rating and one has issued a strong buy rating to the company. The stock presently has an average rating of “Buy” and a consensus target price of $121.87.
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).
Receive News & Ratings for Pepsico Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Pepsico Inc. and related companies with MarketBeat.com's FREE daily email newsletter.