Waterloo Capital L.P. Boosts Stock Holdings in PepsiCo, Inc. $PEP

Waterloo Capital L.P. increased its position in shares of PepsiCo, Inc. (NASDAQ:PEP) by 81.7% during the third quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 7,708 shares of the company’s stock after buying an additional 3,467 shares during the period. Waterloo Capital L.P.’s holdings in PepsiCo were worth $1,083,000 as of its most recent filing with the SEC.

Other large investors have also modified their holdings of the company. Vanguard Group Inc. boosted its position in PepsiCo by 1.3% during the second quarter. Vanguard Group Inc. now owns 136,936,037 shares of the company’s stock worth $18,081,034,000 after purchasing an additional 1,761,785 shares in the last quarter. State Street Corp lifted its position in shares of PepsiCo by 1.6% during the 2nd quarter. State Street Corp now owns 58,419,849 shares of the company’s stock valued at $7,713,757,000 after buying an additional 920,045 shares in the last quarter. Geode Capital Management LLC grew its stake in PepsiCo by 0.3% in the 2nd quarter. Geode Capital Management LLC now owns 32,675,492 shares of the company’s stock valued at $4,301,240,000 after acquiring an additional 86,695 shares during the period. Charles Schwab Investment Management Inc. increased its holdings in PepsiCo by 9.7% in the 2nd quarter. Charles Schwab Investment Management Inc. now owns 29,031,404 shares of the company’s stock worth $3,833,406,000 after acquiring an additional 2,556,163 shares in the last quarter. Finally, Norges Bank acquired a new position in PepsiCo during the second quarter worth $2,330,594,000. Institutional investors and hedge funds own 73.07% of the company’s stock.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Q4 results beat expectations (EPS $2.26 vs. $2.24; revenue roughly $29.3B) and management reiterated FY2026 guidance while reporting margin improvement — a core driver for today’s buying. Pepsi Pops as Investors Take Notice of Key Strategic Initiatives
• Positive Sentiment: Board approved a $10 billion share repurchase program, supporting EPS and signaling capital-return priority. PepsiCo to Repurchase $10.00 billion in Shares
• Positive Sentiment: Several brokerages lifted price targets after the strong quarter (UBS to $190, Morgan Stanley $180, JPMorgan $176, HSBC $175), which helps sustain buying interest. UBS Lifts PepsiCo Target JPMorgan Raises Target HSBC Adjusts Target
• Positive Sentiment: Management is cutting prices (up to ~15% on some snacks) and pivoting to “snack affordability” ahead of heavy seasonal demand (Super Bowl), which should boost volumes and retail sales. Guacamole & chip prices and PepsiCo price moves
• Positive Sentiment: Productivity and distribution integration (testing combined beverage/snack logistics) are cited as margin levers — management reported early positive results and operating-margin expansion. Productivity Strategy Analysis
• Neutral Sentiment: Pepsi is publicly adapting product mixes for health-conscious consumers (functional foods) and watching trends like GLP-1 drug use — outcomes are uncertain but the company is actively responding. How PepsiCo is adapting to GLP-1 use
• Neutral Sentiment: Activist investor interest (Elliott) remains a background catalyst; Pepsi is implementing changes but has said full refranchising isn’t being pursued — keeps outcomes dependent on execution. Elliott stake & catalyst analysis
• Negative Sentiment: Snack price cuts — and earlier consumer backlash over pricing — could pressure near-term gross margins until volume gains offset the lower pricing. PepsiCo to cut some US snack prices

Analysts Set New Price Targets

PEP has been the subject of a number of research reports. DZ Bank raised shares of PepsiCo from a “hold” rating to a “buy” rating and set a $167.00 target price for the company in a research note on Tuesday, October 21st. Bank of America boosted their price objective on PepsiCo from $150.00 to $155.00 and gave the stock a “neutral” rating in a research note on Friday, October 10th. Rothschild & Co Redburn raised their target price on PepsiCo from $117.00 to $120.00 and gave the company a “sell” rating in a research report on Monday, December 15th. The Goldman Sachs Group boosted their price target on PepsiCo from $165.00 to $167.00 and gave the stock a “buy” rating in a research report on Friday, October 10th. Finally, Jefferies Financial Group raised their price objective on PepsiCo from $163.00 to $164.00 and gave the company a “hold” rating in a report on Tuesday, December 9th. Eight analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $167.28.

PepsiCo Stock Up 1.8%

Shares of NASDAQ:PEP opened at $170.49 on Friday. PepsiCo, Inc. has a 52-week low of $127.60 and a 52-week high of $170.75. The stock has a market cap of $233.00 billion, a P/E ratio of 28.42, a PEG ratio of 3.19 and a beta of 0.40. The business has a fifty day moving average of $147.65 and a two-hundred day moving average of $146.30. The company has a quick ratio of 0.72, a current ratio of 0.85 and a debt-to-equity ratio of 2.06.

PepsiCo (NASDAQ:PEP) last announced its quarterly earnings results on Tuesday, February 3rd. The company reported $2.26 earnings per share for the quarter, beating the consensus estimate of $2.24 by $0.02. PepsiCo had a net margin of 8.77% and a return on equity of 57.92%. The firm had revenue of $29.34 billion for the quarter, compared to analysts’ expectations of $28.96 billion. During the same quarter in the previous year, the company posted $1.96 EPS. The company’s revenue was up 5.6% compared to the same quarter last year. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. On average, research analysts expect that PepsiCo, Inc. will post 8.3 earnings per share for the current year.

PepsiCo announced that its board has approved a share buyback plan on Tuesday, February 3rd that allows the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization allows the company to buy up to 4.7% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.

PepsiCo Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Friday, March 6th will be issued a dividend of $1.4225 per share. The ex-dividend date is Friday, March 6th. This represents a $5.69 dividend on an annualized basis and a dividend yield of 3.3%. PepsiCo’s dividend payout ratio (DPR) is currently 94.83%.

PepsiCo Profile

PepsiCo, Inc (NASDAQ: PEP) is a multinational food and beverage company headquartered in Purchase, New York. The company develops, manufactures, markets and sells a broad portfolio of branded food and beverage products, including carbonated and noncarbonated soft drinks, bottled water, sports drinks, juices, ready-to-drink teas and coffees, salty snacks, cereals, and other convenient foods. Its leading consumer brands include Pepsi, Mountain Dew, Gatorade, Tropicana, Quaker, Lay’s, Doritos and Cheetos, among others.

Formed through the 1965 merger of Pepsi-Cola and Frito-Lay, PepsiCo has grown into a global business with integrated manufacturing, distribution and marketing operations.