Focused Investors LLC Decreases Stock Holdings in PepsiCo, Inc. $PEP

Focused Investors LLC trimmed its position in PepsiCo, Inc. (NASDAQ:PEP) by 2.5% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 1,072,750 shares of the company’s stock after selling 28,000 shares during the quarter. PepsiCo accounts for 5.4% of Focused Investors LLC’s holdings, making the stock its 8th largest holding. Focused Investors LLC’s holdings in PepsiCo were worth $166,587,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in PEP. Gunpowder Capital Management LLC dba Oliver Wealth Management acquired a new position in shares of PepsiCo during the 4th quarter worth $26,000. Swiss RE Ltd. acquired a new stake in PepsiCo in the fourth quarter valued at about $28,000. MH & Associates Securities Management Corp ADV bought a new position in PepsiCo in the fourth quarter valued at about $29,000. Imprint Wealth LLC bought a new position in PepsiCo in the third quarter valued at about $31,000. Finally, Strategic Advocates LLC acquired a new position in PepsiCo during the third quarter worth about $33,000. 73.07% of the stock is currently owned by institutional investors.

Key Headlines Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo’s management is being spotlighted for using AI and digital tools to improve operations, strengthen food-system resilience, and support a broader global transformation strategy, which could bolster long-term efficiency and growth. Building a Lighthouse Company: Athina Kanioura on Leading PepsiCo’s Global Transformation
• Positive Sentiment: PepsiCo is also being discussed as a beneficiary of AI adoption across food and beverage companies, which may support productivity and growth initiatives over time. PepsiCo, Danone & Nestlé: how AI is powering F&B growth
• Positive Sentiment: A new Doritos Loaded commercial featuring Gordon Ramsay and Formula 1 driver George Russell underscores PepsiCo’s willingness to spend on high-profile marketing to support snack brand visibility and demand. PepsiCo: Doritos Loaded Unveils High-Octane Commercial Starring Chef Gordon Ramsay And Mercedes-AMG Petronas F1 Driver George Russell
• Neutral Sentiment: Several recent commentary pieces focus on PepsiCo’s valuation and dividend appeal, with one suggesting the shares may trade below fair value while another argues for caution and calls the stock a possible sell, leaving investor sentiment mixed. PepsiCo (PEP) Stock Could Be 46.9% Below Fair Value as Views Split
• Neutral Sentiment: PepsiCo remains a frequent feature in dividend-investing discussions, reinforcing its reputation as a defensive income stock rather than signaling a new catalyst. PepsiCo: Scoop Up This Dividend Growth Legend Now
• Negative Sentiment: Bearish market commentary argues PepsiCo has lagged the broader market since late 2025, which may weigh on sentiment if investors continue to favor faster-growing alternatives. 3 Reasons to Sell PEP and 1 Stock to Buy Instead

PepsiCo Stock Performance

NASDAQ:PEP opened at $142.02 on Monday. The company has a current ratio of 0.90, a quick ratio of 0.72 and a debt-to-equity ratio of 1.98. The stock has a market capitalization of $194.11 billion, a price-to-earnings ratio of 22.30, a PEG ratio of 2.83 and a beta of 0.35. The firm has a fifty day simple moving average of $149.90 and a two-hundred day simple moving average of $152.26. PepsiCo, Inc. has a 12 month low of $127.60 and a 12 month high of $171.48.

PepsiCo (NASDAQ:PEP) last posted its quarterly earnings results on Wednesday, April 15th. The company reported $1.61 earnings per share for the quarter, topping analysts’ consensus estimates of $1.55 by $0.06. PepsiCo had a return on equity of 56.61% and a net margin of 9.15%.The business had revenue of $19.44 billion for the quarter, compared to the consensus estimate of $18.89 billion. During the same period in the prior year, the business earned $1.48 EPS. The firm’s revenue for the quarter was up 8.5% on a year-over-year basis. Analysts expect that PepsiCo, Inc. will post 8.63 EPS for the current fiscal year.

PepsiCo Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Friday, June 5th will be issued a dividend of $1.48 per share. The ex-dividend date of this dividend is Friday, June 5th. This represents a $5.92 dividend on an annualized basis and a yield of 4.2%. This is a positive change from PepsiCo’s previous quarterly dividend of $1.42. PepsiCo’s payout ratio is presently 92.94%.

Analyst Ratings Changes

PEP has been the subject of several research reports. TD Cowen dropped their price objective on shares of PepsiCo from $165.00 to $150.00 and set a “hold” rating for the company in a research note on Friday, June 12th. HSBC boosted their target price on shares of PepsiCo from $175.00 to $176.00 and gave the stock a “hold” rating in a research note on Friday, April 17th. Wall Street Zen downgraded shares of PepsiCo from a “buy” rating to a “hold” rating in a report on Saturday, April 18th. The Goldman Sachs Group increased their price target on PepsiCo from $180.00 to $183.00 and gave the company a “buy” rating in a research note on Friday, April 17th. Finally, Rothschild & Co Redburn boosted their price objective on PepsiCo from $130.00 to $132.00 in a research report on Monday, May 11th. Eight equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $167.10.

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.