Fifth Third Bancorp Increases Holdings in PepsiCo, Inc. $PEP

Fifth Third Bancorp boosted its position in shares of PepsiCo, Inc. (NASDAQ:PEP) by 80.2% in the first quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 1,026,818 shares of the company’s stock after acquiring an additional 456,941 shares during the quarter. Fifth Third Bancorp owned 0.08% of PepsiCo worth $159,455,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently made changes to their positions in PEP. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new stake in PepsiCo during the fourth quarter valued at about $26,000. Swiss RE Ltd. bought a new position in shares of PepsiCo in the fourth quarter worth about $28,000. MH & Associates Securities Management Corp ADV purchased a new position in PepsiCo in the 4th quarter worth approximately $29,000. Networth Advisors LLC boosted its position in shares of PepsiCo by 2,857.1% during the first quarter. Networth Advisors LLC now owns 207 shares of the company’s stock worth $32,000 after acquiring an additional 200 shares during the last quarter. Finally, Vermillion Wealth Management Inc. lifted its stake in PepsiCo by 99.1% in the 1st quarter. Vermillion Wealth Management Inc. now owns 217 shares of the company’s stock worth $34,000 after purchasing an additional 108 shares in the last quarter. Hedge funds and other institutional investors own 73.07% of the company’s stock.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo’s Q2 revenue topped Wall Street estimates, supported by stronger international growth and improved volumes in some markets.
• Positive Sentiment: The company reaffirmed its full-year guidance, which can help reassure investors that the turnaround plan is still on track.
• Positive Sentiment: PepsiCo’s long dividend track record remains a draw for income investors, with the company continuing its streak of annual increases.
• Neutral Sentiment: Several firms, including RBC, TD Cowen, Wells Fargo, Citi, and others, lowered price targets after the report, but most still kept neutral or hold-type ratings. Citi Analyst Downgrades PepsiCo Stock (PEP) Despite Q2 Beat, Slashes Target by 15%
• Neutral Sentiment: Analysts remain split between PepsiCo’s dividend/stability appeal and concerns about valuation, margin pressure, and a slow U.S. recovery. PepsiCo’s $200 Billion Stability Play Is Attracting Dividend Investors
• Negative Sentiment: Investors are worried that soft North American snack and beverage demand, plus higher commodity and fuel costs, could keep earnings momentum muted.
• Negative Sentiment: Media coverage compared PepsiCo unfavorably with Coca-Cola, highlighting market-share pressure and a more difficult turnaround narrative for PEP shares.

Analyst Ratings Changes

Several brokerages recently weighed in on PEP. Citigroup cut shares of PepsiCo from a “buy” rating to a “neutral” rating and reduced their price target for the stock from $170.00 to $145.00 in a research report on Friday. BNP Paribas Exane cut their target price on PepsiCo from $195.00 to $183.00 and set an “outperform” rating on the stock in a research note on Wednesday. TD Cowen lowered their target price on shares of PepsiCo from $150.00 to $145.00 and set a “hold” rating for the company in a research note on Friday. Deutsche Bank Aktiengesellschaft set a $155.00 target price on shares of PepsiCo in a research report on Friday. Finally, Jefferies Financial Group decreased their price target on shares of PepsiCo from $162.00 to $152.00 and set a “hold” rating for the company in a research note on Friday. Seven research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $157.70.

PepsiCo Stock Down 0.3%

Shares of PEP stock traded down $0.48 on Friday, hitting $137.38. The stock had a trading volume of 9,071,253 shares, compared to its average volume of 9,517,085. The company has a quick ratio of 0.72, a current ratio of 0.93 and a debt-to-equity ratio of 1.91. PepsiCo, Inc. has a one year low of $133.75 and a one year high of $171.48. The business has a 50 day moving average price of $145.42 and a 200 day moving average price of $151.46. The company has a market cap of $187.77 billion, a PE ratio of 18.01, a P/E/G ratio of 2.77 and a beta of 0.36.

PepsiCo (NASDAQ:PEP) last posted its earnings results on Thursday, July 9th. The company reported $2.20 EPS for the quarter, beating analysts’ consensus estimates of $2.19 by $0.01. PepsiCo had a net margin of 10.78% and a return on equity of 54.63%. The business had revenue of $24.18 billion for the quarter, compared to the consensus estimate of $23.95 billion. During the same quarter last year, the firm posted $0.92 EPS. The company’s revenue for the quarter was up 6.4% on a year-over-year basis. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. Research analysts anticipate that PepsiCo, Inc. will post 8.59 earnings per share for the current fiscal year.

PepsiCo Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Friday, June 5th were paid a $1.48 dividend. This represents a $5.92 dividend on an annualized basis and a yield of 4.3%. This is a positive change from PepsiCo’s previous quarterly dividend of $1.42. The ex-dividend date of this dividend was Friday, June 5th. PepsiCo’s payout ratio is presently 92.94%.

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.