PepsiCo (NASDAQ:PEP) Trading 0.6% Higher – Time to Buy?

PepsiCo, Inc. (NASDAQ:PEP)’s stock price shot up 0.6% on Wednesday . The stock traded as high as $145.48 and last traded at $144.96. 1,092,136 shares traded hands during mid-day trading, a decline of 84% from the average session volume of 6,743,081 shares. The stock had previously closed at $144.10.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. Deutsche Bank Aktiengesellschaft decreased their price target on shares of PepsiCo from $184.00 to $178.00 and set a “buy” rating on the stock in a research report on Wednesday, January 22nd. Piper Sandler began coverage on shares of PepsiCo in a report on Tuesday, January 7th. They issued an “overweight” rating and a $171.00 target price on the stock. Evercore ISI cut their price target on PepsiCo from $180.00 to $160.00 in a report on Tuesday, February 4th. Wells Fargo & Company reduced their target price on shares of PepsiCo from $155.00 to $150.00 and set an “equal weight” rating on the stock in a report on Wednesday, February 5th. Finally, Royal Bank of Canada initiated coverage on shares of PepsiCo in a research note on Tuesday, February 4th. They set a $172.00 price objective for the company. One equities research analyst has rated the stock with a sell rating, twelve have issued a hold rating and eight have assigned a buy rating to the stock. According to data from MarketBeat.com, PepsiCo presently has a consensus rating of “Hold” and an average target price of $171.47.

PepsiCo Stock Performance

The firm has a market cap of $199.05 billion, a P/E ratio of 20.90, a price-to-earnings-growth ratio of 2.95 and a beta of 0.54. The firm’s fifty day moving average price is $149.16 and its 200 day moving average price is $162.60. The company has a debt-to-equity ratio of 2.05, a quick ratio of 0.65 and a current ratio of 0.82.

PepsiCo (NASDAQ:PEP) last posted its earnings results on Tuesday, February 4th. The company reported $1.96 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.94 by $0.02. PepsiCo had a return on equity of 58.87% and a net margin of 10.43%. The company had revenue of $27.78 billion for the quarter, compared to analyst estimates of $27.89 billion. During the same quarter in the previous year, the firm earned $1.78 earnings per share. The firm’s quarterly revenue was down .2% compared to the same quarter last year. Sell-side analysts expect that PepsiCo, Inc. will post 8.34 EPS for the current fiscal year.

PepsiCo Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, March 31st. Stockholders of record on Friday, March 7th will be paid a dividend of $1.355 per share. The ex-dividend date is Friday, March 7th. This represents a $5.42 dividend on an annualized basis and a dividend yield of 3.73%. PepsiCo’s payout ratio is 77.99%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the stock. Highline Wealth Partners LLC acquired a new position in PepsiCo during the third quarter valued at $28,000. WealthTrak Capital Management LLC acquired a new position in shares of PepsiCo in the 4th quarter valued at about $28,000. Collier Financial purchased a new stake in shares of PepsiCo in the fourth quarter worth about $28,000. Legacy Investment Solutions LLC purchased a new position in PepsiCo during the third quarter valued at approximately $31,000. Finally, Rakuten Securities Inc. lifted its holdings in PepsiCo by 93.2% in the third quarter. Rakuten Securities Inc. now owns 199 shares of the company’s stock valued at $34,000 after acquiring an additional 96 shares during the period. Institutional investors and hedge funds own 73.07% of the company’s stock.

PepsiCo Company Profile

PepsiCo, Inc engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through seven segments: Frito-Lay North America; Quaker Foods North America; PepsiCo Beverages North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia and New Zealand and China Region.