Morningstar Investment Management LLC Has $9.11 Million Holdings in PepsiCo, Inc. $PEP

Morningstar Investment Management LLC lessened its holdings in PepsiCo, Inc. (NASDAQ:PEP) by 40.9% during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 63,448 shares of the company’s stock after selling 43,886 shares during the quarter. Morningstar Investment Management LLC’s holdings in PepsiCo were worth $9,106,000 as of its most recent SEC filing.

Other institutional investors have also made changes to their positions in the company. MH & Associates Securities Management Corp ADV bought a new stake in shares of PepsiCo in the fourth quarter worth $29,000. Imprint Wealth LLC bought a new stake in shares of PepsiCo in the third quarter worth $31,000. Strategic Advocates LLC bought a new stake in shares of PepsiCo in the third quarter worth $33,000. Mowery & Schoenfeld Wealth Management LLC bought a new stake in shares of PepsiCo in the fourth quarter worth $33,000. Finally, Highline Wealth Partners LLC lifted its position in shares of PepsiCo by 56.3% in the fourth quarter. Highline Wealth Partners LLC now owns 250 shares of the company’s stock worth $36,000 after purchasing an additional 90 shares in the last quarter. Institutional investors own 73.07% of the company’s stock.

Analyst Ratings Changes

A number of analysts have recently commented on PEP shares. BNP Paribas Exane boosted their price objective on shares of PepsiCo from $191.00 to $195.00 and gave the stock an “outperform” rating in a research report on Friday, April 17th. Wells Fargo & Company cut their price objective on shares of PepsiCo from $165.00 to $160.00 and set an “equal weight” rating on the stock in a research report on Monday, May 18th. Piper Sandler upped their price target on shares of PepsiCo from $172.00 to $181.00 and gave the stock an “overweight” rating in a research report on Thursday, March 12th. Rothschild & Co Redburn upped their price target on shares of PepsiCo from $130.00 to $132.00 in a research report on Monday, May 11th. Finally, The Goldman Sachs Group upped their price target on shares of PepsiCo from $180.00 to $183.00 and gave the stock a “buy” rating in a research report on Friday, April 17th. Eight research analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $170.11.

Key Headlines Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo extended and revised its licensing and bottling arrangements with Varun Beverages in India through 2049, while also giving the partner more freedom to pursue non-PepsiCo ventures. The longer-term deal should help protect distribution in a key growth market and reduce partnership uncertainty. Varun Beverages, PepsiCo revise licencing deal
• Positive Sentiment: PepsiCo is also being highlighted by market commentary as a strong growth stock and a defensive blue-chip income name, reinforcing investor interest in the company’s earnings stability and dividend profile. Here’s Why PepsiCo (PEP) is a Strong Growth Stock
• Neutral Sentiment: PepsiCo launched new products and initiatives, including a functional ready-to-drink tea and a greenhouse program in Asia-Pacific, which support its innovation story but are unlikely to move the stock on their own. PepsiCo adds functional RTD tea
• Neutral Sentiment: The company is also moving ahead with sustainability and regenerative agriculture efforts, which may help long-term brand positioning but are not immediate earnings catalysts. PepsiCo enters regen ag pact with LDC
• Negative Sentiment: Industry coverage continues to flag margin pressure from higher sugar, packaging and freight costs, along with tariff uncertainty. That backdrop could weigh on profitability for PepsiCo and other soft drink makers if costs stay elevated. 5 Soft Drinks Stocks to Track Amid Margin & Tariff Pressures
• Negative Sentiment: PepsiCo said it will raise prices on some smaller chip bags to offset increased costs. While this may help margins, it can also pressure volume and suggests inflation remains a headwind. Lay’s and Doritos maker to raise prices on small bags of chips

PepsiCo Stock Performance

NASDAQ PEP opened at $150.57 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 firm’s fifty day moving average price is $154.17 and its two-hundred day moving average price is $152.52. PepsiCo, Inc. has a 1 year low of $127.60 and a 1 year high of $171.48. The firm has a market capitalization of $205.79 billion, a P/E ratio of 23.64, a price-to-earnings-growth ratio of 2.73 and a beta of 0.38.

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

PepsiCo Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders of record on Friday, June 5th will be given a $1.48 dividend. The ex-dividend date of this dividend is Friday, June 5th. This is a boost from PepsiCo’s previous quarterly dividend of $1.42. This represents a $5.92 annualized dividend and a dividend yield of 3.9%. PepsiCo’s payout ratio is currently 89.32%.

PepsiCo declared that its Board of Directors has authorized a stock buyback plan on Tuesday, February 3rd that authorizes the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization authorizes the company to purchase up to 4.7% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company’s board of directors believes its shares are undervalued.

PepsiCo Company 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.