Cullinan Associates Inc. Grows Position in PepsiCo, Inc. $PEP

Cullinan Associates Inc. increased its position in shares of PepsiCo, Inc. (NASDAQ:PEP) by 20.1% during the fourth quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 32,893 shares of the company’s stock after buying an additional 5,500 shares during the quarter. Cullinan Associates Inc.’s holdings in PepsiCo were worth $4,721,000 as of its most recent SEC filing.

Other hedge funds also recently added to or reduced their stakes in the company. JCIC Asset Management Inc. acquired a new stake in PepsiCo during the 3rd quarter worth approximately $27,000. MH & Associates Securities Management Corp ADV acquired a new position in PepsiCo during the fourth quarter worth $29,000. Imprint Wealth LLC acquired a new position in PepsiCo during the third quarter worth $31,000. Strategic Advocates LLC acquired a new position in PepsiCo during the third quarter worth $33,000. Finally, Mowery & Schoenfeld Wealth Management LLC acquired a new position in PepsiCo during the fourth quarter worth $33,000. 73.07% of the stock is owned by institutional investors and hedge funds.

PepsiCo Trading Up 2.1%

NASDAQ:PEP opened at $158.49 on Friday. The company has a quick ratio of 0.72, a current ratio of 0.90 and a debt-to-equity ratio of 1.98. The business’s 50 day moving average is $157.96 and its two-hundred day moving average is $152.40. PepsiCo, Inc. has a 52 week low of $127.60 and a 52 week high of $171.48. The company has a market cap of $216.62 billion, a PE ratio of 24.88, a P/E/G ratio of 2.84 and a beta of 0.40.

PepsiCo (NASDAQ:PEP) last announced its quarterly earnings results on Thursday, April 16th. 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 analysts’ expectations of $18.89 billion. During the same period in the prior year, the firm earned $1.48 EPS. The business’s quarterly revenue was up 8.5% on a year-over-year basis. PepsiCo has set its FY 2026 guidance at 8.465-8.628 EPS. On average, analysts predict that PepsiCo, Inc. will post 8.63 EPS for the current year.

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

PepsiCo Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Shareholders of record on Friday, March 6th were given a $1.4225 dividend. The ex-dividend date of this dividend was Friday, March 6th. This represents a $5.69 annualized dividend and a yield of 3.6%. PepsiCo’s dividend payout ratio (DPR) is currently 89.32%.

Wall Street Analyst Weigh In

A number of equities analysts have recently weighed in on PEP shares. Royal Bank Of Canada cut their price target on PepsiCo from $165.00 to $163.00 and set a “sector perform” rating for the company in a report on Thursday, April 9th. Deutsche Bank Aktiengesellschaft boosted their price target on PepsiCo from $169.00 to $173.00 and gave the company a “buy” rating in a research report on Friday, April 17th. Weiss Ratings reissued a “hold (c)” rating on shares of PepsiCo in a research report on Wednesday, April 8th. Barclays upped their target price on PepsiCo from $154.00 to $158.00 and gave the stock an “equal weight” rating in a research report on Monday, April 20th. Finally, Argus raised PepsiCo to a “hold” rating in a research report on Tuesday, February 17th. Eight investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $170.26.

Key PepsiCo News

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo deployed 50 electric delivery trucks in Fresno as part of a broader push to electrify its fleet, which can lower long‑term fuel & maintenance costs and supports ESG targets that many institutional investors value. Fresno PepsiCo rolls out 50 electric delivery trucks, aims to reduce emissions
• Positive Sentiment: PepsiCo led a multi‑partner renewable power pact and signed a 10‑year agreement to decarbonize its European value chain — a move that can reduce long‑run energy cost volatility and improve ESG credentials. PepsiCo leads renewable power pact with suppliers to decarbonise across Europe
• Positive Sentiment: Management outlined a 2026 growth plan emphasizing cost cuts and an innovation push — a clear signal it’s focusing on margin expansion and top‑line product innovation that could support earnings growth. PepsiCo sets 2026 growth plan with cost cuts, innovation push
• Positive Sentiment: Marketing/retail initiatives (e.g., Walmart Connect strategy) and recognition as a dividend “king” support brand strength and income investor appeal. PepsiCo CMO: Walmart Connect Turns Retail Media Into ‘Launch Media’
• Neutral Sentiment: PepsiCo plans to end its bottling/distribution deal with Royal Unibrew in parts of Northern Europe by 2028 — this will change production and go‑to‑market arrangements and could create near‑term transition costs but may improve control/returns longer term. PepsiCo Bottling Shift In Northern Europe And What It Means For Valuation
• Neutral Sentiment: Tesla beginning mass production of Semi trucks is industry news that could affect fleet electrification options for PepsiCo (a potential supplier choice), but the near‑term impact on PepsiCo’s operations remains uncertain. Tesla finally gets Semi production moving at scale
• Negative Sentiment: A new consumer lawsuit alleges ultraprocessed packaged foods (naming PepsiCo among defendants) could be framed as addictive — a legal/regulatory risk that could increase litigation costs or marketing restrictions if similar suits gain traction. Food giants hit with consumer lawsuit calling ultraprocessed ingredients addictive
• Negative Sentiment: Erste Group trimmed FY2026/27 EPS estimates slightly — a modest analyst downgrade that can weigh on sentiment even if consensus remains broadly stable. Analyst estimate changes reported via MarketBeat

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.