Korea Investment CORP Invests $187.12 Million in PepsiCo, Inc. $PEP

Korea Investment CORP acquired a new stake in shares of PepsiCo, Inc. (NASDAQ:PEP) in the second quarter, HoldingsChannel reports. The institutional investor acquired 1,381,945 shares of the company’s stock, valued at approximately $187,115,000.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. EP Wealth Advisors LLC bought a new stake in PepsiCo during the 2nd quarter worth approximately $50,347,000. M1 Capital Management LLC bought a new position in shares of PepsiCo in the second quarter worth approximately $926,000. Rakuten Securities Inc. bought a new position in shares of PepsiCo in the second quarter worth approximately $324,000. Bard Associates Inc. purchased a new stake in shares of PepsiCo in the second quarter worth $218,000. Finally, Pinnacle West Asset Management Inc. bought a new stake in shares of PepsiCo during the 2nd quarter valued at $795,000. 73.07% of the stock is owned by hedge funds and other institutional investors.

PepsiCo News Summary

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Jim Cramer highlighted PepsiCo as a defensive large-cap opportunity, citing its roughly 4% dividend yield and the potential benefit of lower oil prices. Cheaper fuel could support consumer spending and reduce transportation and operating costs. Jim Cramer Shares Why PepsiCo Caught His Eye During Consumer Headwinds
• Positive Sentiment: Investors remain attracted to PepsiCo’s 54-year record of consecutive dividend increases and comparatively reasonable valuation. Improving international results could help offset continuing weakness in North America, supporting the case for income-oriented investors. Most Investors Overlook This. I’m Buying PepsiCo for Its Dividend
• Positive Sentiment: PepsiCo is pursuing growth beyond its traditional snack portfolio by introducing and emphasizing global flavors, a strategy that could broaden consumer appeal and create new avenues for international growth. PepsiCo Bets on Global Flavors to Grow Beyond Snacks
• Neutral Sentiment: Commentary describing consumer staples as a lagging sector frames PepsiCo as a value opportunity rather than a near-term growth leader. The investment appeal depends on the stock’s discounted valuation, dividend support and execution on its recovery plans. The Consumer Staples Sector Is Lagging the S&P 500
• Negative Sentiment: Texas authorities are investigating PepsiCo and Kraft Heinz over claims involving avocado oil. The outcome and scope of the investigation are unclear, but regulatory scrutiny could create legal, reputational or product-related costs. PepsiCo, Kraft Heinz Under Investigation in Texas Over Avocado Oil Claims
• Negative Sentiment: Analysts note that PepsiCo’s dividend faces pressure from slower growth, persistent North American weakness and a more difficult recovery than the commodity-driven risks facing Chevron. This raises questions about future payout growth, despite the company’s long dividend history. Chevron or PepsiCo: Whose Dividend Is Standing on Thinner Ice?

Analyst Ratings Changes

PEP has been the subject of several recent analyst reports. Sanford C. Bernstein set a $134.00 target price on shares of PepsiCo in a report on Friday, July 10th. JPMorgan Chase & Co. decreased their price target on PepsiCo from $178.00 to $170.00 and set an “overweight” rating on the stock in a report on Wednesday, July 1st. Piper Sandler set a $176.00 price objective on PepsiCo in a research report on Thursday, July 9th. Weiss Ratings reiterated a “hold (c)” rating on shares of PepsiCo in a research report on Monday, July 6th. Finally, Deutsche Bank Aktiengesellschaft set a $155.00 target price on PepsiCo in a research note on Friday, July 10th. Seven equities research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $157.90.

Insider Activity

In related news, EVP David Flavell sold 2,900 shares of the stock in a transaction dated Monday, July 27th. The shares were sold at an average price of $139.54, for a total value of $404,666.00. Following the sale, the executive vice president directly owned 74,825 shares of the company’s stock, valued at $10,441,080.50. This represents a 3.73% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 0.12% of the company’s stock.

PepsiCo Stock Up 1.0%

NASDAQ PEP opened at $141.07 on Friday. The stock has a 50 day moving average price of $139.86 and a 200-day moving average price of $149.51. PepsiCo, Inc. has a one year low of $133.73 and a one year high of $171.48. The company has a debt-to-equity ratio of 1.91, a quick ratio of 0.74 and a current ratio of 0.93. The company has a market capitalization of $192.55 billion, a P/E ratio of 18.49, a P/E/G ratio of 3.07 and a beta of 0.35.

PepsiCo (NASDAQ:PEP) last released its quarterly earnings results on Thursday, July 9th. The company reported $2.20 earnings per share (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 company had revenue of $24.18 billion for the quarter, compared to the consensus estimate of $23.95 billion. During the same quarter in the prior year, the firm earned $0.92 earnings per share. PepsiCo’s revenue was up 6.4% on a year-over-year basis. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. As a group, equities analysts predict that PepsiCo, Inc. will post 8.57 EPS for the current fiscal year.

PepsiCo Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Friday, September 4th will be paid a $1.48 dividend. The ex-dividend date of this dividend is Friday, September 4th. This represents a $5.92 annualized dividend and a dividend yield of 4.2%. PepsiCo’s dividend payout ratio is currently 77.59%.

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.