PepsiCo (NASDAQ:PEP) Trading Down 5.2% After Analyst Downgrade

PepsiCo, Inc. (NASDAQ:PEP)’s share price traded down 5.2% during trading on Thursday after BNP Paribas Exane lowered their price target on the stock from $195.00 to $183.00. BNP Paribas Exane currently has an outperform rating on the stock. PepsiCo traded as low as $134.69 and last traded at $135.0620. Approximately 2,742,789 shares traded hands during trading, a decline of 65% from the average session volume of 7,825,453 shares. The stock had previously closed at $142.51.

PEP has been the topic of several other research reports. Evercore lifted their price target on shares of PepsiCo from $165.00 to $170.00 in a research note on Friday, April 17th. The Goldman Sachs Group raised their target price on PepsiCo from $180.00 to $183.00 and gave the company a “buy” rating in a research note on Friday, April 17th. Bank of America dropped their target price on PepsiCo from $173.00 to $164.00 and set a “neutral” rating on the stock in a research report on Thursday, June 25th. Rothschild & Co Redburn increased their price target on PepsiCo from $130.00 to $132.00 in a report on Monday, May 11th. Finally, Wells Fargo & Company lowered their price objective on PepsiCo from $160.00 to $150.00 and set an “equal weight” rating for the company in a research note on Friday, June 5th. Eight analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $164.40.

Key Stories Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo beat revenue expectations, with global demand and international markets offsetting weaker North American sales. 5 Things to Know Before the Stock Market Opens on Thursday
• Positive Sentiment: Investors appear to be rewarding signs that PepsiCo’s turnaround efforts, including pricing actions and product changes, are helping stabilize performance. PepsiCo Stock Rises After Earnings Beat as Turnaround Plan Takes Hold

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the company. Brighton Jones LLC lifted its stake in PepsiCo by 12.4% during the fourth quarter. Brighton Jones LLC now owns 59,392 shares of the company’s stock worth $9,031,000 after purchasing an additional 6,574 shares during the last quarter. Caxton Associates LLP acquired a new stake in shares of PepsiCo during the first quarter worth $251,000. Sivia Capital Partners LLC raised its holdings in shares of PepsiCo by 138.5% during the second quarter. Sivia Capital Partners LLC now owns 6,527 shares of the company’s stock worth $862,000 after purchasing an additional 3,790 shares during the period. Schnieders Capital Management LLC. lifted its position in shares of PepsiCo by 10.1% in the 2nd quarter. Schnieders Capital Management LLC. now owns 38,164 shares of the company’s stock worth $5,039,000 after buying an additional 3,502 shares during the last quarter. Finally, Sei Investments Co. boosted its holdings in shares of PepsiCo by 45.5% in the 2nd quarter. Sei Investments Co. now owns 536,133 shares of the company’s stock valued at $70,789,000 after buying an additional 167,707 shares during the period. Institutional investors own 73.07% of the company’s stock.

PepsiCo Trading Down 4.7%

The firm has a market cap of $185.71 billion, a P/E ratio of 21.29, a P/E/G ratio of 2.92 and a beta of 0.36. The business’s 50-day moving average is $146.14 and its two-hundred day moving average is $151.63. The company has a current ratio of 0.90, a quick ratio of 0.72 and a debt-to-equity ratio of 1.98.

PepsiCo (NASDAQ:PEP) last issued its earnings results on Wednesday, July 8th. The company reported $2.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.19 by $0.01. PepsiCo had a net margin of 9.15% and a return on equity of 56.61%. The firm had revenue of $24.18 billion for the quarter, compared to analysts’ expectations of $23.95 billion. During the same quarter last year, the company posted $0.92 earnings per share. PepsiCo’s revenue was up 6.4% on a year-over-year basis. As a group, analysts expect that PepsiCo, Inc. will post 8.62 earnings per share for the current fiscal year.

PepsiCo Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Friday, June 5th were issued a $1.48 dividend. 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. This represents a $5.92 annualized dividend and a dividend yield of 4.4%. PepsiCo’s dividend payout ratio (DPR) is 92.94%.

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.