PepsiCo, Inc.
- Open
- 137.52
- Day high
- 137.58
- Day low
- 133.95
- Prev close
- 137.12
- Volume
- 8.5M
- Mkt cap
- $185.1B
- P/E (TTM)
- 17.7
- EPS (TTM)
- $7.64
- P/B
- 8.4
- P/S
- 1.9
- Yield
- 4.24%
- Per share
- $5.75
PepsiCo, Inc. (PEP) is a Consumer Defensive company listed on NASDAQ. The stock is down 5% over the past year.
PepsiCo, Inc. (PEP) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 14 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
PEP earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Jul 9, 2026 | $2.19 | $2.20 | +0.5% | $24.2B | +1.0% |
| Apr 16, 2026 | $1.54 | $1.61 | +4.5% | $19.4B | +2.6% |
| Feb 3, 2026 | $2.24 | $2.26 | +0.9% | $29.3B | +1.3% |
| Oct 9, 2025 | $2.26 | $2.29 | +1.3% | $23.9B | +0.4% |
| Jul 17, 2025 | $2.03 | $2.12 | +4.4% | $22.7B | +2.0% |
| Apr 24, 2025 | $1.49 | $1.48 | -0.7% | $17.9B | +0.9% |
| Feb 4, 2025 | $1.95 | $1.96 | +0.5% | $27.8B | -0.4% |
| Oct 8, 2024 | $2.29 | $2.31 | +0.9% | $23.3B | -2.3% |
| Jul 11, 2024 | $2.16 | $2.28 | +5.6% | $22.5B | -0.4% |
| Feb 9, 2024 | $1.72 | $1.78 | +3.5% | $27.9B | -1.9% |
| Oct 10, 2023 | $2.15 | $2.25 | +4.7% | $23.5B | -10.2% |
| Jul 13, 2023 | $1.96 | $2.09 | +6.6% | $22.3B | +12.7% |
PEP insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jul 2, 2026 | Willemsen Eugeneofficer: CEO, International Beverages | Grant | 809 | — |
| Jul 2, 2026 | Willemsen Eugeneofficer: CEO, International Beverages | Grant | 540 | — |
| May 8, 2026 | Gibbs David Wdirector | Grant | 534 | — |
| May 8, 2026 | Gibbs David Wdirector | Grant | 1,000 | — |
| Mar 6, 2026 | Willemsen Eugeneofficer: CEO, International Beverages | Sell | 2,702 | $164.44 |
| Mar 6, 2026 | Willemsen Eugeneofficer: CEO, International Beverages | Sell | 3,798 | $164.46 |
| Mar 4, 2026 | POHLAD ROBERT Cdirector | Grant | 200 | $138.96 |
| Dec 3, 2025 | Agbaje Segundirector | Grant | 401 | $149.51 |
| Dec 3, 2025 | Diamond Susan Mdirector | Grant | 535 | $149.51 |
| Dec 3, 2025 | VASELLA DANIELdirector | Grant | 401 | $149.51 |
| Dec 3, 2025 | Bailey Jenniferdirector | Grant | 401 | $149.51 |
| Dec 3, 2025 | Lewis Dave Jdirector | Grant | 401 | $149.51 |
| Nov 12, 2025 | Schmitt Stephen T.officer: EVP & Chief Financial Officer | Grant | 49,209 | $142.25 |
| Oct 3, 2025 | Lewis Dave Jdirector | Grant | 163 | — |
| Oct 3, 2025 | DUBLON DINAdirector | Grant | 1,397 | $143.14 |
Source: PEP SEC Form 4 filings, latest Jul 2, 2026. For informational purposes only — not investment advice.
See the full PEP insider & 13F page →PepsiCo, Inc. company profile
Overview
PepsiCo, Inc. (NASDAQ:PEP) is one of the world's largest food and beverage companies, founded in 1898 and headquartered in Purchase, New York. The company went public in 1972 and has evolved from its origins as a beverage manufacturer into a diversified consumer goods giant operating across multiple product categories. Today, PepsiCo operates through seven global segments spanning North America, Latin America, Europe, Africa, Middle East, South Asia, and Asia Pacific regions, serving consumers in over 200 countries and territories with some of the world's most recognizable brands.
Business
PepsiCo operates in the global food and beverage industry, manufacturing and distributing a diverse portfolio of products across two primary categories: beverages and convenient foods. The company's business is structured around geographic segments that reflect its global reach and local market focus. The beverage segment includes carbonated soft drinks (Pepsi, Mountain Dew, 7UP), sports drinks (Gatorade), energy drinks (Rockstar), ready-to-drink teas and coffees, juices, and water products. Gatorade dominates the sports drink category, while Pepsi competes directly with Coca-Cola in the cola market. The energy drink portfolio has been expanding through brands like Rockstar and partnerships with companies like Celsius. The convenient foods segment is anchored by Frito-Lay, which produces and distributes salty snacks including potato chips (Lay's), corn chips (Fritos, Doritos), tortilla chips (Tostitos), cheese snacks (Cheetos), and various dips and spreads. This segment also includes Quaker Foods, offering cereals, oatmeal, granola bars, rice cakes, and other grain-based products that serve the breakfast and snacking occasions. Based on recent financial data, the company generates approximately 60% of its revenue from food products and 40% from beverages. Frito-Lay North America represents the largest single segment, contributing roughly 25-30% of total company revenue, while the international business has grown to nearly $40 billion in annual revenue, representing about 40% of the total business. The North American beverage business accounts for approximately 20-25% of total revenue. The company serves multiple channels including grocery stores, convenience stores, mass merchandisers, drug stores, foodservice customers, vending machines, and increasingly, e-commerce platforms. Products are distributed through direct-store-delivery systems, customer warehouses, and independent distributor networks, with some products sold directly to consumers through online channels.
Revenue model
PepsiCo generates revenue primarily through product sales across its food and beverage portfolio, operating on a traditional manufacturing and distribution business model. The company sells finished goods to retailers, distributors, and foodservice operators, who then sell to end consumers. Revenue is recognized when products are delivered to customers. The business model varies slightly by segment. In North America, PepsiCo typically owns the entire value chain from manufacturing to distribution, using direct-store-delivery systems that allow for better shelf management and customer relationships. Internationally, the company often works with bottling partners and distributors, though it maintains significant owned operations in key markets. Pricing power represents a critical revenue driver, with PepsiCo demonstrating ability to implement price increases across its portfolio, particularly during inflationary periods. Recent earnings calls indicate the company has successfully implemented pricing actions while managing volume impacts better than expected, suggesting strong brand equity and consumer loyalty. Several factors influence PepsiCo's profitability margins. Commodity costs for ingredients like corn, potatoes, sugar, and packaging materials directly impact gross margins, with the company using hedging strategies and productivity initiatives to manage these fluctuations. Labor costs and supply chain efficiency also significantly affect margins, leading to ongoing investments in automation and digital transformation. Consumer behavior trends present both opportunities and challenges. The growing health consciousness has driven portfolio evolution toward better-for-you products, zero-sugar beverages, and portion-controlled offerings. Conversely, the emergence of GLP-1 weight-loss medications represents a potential headwind for snack consumption, though management indicates limited direct impact observed to date. Competition intensity varies by category, with intense rivalry in beverages (particularly with Coca-Cola) potentially pressuring margins, while Frito-Lay enjoys stronger competitive positioning in salty snacks. International markets offer growth opportunities but face challenges from local competitors, currency fluctuations, and varying economic conditions across regions.
Competitive moat
PepsiCo possesses a strong but not impenetrable competitive moat built on several key pillars. The company's most significant advantage lies in its brand portfolio strength, with iconic global brands like Pepsi, Lay's, Gatorade, Doritos, and Cheetos that have decades of consumer recognition and loyalty. These brands command premium pricing and shelf space, creating barriers for new entrants. The company's distribution network and scale advantages represent another substantial moat component. PepsiCo's direct-store-delivery system in North America provides superior retail execution, shelf management, and customer relationships that are difficult for smaller competitors to replicate. The global manufacturing and distribution infrastructure creates significant cost advantages and barriers to entry, particularly in capital-intensive beverage production and snack manufacturing. Portfolio diversification across food and beverages, multiple price points, and geographic markets provides resilience that pure-play competitors lack. This diversification allows cross-subsidization of investments and reduces dependence on any single category or market, though it also creates complexity. However, the moat faces several challenges. In beverages, Coca-Cola remains a formidable competitor with similar scale and brand strength, leading to intense competitive dynamics. The rise of private label products and smaller, more agile brands focused on health and wellness trends poses ongoing threats, particularly as consumer preferences shift toward natural and organic options. Regulatory pressures around sugar content, packaging sustainability, and health claims could erode advantages over time. Additionally, the increasing importance of e-commerce and direct-to-consumer channels may diminish traditional distribution advantages, requiring significant investments in digital capabilities. The snack business (Frito-Lay) appears to have a stronger moat than beverages due to manufacturing complexity, established retail relationships, and fewer direct competitors of comparable scale. International markets present both opportunities to strengthen the moat through expansion and vulnerabilities to local competitors with better market knowledge and cost structures.
Risks & safety
PepsiCo demonstrates a moderate margin of safety with solid financial fundamentals but some leverage concerns. **Liquidity and Solvency:** - Cash and short-term investments of $8.5 billion provide adequate liquidity buffer - Current ratio of 0.82 indicates working capital constraints, though typical for the industry - Debt-to-equity ratio of 2.49 reflects significant leverage but manageable for a stable cash flow business - Strong operating cash flow of $12.5 billion annually supports debt service capabilities **Cash Flow Stability:** - Free cash flow of $7.2 billion in 2024 demonstrates solid cash generation - Seasonal working capital fluctuations cause quarterly variations (Q1 2025 showed negative $1.6 billion free cash flow) - Consistent dividend payments supported by reliable cash flows **Valuation Metrics:** - P/E ratio of 21.9 appears reasonable for a defensive consumer staples company - EV/EBITDA of 14.8 suggests fair valuation relative to stable cash flows - Price-to-book ratio of 11.6 reflects significant intangible asset value (brands) **Other Considerations:** - Diversified revenue streams across food/beverage and geographic markets reduce concentration risk - Mature markets limit high-growth potential but provide stability - Regulatory and health trend risks require ongoing portfolio adaptation investments
Recent development
PepsiCo has undergone significant strategic evolution over the past few years, focusing on portfolio transformation, operational efficiency, and international expansion. The company has systematically shifted toward healthier product offerings, investing heavily in zero-sugar beverages, better-for-you snacks, and functional products that align with changing consumer preferences. A major strategic initiative has been the international business expansion, which has grown to nearly $40 billion in revenue and serves as the primary growth engine. The company has invested significantly in capacity, talent, and go-to-market strategies across emerging markets, with particular success in Europe, India, and Brazil, while navigating challenges in China and other regions. Operational excellence initiatives have centered on digital transformation, automation, and supply chain optimization. The company has implemented global capability centers, advanced analytics, and productivity programs designed to create cost savings that can be reinvested in brand building and market expansion. These efforts include systematic automation of manufacturing processes and digitalization of supply chain operations. In response to volume challenges, particularly in Frito-Lay North America, PepsiCo has developed a multi-pronged recovery strategy including granular value investments, portfolio transformation focusing on premium and multicultural offerings, and enhanced operational execution. The company has also restructured its segment reporting to provide more focused management of international operations and create efficiencies in North American business integration. Recent strategic moves include expanding the energy drink portfolio through partnerships and potential acquisitions, developing portion-controlled and "permissible" snacking options, and investing in away-from-home consumption channels. The company has also been addressing potential impacts from GLP-1 medications by accelerating development of protein-rich, fiber-enhanced, and hydration-focused products that align with health-conscious consumer trends.
PEP company profile · for informational purposes only — not investment advice.
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