Evercore ISI Boosts PepsiCo (NASDAQ:PEP) Price Target to $165.00

PepsiCo (NASDAQ:PEP) had its target price lifted by Evercore ISI from $152.00 to $165.00 in a report issued on Wednesday,MarketScreener reports. Evercore ISI’s price objective suggests a potential downside of 1.33% from the stock’s current price.

A number of other analysts also recently issued reports on PEP. DZ Bank upgraded shares of PepsiCo from a “hold” rating to a “buy” rating and set a $167.00 price target on the stock in a report on Tuesday, October 21st. The Goldman Sachs Group raised their price target on PepsiCo from $165.00 to $167.00 and gave the company a “buy” rating in a research note on Friday, October 10th. TD Cowen raised their price objective on PepsiCo from $155.00 to $162.00 and gave the company a “hold” rating in a research report on Wednesday. Barclays lifted their target price on shares of PepsiCo from $148.00 to $160.00 and gave the stock an “equal weight” rating in a research note on Wednesday. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of PepsiCo in a report on Friday, January 9th. Nine research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $167.28.

PepsiCo Stock Up 0.6%

Shares of NASDAQ:PEP traded up $1.04 during trading on Wednesday, reaching $167.22. 6,552,867 shares of the stock traded hands, compared to its average volume of 9,251,137. PepsiCo has a 52-week low of $127.60 and a 52-week high of $168.01. The stock has a market cap of $228.65 billion, a P/E ratio of 27.90, a price-to-earnings-growth ratio of 5.35 and a beta of 0.40. The stock has a 50-day moving average of $146.83 and a two-hundred day moving average of $145.95. The company has a debt-to-equity ratio of 2.06, a quick ratio of 0.72 and a current ratio of 0.85.

PepsiCo (NASDAQ:PEP) last released its quarterly earnings data on Tuesday, February 3rd. The company reported $2.26 earnings per share for the quarter, beating the consensus estimate of $2.24 by $0.02. PepsiCo had a net margin of 8.77% and a return on equity of 57.92%. The firm had revenue of $29.34 billion during the quarter, compared to analysts’ expectations of $28.96 billion. During the same period in the previous year, the company earned $1.96 earnings per share. The firm’s quarterly revenue was up 5.6% on a year-over-year basis. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. As a group, sell-side analysts expect that PepsiCo will post 8.3 earnings per share for the current fiscal year.

PepsiCo declared that its Board of Directors has approved a share repurchase plan on Tuesday, February 3rd that permits the company to buyback $10.00 billion in shares. This buyback authorization permits the company to repurchase up to 4.7% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.

Hedge Funds Weigh In On PepsiCo

Several hedge funds and other institutional investors have recently made changes to their positions in PEP. Brighton Jones LLC boosted its holdings in PepsiCo by 12.4% in the 4th quarter. Brighton Jones LLC now owns 59,392 shares of the company’s stock valued at $9,031,000 after purchasing an additional 6,574 shares in the last quarter. Caxton Associates LLP acquired a new position in shares of PepsiCo during the 1st quarter valued at $251,000. Sivia Capital Partners LLC increased its holdings in PepsiCo by 138.5% in the 2nd quarter. Sivia Capital Partners LLC now owns 6,527 shares of the company’s stock valued at $862,000 after purchasing an additional 3,790 shares in the last quarter. Clear Creek Financial Management LLC boosted its holdings in PepsiCo by 8.9% in the 2nd quarter. Clear Creek Financial Management LLC now owns 7,871 shares of the company’s stock worth $1,039,000 after acquiring an additional 643 shares during the period. Finally, Massachusetts Wealth Management boosted its position in PepsiCo by 1.4% in the 2nd quarter. Massachusetts Wealth Management now owns 13,493 shares of the company’s stock valued at $1,782,000 after buying an additional 187 shares during the last quarter. Hedge funds and other institutional investors own 73.07% of the company’s stock.

PepsiCo News Summary

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Q4 results beat and guidance reiterated — Pepsi reported stronger-than-expected revenue and EPS and kept FY2026 guidance, which underpins the rally. Earnings Report
• Positive Sentiment: Analysts lifting price targets — Several banks raised PEP targets (examples: Morgan Stanley to $180, JPMorgan to $176, HSBC to $175), signaling improved street sentiment and supporting near-term demand for the stock. Morgan Stanley Price Target JPMorgan Price Target HSBC Price Target
• Positive Sentiment: $10 billion share repurchase — Board approved a $10B buyback (about 4.7% of shares), which is a clear capital-return signal and can be EPS-accretive. Buyback Announcement
• Positive Sentiment: Dividend raise and declared payout — PepsiCo declared a quarterly dividend ($1.4225), a ~5% increase year-over-year, reinforcing income appeal. Dividend Release
• Positive Sentiment: Strategic initiatives gaining traction — Management is streamlining SKUs, testing integrated distribution (beverage + snacks) and refocusing on core brands and health-forward products; investors view this as constructive for margins and growth if execution holds. MarketBeat Strategic Summary
• Neutral Sentiment: Planned snack price cuts (up to ~15%) — Management said it will lower suggested retail prices on key snacks to drive volume and respond to consumer backlash; this should boost sales but could compress margins until volume gains materialize. Price Cut Coverage
• Negative Sentiment: Bearish/valuation concerns — Some analysts and commentators warn the rally is multiple-driven, not yet volume-driven; cutting prices trades margin certainty for hoped-for share gains, raising execution risk and downside if volumes don’t follow. Seeking Alpha Critique

About PepsiCo

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.