PepsiCo (NASDAQ:PEP) Releases FY 2026 Earnings Guidance

PepsiCo (NASDAQ:PEP) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided EPS guidance of 8.550-8.710 for the period, compared to the consensus earnings per share estimate of 8.640. The company issued revenue guidance of $97.7 billion-$99.6 billion, compared to the consensus revenue estimate of $98.9 billion.

Wall Street Analysts Forecast Growth

PEP has been the topic of a number of recent analyst reports. UBS Group reduced their target price on PepsiCo from $186.00 to $172.00 and set a “buy” rating on the stock in a report on Thursday, July 2nd. Royal Bank Of Canada lowered their price objective on shares of PepsiCo from $165.00 to $163.00 and set a “sector perform” rating for the company in a research report on Thursday, April 9th. Piper Sandler reduced their target price on PepsiCo from $181.00 to $178.00 and set an “overweight” rating on the stock in a report on Friday, June 12th. Sanford C. Bernstein set a $142.00 price target on PepsiCo and gave the stock a “market perform” rating in a report on Wednesday, July 1st. Finally, Evercore lifted their price objective on PepsiCo from $165.00 to $170.00 in a report on Friday, April 17th. Eight research 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 data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $164.40.

PepsiCo Trading Down 1.7%

PepsiCo stock opened at $142.51 on Thursday. The company has a market cap of $194.78 billion, a price-to-earnings ratio of 22.37, a P/E/G ratio of 2.92 and a beta of 0.36. The firm has a 50-day moving average of $146.14 and a 200-day moving average of $151.63. The company has a debt-to-equity ratio of 1.98, a current ratio of 0.90 and a quick ratio of 0.72. PepsiCo has a one year low of $132.96 and a one year high of $171.48.

PepsiCo (NASDAQ:PEP) last issued its earnings results on Wednesday, April 15th. The company reported $1.61 earnings per share for the quarter, topping analysts’ consensus estimates of $1.55 by $0.06. The business had revenue of $19.44 billion for the quarter, compared to the consensus estimate of $18.89 billion. PepsiCo had a net margin of 9.15% and a return on equity of 56.61%. The firm’s revenue for the quarter was up 8.5% on a year-over-year basis. During the same period in the previous year, the company earned $1.48 earnings per share. On average, equities analysts expect that PepsiCo will post 8.62 earnings per share for the current fiscal year.

PepsiCo Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Friday, June 5th were issued a $1.48 dividend. The ex-dividend date of this dividend was Friday, June 5th. This represents a $5.92 dividend on an annualized basis and a yield of 4.2%. This is an increase from PepsiCo’s previous quarterly dividend of $1.42. PepsiCo’s payout ratio is presently 92.94%.

Key Stories Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo reported quarterly EPS of $2.20 versus $2.19 expected and revenue of $24.18 billion versus $23.95 billion expected, suggesting the business is still delivering modest top- and bottom-line beats. Article Title
• Positive Sentiment: Revenue strength was helped by robust international demand for snacks and drinks, which supports the view that PepsiCo’s global brands remain resilient even as U.S. demand softens. Article Title
• Neutral Sentiment: Management updated FY2026 guidance to EPS of $8.55-$8.71 and revenue of $97.7 billion-$99.6 billion, which is broadly in line with expectations on revenue but slightly below the EPS consensus, limiting upside enthusiasm. Article Title
• Neutral Sentiment: Analyst actions were mixed, with BNP Paribas Exane cutting its price target to $183 while keeping an outperform rating, and other recent targets still implying upside from current levels. Article Title
• Negative Sentiment: Commentary ahead of the report flagged weaker North American consumer spending and margin pressure, which may keep investors cautious about the pace of PepsiCo’s turnaround. Article Title

Institutional Trading of PepsiCo

Several large investors have recently made changes to their positions in the company. State Street Corp lifted its stake in PepsiCo by 1.8% during the third quarter. State Street Corp now owns 59,499,819 shares of the company’s stock worth $8,356,155,000 after purchasing an additional 1,079,970 shares during the last quarter. Charles Schwab Investment Management Inc. increased its stake in shares of PepsiCo by 1.1% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 28,090,426 shares of the company’s stock valued at $4,031,646,000 after purchasing an additional 295,955 shares during the last quarter. Amundi raised its holdings in shares of PepsiCo by 13.4% during the 4th quarter. Amundi now owns 9,797,165 shares of the company’s stock worth $1,406,089,000 after buying an additional 1,155,577 shares in the last quarter. AQR Capital Management LLC grew its position in PepsiCo by 11.3% in the fourth quarter. AQR Capital Management LLC now owns 6,585,282 shares of the company’s stock valued at $945,120,000 after acquiring an additional 668,865 shares during the last quarter. Finally, California Public Employees Retirement System raised its stake in PepsiCo by 28.0% during the fourth quarter. California Public Employees Retirement System now owns 5,373,358 shares of the company’s stock worth $771,184,000 after acquiring an additional 1,174,030 shares in the last quarter. Institutional investors and hedge funds own 73.07% of the company’s stock.

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.