Zacks Research Weighs in on PepsiCo, Inc.’s Q3 2024 Earnings (NASDAQ:PEP)

PepsiCo, Inc. (NASDAQ:PEP) – Analysts at Zacks Research reduced their Q3 2024 earnings estimates for PepsiCo in a research note issued to investors on Tuesday, May 7th. Zacks Research analyst R. Lohia now forecasts that the company will post earnings of $2.40 per share for the quarter, down from their previous estimate of $2.41. The consensus estimate for PepsiCo’s current full-year earnings is $8.16 per share. Zacks Research also issued estimates for PepsiCo’s Q1 2025 earnings at $1.74 EPS and FY2025 earnings at $8.81 EPS.

PepsiCo (NASDAQ:PEP) last issued its earnings results on Tuesday, April 23rd. The company reported $1.61 earnings per share for the quarter, beating analysts’ consensus estimates of $1.52 by $0.09. PepsiCo had a return on equity of 57.37% and a net margin of 10.00%. The business had revenue of $18.25 billion during the quarter, compared to analyst estimates of $18.08 billion. During the same period in the previous year, the company posted $1.50 EPS. PepsiCo’s revenue was up 2.3% on a year-over-year basis.

A number of other equities analysts also recently issued reports on the stock. StockNews.com downgraded shares of PepsiCo from a “buy” rating to a “hold” rating in a research note on Monday, February 12th. Argus lowered PepsiCo from a “buy” rating to a “hold” rating in a report on Wednesday, April 3rd. Deutsche Bank Aktiengesellschaft upped their target price on PepsiCo from $181.00 to $184.00 and gave the company a “hold” rating in a research report on Friday, February 9th. Barclays raised their price target on PepsiCo from $184.00 to $185.00 and gave the stock an “overweight” rating in a report on Thursday, April 25th. Finally, JPMorgan Chase & Co. boosted their target price on shares of PepsiCo from $178.00 to $181.00 and gave the stock a “neutral” rating in a research report on Wednesday, April 24th. Six equities research analysts have rated the stock with a hold rating and six have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $187.42.

PepsiCo Stock Performance

PEP stock opened at $178.06 on Friday. The company has a debt-to-equity ratio of 1.96, a current ratio of 0.86 and a quick ratio of 0.68. PepsiCo has a 1-year low of $155.83 and a 1-year high of $196.88. The business has a 50-day moving average price of $170.96 and a 200 day moving average price of $168.82. The company has a market capitalization of $244.79 billion, a P/E ratio of 26.78, a PEG ratio of 2.87 and a beta of 0.52.

PepsiCo Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, June 28th. Investors of record on Friday, June 7th will be given a dividend of $1.355 per share. This is a boost from PepsiCo’s previous quarterly dividend of $1.27. This represents a $5.42 annualized dividend and a yield of 3.04%. The ex-dividend date of this dividend is Friday, June 7th. PepsiCo’s dividend payout ratio (DPR) is currently 81.50%.

Institutional Investors Weigh In On PepsiCo

Hedge funds have recently modified their holdings of the company. Grandview Asset Management LLC purchased a new stake in shares of PepsiCo in the 3rd quarter valued at approximately $2,265,000. B&D White Capital Company LLC acquired a new position in shares of PepsiCo in the 3rd quarter valued at $1,593,000. Astoria Portfolio Advisors LLC. increased its position in shares of PepsiCo by 23.5% during the 3rd quarter. Astoria Portfolio Advisors LLC. now owns 4,198 shares of the company’s stock worth $678,000 after purchasing an additional 799 shares during the last quarter. Smith Salley & Associates lifted its position in PepsiCo by 6.4% in the third quarter. Smith Salley & Associates now owns 133,207 shares of the company’s stock valued at $22,571,000 after buying an additional 8,053 shares during the last quarter. Finally, Gradient Investments LLC increased its position in shares of PepsiCo by 13.3% during the third quarter. Gradient Investments LLC now owns 7,515 shares of the company’s stock valued at $1,273,000 after acquiring an additional 882 shares during the last quarter. 73.07% of the stock is owned by hedge funds and other institutional investors.

PepsiCo Company Profile

PepsiCo, Inc engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through seven segments: Frito-Lay North America; Quaker Foods North America; PepsiCo Beverages North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia and New Zealand and China Region.