Added to YB: 2026-03-03
Pitch date: 2026-02-27
PEP [neutral]
PepsiCo, Inc.
-14.92%
current return
Author Info
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Company Info
PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide.
Market Cap
$191.3B
Pitch Price
$165.80
Price Target
N/A
Dividend
4.22%
EV/EBITDA
11.38
P/E
18.36
EV/Sales
2.41
Sector
Beverages
Category
growth
$PEP: The Giant Has Awakened
PEP (update): Q4 momentum inflection - rev +5.6% vs -2% Q1, core op margin +140bps, core EPS +16%. North America $56B rev at 18% margin w/ offensive pricing to regain volume share. Doubled gross productivity 2021-25, funding growth reinvestment. International $38B rev (+48% since 2019) at 18% margin, underpenetrated globally. Away-from-home upside via DRIPS/Doritos Loaded. Long-term targets: mid-single digit organic growth, +100bps margin expansion over 3yrs, high-single digit EPS growth. FCF conversion rises to ~90% by 2027 as $1B tax payment ends. 54 consecutive yrs dividend growth. FIFA sponsorship summer catalyst for Lay's relaunch.
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