PEP Stock Analysis: PepsiCo | NASDAQ
Beverages - Non-Alcoholic | NASDAQ, USA | Market Cap: 190.716m USD | 12M Return: 14.6% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 1.31B
EPS Trend: -56.6%
Qual. Beats: 0
Rev. Trend: 87.7%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Seasonality
PepsiCo, Inc. (NASDAQ: PEP) is a global manufacturer, marketer, distributor, and seller of convenient foods and beverages, organized into six reportable segments: PepsiCo Foods North America, PepsiCo Beverages North America, International Beverages Franchise, Europe/Middle East/Africa, Latin America Foods, and Asia Pacific Foods. Founded in 1898 and headquartered in Purchase, New York, the company offers a wide portfolio including cereals, chips, dips, granola bars, refrigerated spreads, beverage concentrates, fountain syrups, ready-to-drink tea and coffee, SodaStream sparkling water makers, and dairy products sold under regional brands such as Agusha, Chudo, and Domik v Derevne.
Distribution is carried out through a multi-channel network serving wholesale distributors, foodservice operators, grocery, drug and convenience stores, discount and dollar stores, mass merchandisers, membership clubs, hard discounters, e-commerce retailers, and authorized independent bottlers, using a mix of direct-store-delivery (DSD), customer warehouse, and third-party distributor networks, as well as direct-to-consumer e-commerce. The DSD model, in which sales reps replenish retail shelves directly, is a hallmark of the soft drinks and non-alcoholic beverages sub-industry and helps secure frequent restocking and in-store visibility.
PepsiCo is classified in the Consumer Staples sector and the Soft Drinks & Non-alcoholic Beverages sub-industry, placing it in a defensive segment with relatively stable demand across economic cycles. Its dual exposure to both food and beverages is unusual among major packaged-goods peers, which typically focus on one category or the other, providing diversification across multiple consumption occasions.
- Frito-Lay volume growth drives North America snacks segment revenue
- GLP-1 drug adoption threatens salty snack consumption demand
- Emerging markets FX volatility pressures international beverage margins
| Net Income: 8.74b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA -1.41 > 1.0 |
| NWC/Revenue: -3.73% < 20% (prev -8.50%; Δ 4.77% < -1%) |
| CFO/TA 0.12 > 3% & CFO 13.1b > Net Income 8.74b |
| Net Debt (42.6b) to EBITDA (16.3b): 2.62 < 3 |
| Current Ratio: 0.90 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.37b) vs 12m ago -0.22% < -2% |
| Gross Margin: 54.06% > 18% (prev 54.53%; Δ -0.47% > 0.5%) |
| Asset Turnover: 88.38% > 50% (prev 91.44%; Δ -3.06% > 0%) |
| Interest Coverage Ratio: 10.39 > 6 (EBIT TTM 12.0b / Interest Expense TTM 1.16b) |
| A: -0.03 (Total Current Assets 30.9b - Total Current Liabilities 34.5b) / Total Assets 111b |
| B: 0.66 (Retained Earnings 73.2b / Total Assets 111b) |
| C: 0.11 (EBIT TTM 12.0b / Avg Total Assets 108b) |
| D: 0.24 (Book Value of Equity 21.4b / Total Liabilities 89.1b) |
| Altman-Z'' = 2.95 = A |
| DSRI: 0.99 (Receivables 12.2b/12.4b, Revenue 95.4b/96.3b) |
| GMI: 1.01 (GM 54.53% / 54.06%) |
| AQI: 0.36 (AQ_t 0.16 / AQ_t-1 0.46) |
| SGI: 0.99 (Revenue 95.4b / 96.3b) |
| TATA: -0.04 (NI 8.74b - CFO 13.1b) / TA 111b) |
| Beneish M = -3.42 (Cap -4..+1) = AA |
As of June 29, 2026, the stock is trading at USD 141.39 with a total of 9,700,491 shares traded. Over the past week, the price has changed by -0.44%, over one month by -1.92%, over three months by -5.27% and over the past year by +14.64%.
Current recommended Stop Loss: 137.50 (which is 2.8% or 1.3 ATR below the current price).
PepsiCo has received a consensus analysts rating of 3.35. Therefore, it is recommended to hold PEP.
- StrongBuy: 4
- Buy: 2
- Hold: 16
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 167.9 | 18.7% |
P/E Trailing = 21.9027
P/E Forward = 16.2338
P/S = 1.9981
P/B = 8.9179
P/EG = 1.5022
Revenue TTM = 95.4b USD
EBIT TTM = 12.0b USD
EBITDA TTM = 16.3b USD
Long Term Debt = 42.6b USD (from longTermDebt, last quarter)
Short Term Debt = 10.2b USD (from shortTermDebt, last quarter)
Debt = 53.4b USD (from shortLongTermDebtTotal, last quarter) + Leases 719.0m
Net Debt = 42.6b USD (calculated: Debt 53.4b - CCE 10.8b)
Enterprise Value = 233b USD (191b + Debt 53.4b - CCE 10.8b)
Interest Coverage Ratio = 10.39 (Ebit TTM 12.0b / Interest Expense TTM 1.16b)
EV/FCF = 26.39x (Enterprise Value 233b / FCF TTM 8.84b)
FCF Yield = 3.79% (FCF TTM 8.84b / Enterprise Value 233b)
FCF Margin = 9.26% (FCF TTM 8.84b / Revenue TTM 95.4b)
Net Margin = 9.16% (Net Income TTM 8.74b / Revenue TTM 95.4b)
Gross Margin = 54.06% ((Revenue TTM 95.4b - Cost of Revenue TTM 43.9b) / Revenue TTM)
Gross Margin QoQ = 55.19% (prev 53.23%)
Tobins Q-Ratio = 2.11 (Enterprise Value 233b / Total Assets 111b)
Interest Expense / Debt = 2.17% (Interest Expense 1.16b / Debt 53.4b)
Taxrate = 19.15% (2.08b / 10.9b)
NOPAT = 9.73b (EBIT 12.0b * (1 - 19.15%))
Current Ratio = 0.90 (Total Current Assets 30.9b / Total Current Liabilities 34.5b)
Debt / Equity = 2.50 (Debt 53.4b / totalStockholderEquity, last quarter 21.4b)
Debt / EBITDA = 2.62 (Net Debt 42.6b / EBITDA 16.3b)
Debt / FCF = 4.82 (Net Debt 42.6b / FCF TTM 8.84b)
Total Stockholder Equity = 19.9b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.10% (Net Income 8.74b / Total Assets 111b)
RoE = 43.94% (Net Income TTM 8.74b / Total Stockholder Equity 19.9b)
RoCE = 19.26% (EBIT 12.0b / Capital Employed (Equity 19.9b + L.T.Debt 42.6b))
RoIC = 11.93% (NOPAT 9.73b / Invested Capital 81.5b)
WACC = 4.93% (E(191b)/V(244b) * Re(5.82%) + D(53.4b)/V(244b) * Rd(2.17%) * (1-Tc(0.19)))
Discount Rate = 5.82% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -96.61 | Cagr: -0.32%
[DCF] Terminal Value 73.83% ; FCFF base≈9.27b ; Y1≈8.46b ; Y5≈7.42b
[DCF] Fair Price = 55.04 (EV 118b - Net Debt 42.6b = Equity 75.2b / Shares 1.37b; r=8.35% [WACC [floored]]; 5y FCF grow -10.77% → 2.50% )
EPS Correlation: -56.62 | EPS CAGR: -5.60% | SUE: 0.14 | # QB: 0
Revenue Correlation: 87.70 | Revenue CAGR: 3.00% | SUE: 0.29 | # QB: 0
EPS current Quarter (2026-06-30): EPS=2.23 | Chg30d=-0.25% | Revisions=-20% | Analysts=17
EPS next Quarter (2026-09-30): EPS=2.43 | Chg30d=-0.42% | Revisions=-20% | Analysts=17
EPS current Year (2026-12-31): EPS=8.65 | Chg30d=-0.14% | Revisions=-14% | GrowthEPS=+6.2% | GrowthRev=+5.4%
EPS next Year (2027-12-31): EPS=9.10 | Chg30d=-0.51% | Revisions=-43% | GrowthEPS=+5.2% | GrowthRev=+3.1%
[Analyst] Revisions Ratio: -43%