NASDAQ:PEP

PepsiCo (PEP)

137.63
-2.39 (1.71%)
as of Sep 4, 2026, 8:00:00 pm Market Open.
235 watching
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Investor Insights
star iconSep 5, 2026, 12:00 am

This summary was created by AI, based on 10 opinions in the last 12 months.

PepsiCo faces significant challenges, particularly from the emerging GLP-1 weight loss drugs, which are impacting its snack sales and overall demand in North America. Recent reports show that while the company has a robust dividend yield of 4% and has historically performed well due to its strong snack portfolio like Frito-Lay, the current market dynamics have led to a lackluster performance, with a year-to-date decline in stock value compared to competitors like Coke. Despite being downgraded and facing a weakening North American consumer, some experts see potential in the stock if it falls further, labeling it as a buying opportunity. Analysts are divided on its valuation, with opinions suggesting it could be undervalued or fairly valued, reinforcing a cautious approach among investors as they await the upcoming earnings report, which could give clearer insights into its future potential.

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Consensus
Caution
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Valuation
Undervalued
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Similar
KO
BUY
Prefers over coke. Snack business too.
BUY
He has a model price of $50.61. A negative 18%. If you are a “Buy and Hold” investor, this is a good opportunity. Currently it is at a critical support level and he doesn't think it will get much cheaper. 3.3% dividend yield.
TOP PICK
Word’s biggest food and worlds biggest beverage company. Likes it here because the valuation vs. coke is lower than for many years. If they split into two it would be worth a lot more. Big, safe dividends.
BUY
Held in better than a lot of stocks. Great international sales.
PAST TOP PICK
(A Top Pick Aug 18/10. Up 0.94%.) Still likes. 30% of their business comes from food. Expanding internationally. Well-managed.
TOP PICK
With the Cdn$ so strong, now is the time to take advantage of our dollar to buy big multinational companies at a discount. Diversified across a number of product lines. Recently increased the dividend 7%. Trading at a discount.
BUY
Model price is $62.45 and he would be tempted to buy this one. Would also be tempted to buy Coca-Cola (KO-N). They both look like good buys.
BUY
Great play on emerging markets as it has brands that people want to buy. They have chips as well with Frito Lay and the food group. Very strong cash generator with a big overseas operation.
BUY
Found it difficult to find reasonable value in consumer staples areas. March to now is recognition that it was trading at a low multiple compared to Coke. There is more growth in this one.
TOP PICK
Leading multinational company and derives almost a third of revenues from emerging markets. Packaged food division and moving to organic. Good growth rate at 8%-10% over the next 3 to 5 years. Not expensive at 15.5X earnings and a 3.1% dividend yield. With Cdn$ being so strong, it might be time to think about diversifying your currency exposure.
BUY
Pepsi (PEP-N) or Coke (KO-N)? Pepsi has better growth metrics going forward in the range of 10%-12% in earnings and cash flow versus 9%-10% with Coke. Less dependent on carbonated drinks. Has a food business in Frito Lay. Also trades at a lower multiple.
BUY
Pepsi (PEP-N) versus Coca Cola (KO-N)? Both have similar growth rates. Coke trades at about 17.5X earnings while Pepsi trades at about 14.5X earnings. At a 3 point multiple Pepsi would be his choice. Pepsi is a smaller player but more diversified with their Frito Lay division.
TOP PICK
Sells at a discount to Coke (KO-N) and to the market but has bigger emerging market exposure. Re-formulating a number of their Frito Lay products to become more natural and take out the artificial ingredients. 3% yield.
DON'T BUY
Technically it has a problem with overhead resistance of around $67. Historically consumer staple stocks like this one have done very well in the summer.
BUY
Very good company. Competing well. Earnings are growing and it is not that expensive.
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