The stock of PepsiCo Inc. (NASDAQ:PEP) decreased by -$2.27 on Tuesday to finish at $181.35, down -1.24 percent. The last five days have seen an average of 3,546,360 shares of common stock traded. 21 times new highs were reached in the current year, with a gain of $0.69. The average number of shares traded over the last 20 days was 4,601,040, while the average volume over the last 50 days totaled 4,849,692.
PEP stock dropped -2.31% since last month. On 08/15/23, the company’s shares reached a one-month low of $181.13. The stock touched a high of $196.88 on 05/15/23, after rallying from a low of $160.98 in 52 weeks. The price of PEP stock has risen by 0.38% or $0.69 this year, reaching a new high 21 times. Still, the stock price is down -7.89% from the 52-week high.
Insider Transactions
PEP stock investors should be aware that PepsiCo Inc. (PEP) stock had its last reported insider trading activity 160 days ago on Mar 09. On Mar 09, Director POHLAD ROBERT C sold 75,000 shares at $172.47 each. This transaction resulted in the insider making $12,935,148. On Mar 07, Krishnan Ramkumar sold 16,827 shares at a price of US$172.70. After the transaction, the insider now owns 49,000 shares. SVP and Controller Gallagher Marie T. had earlier sold 5,558 shares on Oct 26 for $180.01 a share. The transaction was completed for $1,000,486.
Valuation Metrics
PepsiCo Inc. (PEP) has a trailing price-to-earnings (P/E) ratio of 31.45. Beta for the stock is 0.54. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 2.77, the price-to-book (PB) ratio of 14.13, and the price-to-cash flow ratio of 43.51.
Company paid $1.2650 per share in dividends, remained unchanged from $1.2650 last year.
Financial Health
For the three months ended June 29, PepsiCo Inc.’s quick ratio was 0.60, while its current ratio was 0.80, indicating its inability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 2.04, and the total debt to equity ratio is 2.47. As far as profitability goes, gross margin for the trailing twelve months is 53.80% percent. PepsiCo Inc.’s EBITDA margin for the year ended June 29 was 16.93%, whereas its operating margin stood at 11.40% for the same period. Based on annual data, it had gross profit of $45.82 billion and revenue of $86.39 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. PEP’s return on assets (ROA) during the last 12 months has been 8.40%. There was a 16.90% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 44.60%.
Earnings Surprise
According to PepsiCo Inc.’s quarterly financial report for the quarter that ended June 29, it had $36.01 billion in total debt versus $338.0 million in cash and short-term investments. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $22.32 billion, while revenues rose by 9.39% to $17.85 billion. It was predicted that PepsiCo Inc.’s quarterly earnings would be $2.09, but it ended up being $1.96, beating the consensus by 6.60%. EBITDA was $4.47 billion for the quarter. At the end of PepsiCo Inc.’s most recent quarter ended June 29, its liabilities totaled 78.08 billion, while its total debt was $43.62 billion. Equity owned by shareholders amounts to $1.38 billion.
Technical Picture
Here’s a quick look at PepsiCo Inc.’s (PEP) price momentum from a technical perspective. As of 15 August, the RSI 9-day stood at 31.35%, suggesting the stock is Neutral, with a 12.08% historical volatility rate.
The stochastic %K and %D were 8.89% and 11.43% respectively, while the average true range (ATR) was 2.44. Based on the 14-day stochastic reading of 1.97%, the RSI (14) reading is 37.55%. On the 9-day MACD Oscillator, the stock is at -1.42, and the 14-day reading is at -2.80.
Analyst Ratings
PepsiCo Inc. (NASDAQ: PEP) was downgraded by Morgan Stanley to a an Equal-weight rating in its latest research report. The stock was previously rated as a an Overweight. Analysts have assigned PepsiCo Inc. (PEP) an Overweight rating. PEP is a stock that is recommended for selling by 1 brokerage firm, while 11 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 2 rates it overweight and 7 others recommend it as a buy.
What is PEP’s price target for the next 12 months?
The current consensus forecast for the stock is between $156.00 and $235.81, with a median target price of $201.50. In analyzing these forecasts, the average price target given by analysts for PepsiCo Inc. (PEP) is $201.66.
