PepsiCo is considered a cash-generating powerhouse, boasting a strong 4.2% forward dividend yield and consistent free cash flow, appealing to income-focused investors. Recent Q2 earnings beat expectations, with revenue up 2.1% YoY and EPS surpassing forecasts, sparking a 7% jump in share price. Despite mixed segment performance and a significant non-cash write-down, reaffirmed guidance signals management confidence after sluggish quarters.
PepsiCo is a core holding within my dividend growth portfolio. The consumer staple posted a double beat in Q2 and reiterated its guidance for 2025. PepsiCo enjoys an A+ credit rating from S&P with a stable outlook.
PepsiCo is doubling down on productivity initiatives and brand innovation to offset rising supply chain costs due in part of tariffs amid flat sales in its North American business, executives said during the company's second-quarter earnings call on Thursday (July 17).
PEP beats Q2 revenue and EPS estimates as global momentum offsets margin pressure and a year-over-year EPS decline.
Major U.S. equities indexes were higher at midday Thursday in the wake of better-than-expected quarterly results from several major companies. The Dow, S&P 500, and Nasdaq all advanced.
PepsiCo reported better-than-expected earnings and revenue in the second quarter despite sluggish North American sales.Sales of Frito-Lay and other snacks fell 1% in North America during the April-June period, PepsiCo said Thursday, while beverage sales were down 2% in the region. But sales rose in some other regions, including Latin America and Asia.Revenue rose less than 1% to $22.7 billion in the April-June period.
Despite a Q2 earnings beat, PepsiCo's core issues—weak volume trends, dividend strain, and overreliance on pricing—remain unresolved and have worsened. Total return for PepsiCo over the last three years is negative, even with dividends, underperforming peers like Coca-Cola and Monster Beverage. A $1.9 billion impairment charge and high debt levels highlight ongoing concerns about PepsiCo's growth strategy and rich valuation.
PepsiCo, Inc. (NASDAQ:PEP ) Q2 2025 Earnings Conference Call July 17, 2025 8:15 AM ET Company Participants James T. Caulfield - Executive VP & CFO Ramon Luis Laguarta - Chairman & CEO Ravi Pamnani - Senior Vice President of Investor Relations Conference Call Participants Andrea Faria Teixeira - JPMorgan Chase & Co, Research Division Bonnie Lee Herzog - Goldman Sachs Group, Inc., Research Division Christopher Michael Carey - Wells Fargo Securities, LLC, Research Division Dara Warren Mohsenian - Morgan Stanley, Research Division Filippo Falorni - Citigroup Inc., Research Division Kaumil S.
PepsiCo (PEP) shares are soaring in early trading Thursday after the beverage and snack food giant affirmed its outlook and also posted better-than-estimated quarterly results.
PepsiCo (PEP) came out with quarterly earnings of $2.12 per share, beating the Zacks Consensus Estimate of $2.03 per share. This compares to earnings of $2.28 per share a year ago.
While the top- and bottom-line numbers for PepsiCo (PEP) give a sense of how the business performed in the quarter ended June 2025, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
PepsiCo Inc (NASDAQ:PEP, ETR:PEP) reported second-quarter revenue and earnings that beat Wall Street estimates on Thursday, as international markets helped offset weaker performance in its North American food business. The company posted revenue of $22.73 billion, topping analysts' average estimate of $22.29 billion, a 1% increase from a year earlier.