Keurig Dr Pepper is a leading North American beverage company, competing with the likes of Coca-Cola and Pepsi. KDP's improving market position is evident, with Dr Pepper considered the second-largest soft drink brand in the US. KDP's profitability supports its cash flow generation, enabling noticeable dividends and share repurchases with a reasonable payout ratio.
High demand for growth and technology stocks has left value stocks like PepsiCo behind. PepsiCo's fundamentals are better than the stock's recent price action would indicate.
PepsiCo stays on the radar as slowing North America sales cast a shadow on its near-term growth prospects. Investors look skeptical about its sparse growth.
In the closing of the recent trading day, PepsiCo (PEP) stood at $175.97, denoting a +0.06% change from the preceding trading day.
PepsiCo is a diversified blue-chip company with over 500 brands operating globally, with 23 of those brands pulling more than $1 billion in revenue each. Trades at a discount compared to its historical value and peers at just 21.0x earnings. Offers 3.1% dividend yield, and focuses on efficiency and growth with global capex spend.
PepsiCo (PEP) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
PepsiCo's stock underperformed the S&P 500 over the past three years. The company faced tough inflationary headwinds and struggled with a major recall.
Coca-Cola and PepsiCo are both stable long-term investments. Coca-Cola is growing faster, but its stock is also pricier.
PepsiCo (NASDAQ:PEP) stock has been treading water of late, trading roughly flat over the last year, while returning just about 33% over the last five years, compared to the S&P 500 which has roughly doubled over the same period. However, it may be time to look elsewhere.
In the closing of the recent trading day, PepsiCo (PEP) stood at $175.85, denoting a +1.17% change from the preceding trading day.
PepsiCo is treading water in the Consumer Staples sector, a group that is performing well in the S&P 500. Quarterly results for PEP showed a beat in EPS but a miss in revenue, with challenges in the snack and soft drink market but strong ex-US numbers. PEP continues to reward shareholders with buybacks and dividends, with analysts predicting growth in earnings and dividend yield.
Major league batters swinging for the fences often strike out, killing rallies for their team. PepsiCo offers solid returns for long-term investors with diverse product lines beyond soft drinks. Pepsi's revenue and income have grown steadily, with a strong history of dividend growth for income-focused investors.