#6 - Pepsico (NASDAQ:PEP)
Pepsico (PEP)
P/E Ratio: 27.35
Dividend Yield: 3.05%
During the pandemic, many investors thought that Pepsico (NASDAQ: PEP) might get a lift from consumers stocking up on their sugary beverages. That didn’t happen. But the good news for investors is that the company is a lot more than just the Pepsi brand. The company has a very good business in snack foods, and that segment did very well.
Overall, the company’s organic revenue grew 5.2% with $12.9 billion of sales. This easily beat analysts’ expectations for revenue of $12.7 billion. And those analysts are giving the company a price target of $143. This would give PEP stock a gain of just over 7%.
Analysts may be cheering the company’s willingness to spend more on advertising. But we’ll have to wait and see how that plays out. What is more intriguing is that the company’s new CEO Ramon Laguarta is more committed to diversifying the company into more healthy alternatives.
And in addition to a dividend yield of 3.05%, the company is a dividend aristocrat with a record of increasing its dividend for 48 consecutive years.
About PepsiCo
PepsiCo, Inc engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through seven segments: Frito-Lay North America; Quaker Foods North America; PepsiCo Beverages North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia and New Zealand and China Region.
Read More - Current Price
- $163.05
- Consensus Rating
- Hold
- Ratings Breakdown
- 5 Buy Ratings, 10 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $183.92 (12.8% Upside)
