PepsiCo Target of Unusually High Options Trading (NASDAQ:PEP)

PepsiCo, Inc. (NASDAQ:PEP) saw unusually large options trading on Friday. Stock investors bought 45,880 call options on the stock. This represents an increase of 70% compared to the average daily volume of 26,922 call options.

PepsiCo Stock Performance

Shares of PepsiCo stock traded up $1.08 during trading on Friday, reaching $136.03. The company’s stock had a trading volume of 2,545,004 shares, compared to its average volume of 7,922,141. The company has a quick ratio of 0.74, a current ratio of 0.93 and a debt-to-equity ratio of 1.91. The business’s 50-day moving average price is $142.36 and its 200-day moving average price is $151.03. PepsiCo has a 52 week low of $133.73 and a 52 week high of $171.48. The firm has a market cap of $185.67 billion, a PE ratio of 17.83, a P/E/G ratio of 2.98 and a beta of 0.36.

PepsiCo (NASDAQ:PEP) last released its quarterly earnings results on Thursday, July 9th. The company reported $2.20 EPS for the quarter, topping analysts’ consensus estimates of $2.19 by $0.01. The business had revenue of $24.18 billion for the quarter, compared to analyst estimates of $23.95 billion. PepsiCo had a net margin of 10.78% and a return on equity of 54.63%. PepsiCo’s revenue for the quarter was up 6.4% compared to the same quarter last year. During the same period last year, the firm earned $0.92 earnings per share. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. Equities analysts forecast that PepsiCo will post 8.58 earnings per share for the current year.

PepsiCo Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Friday, September 4th will be given a $1.48 dividend. This represents a $5.92 dividend on an annualized basis and a dividend yield of 4.4%. The ex-dividend date is Friday, September 4th. PepsiCo’s payout ratio is presently 77.59%.

Hedge Funds Weigh In On PepsiCo

Hedge funds have recently added to or reduced their stakes in the stock. Evergreen Advisors LLC bought a new position in shares of PepsiCo in the first quarter worth $25,000. Gunpowder Capital Management LLC dba Oliver Wealth Management acquired a new stake in PepsiCo during the fourth quarter worth about $26,000. Swiss RE Ltd. bought a new position in PepsiCo in the 4th quarter valued at about $28,000. MH & Associates Securities Management Corp ADV acquired a new position in shares of PepsiCo in the 4th quarter valued at approximately $29,000. Finally, Networth Advisors LLC lifted its holdings in shares of PepsiCo by 2,857.1% during the 1st quarter. Networth Advisors LLC now owns 207 shares of the company’s stock worth $32,000 after acquiring an additional 200 shares during the period. Institutional investors own 73.07% of the company’s stock.

Trending Headlines about PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Zacks Research raised its Q4 2026 EPS estimate for PepsiCo to $2.43 from $2.35, implying slightly better near-term profitability than previously expected.
• Positive Sentiment: Despite the revisions, Zacks’ estimates for FY2027 and FY2028 still remain above the current full-year consensus of $8.58 per share, which may indicate long-term earnings potential remains intact.
• Neutral Sentiment: PepsiCo announced plans to cease warehouse operations at its Oklahoma production site, a cost/operations move that may improve efficiency but also signals restructuring. PepsiCo to cease warehouse operations at Oklahoma production site
• Neutral Sentiment: Reports that Quaker Oats is planning a major expansion at its North Texas facility could support future capacity and brand investment, but the market impact is still uncertain. PepsiCo’s Quaker Oats plans major expansion at its North Texas facility
• Negative Sentiment: Zacks Research lowered PepsiCo’s FY2026 EPS estimate to $8.56 from $8.59, slightly below the current consensus, signaling near-term earnings expectations are coming down.
• Negative Sentiment: The firm also trimmed Q3 2026, Q1 2027, Q3 2027, Q4 2027, Q1 2028, Q2 2028, FY2027, and FY2028 EPS forecasts, reinforcing concerns that PepsiCo’s earnings growth may be moderating.

Analyst Upgrades and Downgrades

PEP has been the subject of several research reports. Wells Fargo & Company cut their price target on PepsiCo from $150.00 to $140.00 and set an “equal weight” rating for the company in a report on Friday, July 10th. Deutsche Bank Aktiengesellschaft set a $155.00 target price on shares of PepsiCo in a research note on Friday, July 10th. Citigroup lowered shares of PepsiCo from a “buy” rating to a “neutral” rating and decreased their price target for the company from $170.00 to $145.00 in a research note on Friday, July 10th. Royal Bank Of Canada cut their price objective on shares of PepsiCo from $163.00 to $161.00 and set a “sector perform” rating for the company in a research report on Friday, July 10th. Finally, BNP Paribas Exane reduced their price objective on PepsiCo from $195.00 to $183.00 and set an “outperform” rating for the company in a report on Wednesday, July 8th. Seven analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, PepsiCo currently has an average rating of “Hold” and an average price target of $157.90.

PepsiCo Company Profile

PepsiCo, Inc (NASDAQ: PEP) is a multinational food and beverage company headquartered in Purchase, New York. The company develops, manufactures, markets and sells a broad portfolio of branded food and beverage products, including carbonated and noncarbonated soft drinks, bottled water, sports drinks, juices, ready-to-drink teas and coffees, salty snacks, cereals, and other convenient foods. Its leading consumer brands include Pepsi, Mountain Dew, Gatorade, Tropicana, Quaker, Lay’s, Doritos and Cheetos, among others.

Formed through the 1965 merger of Pepsi-Cola and Frito-Lay, PepsiCo has grown into a global business with integrated manufacturing, distribution and marketing operations.