Retirement Systems of Alabama Sells 114,298 Shares of PepsiCo, Inc. $PEP

Retirement Systems of Alabama lessened its holdings in shares of PepsiCo, Inc. (NASDAQ:PEP) by 28.5% during the 3rd quarter, according to its most recent disclosure with the SEC. The institutional investor owned 286,229 shares of the company’s stock after selling 114,298 shares during the quarter. Retirement Systems of Alabama’s holdings in PepsiCo were worth $36,271,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors have also made changes to their positions in the business. Core Capital Management & Research inc. acquired a new stake in PepsiCo in the 2nd quarter valued at about $932,000. State Street Corp boosted its stake in shares of PepsiCo by 1.7% in the 2nd quarter. State Street Corp now owns 60,406,932 shares of the company’s stock valued at $8,179,099,000 after buying an additional 987,582 shares during the period. First Nebraska Trust Co acquired a new position in shares of PepsiCo during the first quarter worth about $10,782,000. The Manufacturers Life Insurance Company increased its stake in shares of PepsiCo by 19.0% during the second quarter. The Manufacturers Life Insurance Company now owns 1,110,852 shares of the company’s stock worth $150,409,000 after buying an additional 177,468 shares during the period. Finally, Jennison Associates LLC increased its stake in shares of PepsiCo by 157.0% during the first quarter. Jennison Associates LLC now owns 529,129 shares of the company’s stock worth $82,168,000 after buying an additional 323,278 shares during the period. Hedge funds and other institutional investors own 73.07% of the company’s stock.

Insider Buying and Selling

In related news, Director Robert C. Pohlad acquired 184,646 shares of the business’s stock in a transaction on Wednesday, October 14th. The shares were bought at an average price of $128.28 per share, with a total value of $23,686,388.88. Following the completion of the acquisition, the director owned 433,009 shares in the company, valued at $55,546,394.52. This trade represents a 74.35% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Ramon Laguarta sold 30,000 shares of the business’s stock in a transaction that occurred on Wednesday, October 21st. The stock was sold at an average price of $135.13, for a total transaction of $4,053,900.00. Following the sale, the chief executive officer owned 491,645 shares of the company’s stock, valued at $66,435,988.85. This represents a 5.75% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.12% of the company’s stock.

Analysts Set New Price Targets

Several analysts recently weighed in on PEP shares. Freedom Broker raised shares of PepsiCo from a “hold” rating to a “strong-buy” rating in a report on Saturday, October 10th. TD Cowen lowered their price target on shares of PepsiCo from $145.00 to $133.00 and set a “hold” rating for the company in a report on Monday, September 28th. Weiss Ratings downgraded shares of PepsiCo from a “hold (c)” rating to a “hold (c-)” rating in a research report on Thursday, September 24th. Evercore dropped their price objective on shares of PepsiCo from $150.00 to $135.00 in a research report on Wednesday, September 30th. Finally, BNP Paribas Exane reduced their price objective on shares of PepsiCo from $161.00 to $157.00 and set an “outperform” rating on the stock in a report on Friday, October 9th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, fourteen have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $143.28.

PepsiCo Trading Up 1.2%

NASDAQ:PEP opened at $143.61 on Wednesday. The stock has a 50-day simple moving average of $133.41 and a 200-day simple moving average of $145.72. The stock has a market cap of $195.70 billion, a P/E ratio of 18.04, a P/E/G ratio of 4.22 and a beta of 0.31. PepsiCo, Inc. has a 1 year low of $123.47 and a 1 year high of $171.48. The company has a debt-to-equity ratio of 1.90, a quick ratio of 0.76 and a current ratio of 0.94.

PepsiCo (NASDAQ:PEP) last issued its earnings results on Wednesday, October 7th. The company reported $2.34 earnings per share for the quarter, topping the consensus estimate of $2.29 by $0.05. PepsiCo had a return on equity of 53.08% and a net margin of 11.09%. The business had revenue of $25.27 billion for the quarter, compared to analyst estimates of $24.95 billion. During the same quarter last year, the company earned $2.29 EPS. The business’s quarterly revenue was up 5.6% on a year-over-year basis. As a group, analysts anticipate that PepsiCo, Inc. will post 8.42 earnings per share for the current fiscal year.

PepsiCo News Summary

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: PepsiCo plans to eliminate about 1,000 North American roles as part of a broader effort to simplify operations and improve execution. If the restructuring reduces costs, it could support margins over time. PepsiCo to cut about 1,000 jobs as North American business struggles
• Positive Sentiment: PepsiCo is emphasizing zero-sugar drinks, flavored sodas and functional hydration to address changing preferences and strengthen beverage demand. Can PepsiCo’s Zero-Sugar Strategy Strengthen Beverage Demand?
• Neutral Sentiment: The company renewed overseas beverage-supply agreements with KFC in several markets, maintaining an established distribution relationship. PepsiCo renews overseas KFC contracts
• Negative Sentiment: The layoffs come amid sluggish North American sales, volume declines and margin pressure. That points to ongoing operating challenges and could temper optimism about the potential savings, particularly as the turnaround has yet to gain traction. PepsiCo to cut over 1,000 jobs amid sluggish sales in North American market

About PepsiCo

PepsiCo, Inc. is a global food and beverage company that develops, manufactures, markets and distributes a broad range of products. Its portfolio includes snacks such as Lay’s, Doritos and Cheetos, as well as beverages including Pepsi, Gatorade and Mountain Dew. The company was formed in 1965 through the merger of Pepsi-Cola and Frito-Lay. Its products are sold in more than 200 countries and territories through retail, food-service and other distribution channels. PepsiCo is headquartered in Purchase, New York.