Bank of America Cuts PepsiCo (NASDAQ:PEP) Price Target to $185.00

PepsiCo (NASDAQ:PEP) had its price target reduced by Bank of America from $190.00 to $185.00 in a research note issued to investors on Monday morning, Benzinga reports. Bank of America currently has a buy rating on the stock.

Several other research analysts have also issued reports on PEP. TD Cowen reduced their price target on PepsiCo from $200.00 to $190.00 and set a buy rating on the stock in a research report on Wednesday, July 3rd. Morgan Stanley cut PepsiCo from an overweight rating to an equal weight rating and set a $185.00 target price on the stock. in a report on Friday, September 20th. StockNews.com cut PepsiCo from a buy rating to a hold rating in a research note on Friday, September 20th. Royal Bank of Canada reduced their price objective on shares of PepsiCo from $180.00 to $177.00 and set a sector perform rating on the stock in a research note on Friday, July 12th. Finally, DZ Bank downgraded shares of PepsiCo from a buy rating to a hold rating and set a $183.00 target price for the company. in a research note on Friday, July 19th. Nine investment analysts have rated the stock with a hold rating and six have assigned a buy rating to the company. Based on data from MarketBeat, PepsiCo has a consensus rating of Hold and a consensus target price of $185.40.

PepsiCo Price Performance

PepsiCo stock opened at $169.55 on Monday. The business’s 50-day simple moving average is $173.95 and its 200 day simple moving average is $172.15. The company has a quick ratio of 0.64, a current ratio of 0.83 and a debt-to-equity ratio of 1.87. The stock has a market cap of $232.89 billion, a price-to-earnings ratio of 24.61, a P/E/G ratio of 2.93 and a beta of 0.53. PepsiCo has a 12-month low of $155.83 and a 12-month high of $183.41.

PepsiCo (NASDAQ:PEP) last issued its earnings results on Thursday, July 11th. The company reported $2.28 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.16 by $0.12. PepsiCo had a net margin of 10.34% and a return on equity of 57.37%. The company had revenue of $22.50 billion for the quarter, compared to analyst estimates of $22.59 billion. During the same quarter last year, the firm earned $2.09 EPS. The company’s revenue for the quarter was up .8% on a year-over-year basis. As a group, research analysts anticipate that PepsiCo will post 8.14 earnings per share for the current year.

PepsiCo Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, September 30th. Stockholders of record on Friday, September 6th were given a dividend of $1.355 per share. The ex-dividend date was Friday, September 6th. This represents a $5.42 annualized dividend and a dividend yield of 3.20%. PepsiCo’s dividend payout ratio is currently 78.66%.

Hedge Funds Weigh In On PepsiCo

Several hedge funds have recently made changes to their positions in the business. Flossbach Von Storch AG raised its holdings in PepsiCo by 67.2% during the first quarter. Flossbach Von Storch AG now owns 4,560,007 shares of the company’s stock worth $798,047,000 after acquiring an additional 1,832,385 shares in the last quarter. PineStone Asset Management Inc. raised its stake in shares of PepsiCo by 125.2% during the 2nd quarter. PineStone Asset Management Inc. now owns 2,740,573 shares of the company’s stock worth $452,003,000 after purchasing an additional 1,523,631 shares in the last quarter. Van ECK Associates Corp boosted its holdings in shares of PepsiCo by 429.3% in the 1st quarter. Van ECK Associates Corp now owns 1,454,793 shares of the company’s stock valued at $254,603,000 after buying an additional 1,179,922 shares during the last quarter. Confluence Investment Management LLC bought a new position in shares of PepsiCo in the first quarter valued at $166,243,000. Finally, Legal & General Group Plc increased its holdings in PepsiCo by 7.2% during the second quarter. Legal & General Group Plc now owns 13,547,547 shares of the company’s stock worth $2,234,400,000 after buying an additional 905,468 shares during the last quarter. 73.07% of the stock is owned by institutional investors.

PepsiCo Company Profile

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.