Integrity Alliance LLC has significantly reduced its stake in PepsiCo, Inc. by 62.6% during the second quarter of 2023. This decision comes as the institutional investor disclosed in its recent Form 13F filing with the Securities and Exchange Commission (SEC). Following the sale of 11,641 shares, Integrity Alliance now holds 6,954 shares, valued at approximately $918,000.
Several other institutional investors have also made adjustments to their PepsiCo holdings. Claris Advisors LLC increased its stake by 14.1%, now owning 2,490 shares worth $329,000 after acquiring an additional 308 shares. Similarly, Foster Group Inc. raised its stake by 4.6%, bringing its total to 5,169 shares valued at $683,000, following the purchase of 229 shares.
Other notable adjustments include Ignite Planners LLC, which increased its holdings by 4.2% to reach 3,773 shares worth $566,000, and Merit Financial Group LLC, which significantly boosted its stake by 46.4%, now owning 114,344 shares valued at $15.1 million. Lastly, Fulton Bank N.A. raised its position by 2.5%, holding 25,309 shares worth $3.34 million. As a whole, hedge funds and other institutional investors control approximately 73.07% of PepsiCo’s stock.
Analyst Opinions and Market Performance
PepsiCo has recently been the focus of various research reports, reflecting mixed sentiments among analysts. UBS Group adjusted its price target from $175.00 to $170.00, maintaining a “buy” rating. In contrast, BNP Paribas Exane lowered its price target to $150.00, issuing a “neutral” rating. Meanwhile, Jefferies Financial Group raised its target from $161.00 to $163.00 while retaining a “hold” rating.
In a more optimistic move, DZ Bank upgraded its rating from “hold” to “buy,” setting a price target of $167.00. Piper Sandler also increased its target from $160.00 to $162.00, giving the stock an “overweight” rating. Overall, seven analysts classify PepsiCo shares as a buy, while fourteen have given a hold rating, and one has issued a sell rating. According to MarketBeat, the average rating for PepsiCo stands at “hold” with a consensus price target of $156.95.
PepsiCo’s stock performance has seen fluctuations, opening at $146.09 recently. The company recorded a one-year low of $127.60 and a high of $167.96. Financial metrics reveal a debt-to-equity ratio of 2.26, a current ratio of 0.91, and a quick ratio of 0.72. The fifty-day moving average price sits at $145.80, while the 200-day moving average is $139.73.
PepsiCo’s latest quarterly earnings report, released on October 9, 2023, showed earnings per share of $2.29, surpassing forecasts of $2.26 by $0.03. The company achieved a return on equity of 57.58% and a net margin of 7.82%. For the quarter, PepsiCo reported revenue of $23.94 billion, closely aligning with expectations of $23.91 billion, and reflecting a 2.7% year-over-year revenue growth. Looking ahead, PepsiCo has set its fiscal year 2025 guidance at $8.12 earnings per share, with analysts projecting $8.3 for the current fiscal year.
PepsiCo, Inc. is engaged in the manufacture, marketing, distribution, and sale of a diverse range of beverages and convenient foods globally. The company operates across 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, New Zealand, and China Region.
