PepsiCo (NASDAQ:PEP) Shares Climb 3.1% – Here’s Why

Posted by Francis Steltz on Oct 22nd, 2026

PepsiCo, Inc. (NASDAQ:PEP – Get Free Report)’s share price was up 3.1% during trading on Thursday. The company traded as high as $139.00 and last traded at $138.83. 9,364,481 shares traded hands during mid-day trading, an increase of 15% from the average daily volume of 8,173,290 shares. The stock had previously closed at $134.70.

Key Headlines Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

Positive Sentiment: Long-term Taco Bell renewal: PepsiCo extended its U.S. and selected international beverage partnership with Taco Bell through 2036. The agreement protects distribution for brands including Mountain Dew Baja Blast and includes plans for new crafted, functional and energy beverages. Taco Bell and PepsiCo partnership announcement
Positive Sentiment: Important customer win after KFC loss: Taco Bell’s decision provides PepsiCo with a high-profile restaurant partner and a competitive victory over Coca-Cola, helping reassure investors about its fountain and foodservice business. Pepsi renews Taco Bell contract
Positive Sentiment: Growth initiatives: New Good Warrior protein bars, Quaker snack products in India and PepsiCo’s multipack snack business could broaden its portfolio and respond to demand for convenient, higher-protein and portion-controlled products. PepsiCo Good Warrior protein bars
Positive Sentiment: Valuation appeal: Commentary highlighted that PEP trades significantly below its 52-week high and may offer contrarian value if North American beverage and snack volumes improve. PepsiCo contrarian opportunity

Analyst Ratings Changes

Several research firms have issued reports on PEP. Evercore lowered their price target on shares of PepsiCo from $150.00 to $135.00 in a report on Wednesday, September 30th. UBS Group reduced their price objective on shares of PepsiCo from $159.00 to $145.00 and set a “buy” rating on the stock in a research note on Friday, October 2nd. Morgan Stanley set a $145.00 price objective on shares of PepsiCo in a research note on Friday, October 9th. Bank of America decreased their price objective on shares of PepsiCo from $173.00 to $164.00 and set a “neutral” rating for the company in a research report on Thursday, June 25th. Finally, Barclays lowered their target price on shares of PepsiCo from $133.00 to $126.00 and set an “equal weight” rating for the company in a research note on Monday, October 12th. One research 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 assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, PepsiCo currently has a consensus rating of “Hold” and a consensus target price of $144.37.

Check Out Our Latest Report on PEP

PepsiCo Price Performance

The stock has a market capitalization of $189.19 billion, a P/E ratio of 17.44, a PEG ratio of 3.99 and a beta of 0.35. The company has a debt-to-equity ratio of 1.90, a quick ratio of 0.76 and a current ratio of 0.94. The business has a fifty day simple moving average of $134.15 and a 200-day simple moving average of $141.57.

PepsiCo (NASDAQ:PEP – Get Free Report) last released its quarterly earnings data on Wednesday, October 7th. The company reported $2.34 earnings per share for the quarter, beating the consensus estimate of $2.29 by $0.05. PepsiCo had a net margin of 11.09% and a return on equity of 53.08%. The company had revenue of $25.27 billion during the quarter, compared to analyst estimates of $24.95 billion. During the same quarter in the previous year, the business posted $2.29 EPS. PepsiCo’s revenue for the quarter was up 5.6% compared to the same quarter last year. Sell-side analysts expect that PepsiCo, Inc. will post 8.41 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Robert Pohlad acquired 184,646 shares of the company’s stock in a transaction dated Wednesday, October 14th. The shares were purchased at an average price of $128.28 per share, for a total transaction of $23,686,388.88. Following the completion of the acquisition, the director owned 433,009 shares of the company’s stock, valued at approximately $55,546,394.52. This trade represents a 74.35% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP David Flavell sold 2,900 shares of the stock in a transaction dated Monday, July 27th. The stock was sold at an average price of $139.54, for a total transaction of $404,666.00. Following the transaction, the executive vice president directly owned 74,825 shares in the company, valued at $10,441,080.50. This trade represents a 3.73% decrease in their position. The SEC filing for this sale provides additional information. 0.12% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. BlackRock Inc. raised its position in shares of PepsiCo by 2.1% during the second quarter. BlackRock Inc. now owns 118,281,854 shares of the company’s stock worth $16,015,363,000 after purchasing an additional 2,440,377 shares during the period. State Street Corp grew its position in 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 purchasing an additional 987,582 shares during the period. Bank of America Corp DE grew its position in PepsiCo by 0.6% in the 1st quarter. Bank of America Corp DE now owns 21,283,701 shares of the company’s stock valued at $3,305,146,000 after purchasing an additional 133,325 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in PepsiCo by 4.9% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 11,817,684 shares of the company’s stock valued at $1,600,114,000 after purchasing an additional 549,336 shares during the period. Finally, Amundi increased its stake in PepsiCo by 16.8% during the 1st quarter. Amundi now owns 11,444,671 shares of the company’s stock valued at $1,777,243,000 after purchasing an additional 1,647,506 shares in the last quarter. Institutional investors own 73.07% of the company’s stock.

PepsiCo Company Profile

(Get Free Report)

PepsiCo, Inc (NASDAQ:PEP) is a global food and beverage company whose portfolio includes Pepsi-Cola, Mountain Dew, Gatorade, Lay’s, Doritos, Cheetos, Quaker, Tostitos, Fritos, and SodaStream. Its products span carbonated soft drinks, sports and energy beverages, bottled water, juices, convenient foods, snacks, and other packaged food offerings.

The company sells products through retail stores, restaurants, food-service providers, e-commerce platforms, and other distribution channels. PepsiCo serves consumers in North America and international markets across Latin America, Europe, Africa, the Middle East, and Asia-Pacific.