PepsiCo(PEP)

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The S&P 500 Entered a Correction Last Week. 3 Stocks Down 20% or More to Buy on the Dip.
The Motley Fool· 2025-03-22 08:15
Group 1: Market Overview - A stock market correction is defined as a 10% to 20% pullback from a peak, with the S&P 500 entering correction territory on March 13, marking the first occurrence since 2022 [1][2] Group 2: Investment Opportunities - During market corrections, shares of quality companies often become more attractive, providing better buying opportunities [2] - PepsiCo is currently trading at a 19% discount to its usual valuation, down about 25% from 2023 highs, with a price-to-earnings ratio of 21 compared to its historical average of 26 [4][5] - Ulta Beauty's stock is down nearly 40%, but it is still expected to earn $1.3 billion in operating income in the coming year, making it a cheap stock at a valuation of $16 billion [10][11] - PayPal's stock trades at just 17 times earnings, close to its historical lows, with expected ongoing improvements in transaction margins leading to potential earnings growth through 2027 [15] Group 3: Company-Specific Insights - PepsiCo has a strong portfolio, including a recent acquisition of Poppi for nearly $2 billion, and has increased its dividend for 53 consecutive years, with a current yield approaching 4% [3][6] - Ulta Beauty has over 1,400 locations and has shown resilience during economic downturns, with same-store sales growth during the Great Recession [8] - PayPal's recent stock performance is correlated with the broader fintech sector, and under new management, it is renegotiating contracts to improve transaction margins [12][14] Group 4: Conclusion - Pepsi, Ulta Beauty, and PayPal are identified as resilient businesses that have experienced stock price declines, presenting potential investment opportunities for investors looking to deploy cash [16]
Why PepsiCo's $1.95 Billion Bet on Poppi Makes the Stock an Attractive Buy
The Motley Fool· 2025-03-21 08:05
PepsiCo (PEP -0.67%) is a company with more than 50 consecutive annual dividend increases under its belt. You don't achieve a feat like that by accident. It requires having a strong business model that gets executed well in both good times and bad.PepsiCo's recently announced purchase of Poppi for $1.95 billion is an example of the company's strong business model being executed well during bad times. It makes PepsiCo's stock look like a buy.PepsiCo is out of favorPepsiCo's dividend yield is 3.5% at this wri ...
Pepsi, Poppi, and the Creosote Bush
The Motley Fool· 2025-03-20 12:41
To stay on top, the consumer giants need a player in every potential market.In this podcast, Motley Fool analyst David Meier and host Dylan Lewis discuss:February retail numbers showing continued consumer struggles, and why this upcoming retail earnings season will be a key read on the economy.Pepsi's planned $2 billion acquisition of the Poppi soda brand, whose drinks include apple cider vinegar and prebiotics (fibers that feed gut bacteria).The venture-capital-style of trend investing for consumer brands. ...
3 Dividend Kings That Are Trading Near Their 52-Week Lows
The Motley Fool· 2025-03-20 08:55
Buying a top dividend stock when it's near its 52-week low can be an excellent move for long-term investors to consider. That's because it gives you the potential to benefit from a higher-than-usual yield, plus the possibility to cash in at a higher valuation in the future, assuming that the struggling stock bounces back. While not every stock will be a good buy in the long run, companies that routinely pay and increase their dividend payments will usually have solid financials, and that can make them good ...
PepsiCo to Buy poppi Soda Brand to Strengthen Better-For-You Offerings
ZACKS· 2025-03-18 16:41
PepsiCo, Inc. (PEP) looks well-poised for growth on strength in its core categories, diversified portfolio, improved digital capabilities and flexible go-to-market distribution systems. PEP’s solid innovations are on track.In the latest revelation, PepsiCo has inked an agreement to acquire poppi, which is a fast-growing prebiotic soda brand, worth $1.95 billion. This amount comprises $300 million of estimated cash tax gains for a net purchase price of $1.65 billion.Details on PEP’s Latest Newspoppi combines ...
ETFs in Focus as PepsiCo Buys Prebiotic Soda Brand Poppi
ZACKS· 2025-03-18 13:25
PepsiCo (PEP) announced on Monday its acquisition of the prebiotic soda brand Poppi for $1.95 billion, strengthening its presence in the growing functional beverage category. The move comes as the company faces declining demand for its traditional sodas and snacks amid consumers’ preference for health-conscious options. Shares of PEP gained about 1.9% on March 17, 2025.PepsiCo stated that the transaction includes $300 million in anticipated cash tax benefits, bringing the net purchase price to $1.65 billion ...
PepsiCo slaps high valuation on functional soda brand Poppi
Proactiveinvestors NA· 2025-03-17 16:54
About this content About Angela Harmantas Angela Harmantas is an Editor at Proactive. She has over 15 years of experience covering the equity markets in North America, with a particular focus on junior resource stocks. Angela has reported from numerous countries around the world, including Canada, the US, Australia, Brazil, Ghana, and South Africa for leading trade publications. Previously, she worked in investor relations and led the foreign direct investment program in Canada for the Swedish government ...
PepsiCo to buy healthy soda brand Poppi for nearly $2B
Fox Business· 2025-03-17 15:51
Core Viewpoint - PepsiCo is acquiring prebiotic soda brand Poppi for $1.95 billion to meet increasing consumer demand for healthier products, with a net purchase price of $1.65 billion after accounting for anticipated cash tax benefits [1]. Group 1: Acquisition Details - The acquisition includes $300 million in anticipated cash tax benefits, reducing the effective purchase price to $1.65 billion [1]. - Poppi is a low-calorie soda that combines prebiotics and fruit juice, containing no more than 5 grams of sugar per serving [4]. Group 2: Market Trends - There is a growing consumer interest in health and wellness, influencing purchasing behaviors and driving demand for healthier options [3][6]. - The prebiotic soda market is projected to reach a valuation of $54.5 million by 2034 [8]. Group 3: Competitive Landscape - PepsiCo's CEO highlighted the company's ongoing portfolio transformation to include lower sodium, lower fat, lower sugar, and positive ingredients [7]. - Coca-Cola is also entering the prebiotic soda market with its own product, Simply Pop, targeting wellness-focused consumers [7].
PepsiCo buying prebiotic soda brand Poppi for nearly $2B as soft drink demand fizzles
New York Post· 2025-03-17 15:23
PepsiCo said Monday it would buy prebiotic soda brand Poppi for $1.95 billion, expanding in the “healthier soda” category at a time when the company is battling falling demand for its traditional beverages and snacks.Shares of PepsiCo were up 1.5% in morning trading.Young Americans are increasingly turning to healthier sodas and energy drinks as part of a broader shift to fitness and lifestyle products, with rival Coca-Cola expanding its Simply brand to launch a prebiotic soda called “Simply Pop.”PepsiCo ag ...
PepsiCo buys prebiotic soda brand Poppi for more than $1.6 billion
CNBC· 2025-03-17 12:41
PepsiCo said Monday that it is buying prebiotic soda brand Poppi for more than $1.6 billion.The food and beverage giant said it plans to acquire the upstart for $1.95 billion. The deal includes $300 million of anticipated cash tax benefits, making the net purchase price $1.65 billion.Pepsi will also have to make additional payments if Poppi achieves certain performance milestones within a set time frame after the acquisition closes.Pepsi did not say when the deal is expected to close, pending regulatory app ...