PepsiCo (PEP) Advances But Underperforms Market: Key Facts

Company Overview - PepsiCo closed the most recent trading day at $152.81, moving +1% from the previous trading session, but fell short of the S&P 500's gain of 1.1% [1] - The company has lost 7.21% in the past month, while the Consumer Staples sector lost 4.15% and the S&P 500 gained 0.22% [6] Financial Performance - For the full year, the Zacks Consensus Estimates project earnings of $8.15 per share and revenue of $92.13 billion, reflecting changes of +6.96% and +0.72% from the preceding year [2] - Analysts expect PepsiCo to post earnings of $1.95 per share in its upcoming earnings release on February 4, 2025, marking year-over-year growth of 9.55%, with projected net sales of $28.08 billion, up 0.82% from the year-ago period [7] Valuation Metrics - PepsiCo's current Forward P/E ratio is 18.56, which is a premium compared to the average Forward P/E of 18.24 for its industry [4] - The company has a PEG ratio of 2.87, compared to the industry average PEG ratio of 2.62 [10] Industry Context - The Beverages - Soft drinks industry is part of the Consumer Staples sector, currently holding a Zacks Industry Rank of 167, which places it in the bottom 34% of all industries [5] - The strength of individual industry groups is measured by the Zacks Industry Rank, indicating that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [12] Analyst Sentiment - Recent changes to analyst estimates for PepsiCo indicate the dynamic nature of near-term business trends, with positive revisions reflecting analysts' confidence in the company's performance [8] - The Zacks Rank system currently rates PepsiCo at 4 (Sell), with the Zacks Consensus EPS estimate having moved 0.02% lower over the last 30 days [9]