Why PepsiCo Stock Was Climbing Today

Core Insights - PepsiCo's second-quarter earnings report exceeded analyst expectations, leading to a 6.8% increase in stock price [1][3] - The company reported a revenue increase of 1%, with organic revenue growth of 2.1%, totaling $22.7 billion, surpassing estimates of $22.3 billion [3][4] Financial Performance - Gross profit declined as costs rose faster than revenue, resulting in a 5% decrease in core constant-currency earnings per share to $2.12, which was above the consensus estimate of $2.03 [4] - International markets showed strength, with organic revenue growth of 5% or more in three out of four international segments, while Pepsi Foods North America experienced a 2% decline in organic revenue [4] Future Outlook - CEO Ramon Laguarta expressed optimism about the acceleration in net revenue growth compared to the previous quarter, despite a challenging environment [5] - For 2025, PepsiCo anticipates a low-single-digit increase in organic revenue and flat core constant-currency EPS, which has reassured investors following a recent sell-off [5]