PepsiCo (PEP) Upgraded to Overweight by JPMorgan After Initiatives to Boost Shareholder Returns

Core Viewpoint - PepsiCo, Inc. (NASDAQ:PEP) is currently considered one of the most active blue chip stocks to buy, with JPMorgan upgrading its rating from Neutral to Overweight and raising the price target to $164 from $151, following the company's initiatives to enhance shareholder returns and early guidance for 2026 [1][2]. Group 1: Strategic Initiatives - Analyst Andrea Teixeira noted that PepsiCo's strategic plan is expected to drive high single-digit total shareholder return (TSR) in 2026, with the stock trading at a significant discount compared to reputable competitors [2]. - JPMorgan emphasized that while there have been no major changes in PepsiCo's business objectives, the company is set to achieve higher productivity targets and improved top-line growth, which provides a positive outlook [3]. Group 2: Business Integration and Performance - The integration of Siete and Poppi in the latter half of the year, along with enhanced distribution for Alani Nu, is anticipated to improve PepsiCo's organic top-line performance [3]. - PepsiCo is recognized as a leading multinational company in the food, snack, and beverage sectors, indicating its strong market presence [3].