I'm Susan Jabinsky, co-host of the Morning Filter podcast. The holidays are upon us. Why not spread some holiday cheer by gifting a stock to a close family member or friend.Or how about giving them some money they can invest themselves along with a good stock tip or two from Morning Star. Today, we're talking about three stocks we think would make good holiday gifts as long-term investments. All of these stocks are from companies with wide economic moes.We expect companies with wide moes to remain competiti ...

Two Morgan two iconic snacks getting a makeover. >> We're ready. Introducing Simply Naked.PepsiCo. Removing the artificial dyes from Cheetos and Doritos, making them totally colorless. NBC News business and economy reporter Emily Lor joins us.Uh, what can we expect from this new roll out, Em. Hey guys, the idea here from the company is that they are reinventing some of its most iconic snacks, Doritos and Cheetos, two types each, and they're basically removing some of those artificial dyes and flavors. They ...

Cheetos and Doritos are getting naked. PepsiCo is rolling out a new version of some of its most iconic snacks called Simply Naked. The new line is made without any artificial flavors or dyes.The flavors include nacho cheese and cool ranch Doritos. Also, the puffs and flamin' Hot Cheetos. They're now available for pre-order and customers can find them in stores starting on December 1st. ...

Core Insights - PepsiCo is focusing on innovation to drive growth and adapt its portfolio to changing consumer preferences, particularly in health and functionality [1][8] - The company is launching new products in both beverages and snacks, targeting health-conscious consumers with cleaner ingredients and functional benefits [2][3] Beverage Segment - PepsiCo's innovation pipeline includes successful products like Pepsi Zero Sugar, which is experiencing double-digit growth, and new functional beverages such as Propel Protein Water and Gatorade Lower Sugar [2][8] - The acquisition of poppi, generating approximately $525 million in retail sales, underscores PepsiCo's strategy to enhance its position in the functional beverage market [2] Snack Segment - The company is revitalizing snack brands like Doritos and Cheetos with healthier ingredients and added functionality, contributing to a $2 billion-plus permissible snack portfolio [3][8] - Sun Chips are projected to exceed $700 million in annual sales, highlighting the effectiveness of PepsiCo's innovation strategy in aligning health, taste, and value [3] Competitive Landscape - Competitors like Coca-Cola and Keurig Dr Pepper are also prioritizing innovation to meet consumer demands, with Coca-Cola expanding into lower-sugar and functional beverages, and KDP focusing on product offerings and delivery systems [4][5][6] Financial Performance - PepsiCo's shares have increased by 1.5% over the past three months, contrasting with a 0.5% decline in the industry [7] - The forward price-to-earnings ratio for PepsiCo is 16.83X, slightly below the industry average of 17.42X [9] - Earnings estimates for 2025 indicate a slight decline of 0.6%, while 2026 estimates suggest a growth of 5.6%, with recent upward revisions in EPS estimates [10]

Core Insights - Consumer-facing businesses with strong brand power are positioned to grow dividends and enhance investor portfolios in the long term [1][2] Group 1: Company Summaries - **Pool Corp.**: The largest wholesale distributor of swimming pools and related supplies, Pool Corp. has established recurring revenue streams through installation and maintenance services. The company has increased its dividend for 14 consecutive years, despite economic downturns, making it a potential buying opportunity as consumer sentiment rebounds [4][6]. - **PepsiCo**: A dominant player in the food and beverage sector, PepsiCo has a diverse portfolio that includes well-known snack brands. The company has increased its dividend for 52 consecutive years, benefiting from strong pricing power and consistent demand for its products [7][8]. - **Clorox**: Known for its cleaning products and household goods, Clorox has maintained a strong return on invested capital averaging 19% over the past decade. The company has a dividend yield of over 4% and is approaching five decades of uninterrupted dividend increases, despite recent challenges [9][10]. - **Home Depot**: As a leading home improvement retailer, Home Depot benefits from a cultural inclination towards home spending. The company has a 15-year dividend growth streak and is expected to continue this trend as housing turnover increases in the coming decade [11][12]. - **Philip Morris International**: Transitioning from traditional cigarettes to smoke-free products, Philip Morris generates over 40% of its sales from next-generation products. The company has consistently raised its dividend since 2008, indicating strong growth potential in the evolving nicotine market [13][14].

Core Insights - PepsiCo reported better-than-expected results for Q3, with sales and profits exceeding analysts' expectations, leading to cautious optimism from Wall Street [1][4] - Bank of America upgraded its price target for PepsiCo to $155 from $150, citing "encouraging progress" despite the company being perceived as past its growth prime [2][3] Financial Performance - Q3 revenue increased by 2.6% year over year to $23.94 billion, slightly surpassing Wall Street consensus [7] - Adjusted EPS reached $2.29, exceeding estimates of approximately $2.26, aided by lower-than-expected foreign exchange impacts [7] - Full-year 2025 EPS outlook raised to $8.12 from $8.04, with FY26 and FY27 EPS estimates also increased to $8.60 and $9.10, respectively [9] Market Dynamics - Despite a solid global quarter, PepsiCo's core U.S. business faces challenges, with flat snack sales and a 3% decline in beverage volumes before adjustments [8][9] - Frito-Lay North America sales remained unchanged year over year, even with contributions from the acquisition of Siete Foods [9] - The beverage division saw a 2% organic sales gain, but overall volume pressures persist [9] Strategic Focus - PepsiCo is focusing on innovation, including clean-label snacks and prebiotic colas, to regain market share [4] - The company is under pressure from activist investors, with a $4 billion stake from Elliott Investment Management prompting discussions on operational efficiency and potential divestitures [9]

Core Insights - PepsiCo launched its first-ever Global Farmer Awards to honor outstanding farmers, farming families, and advisors from its global supply chain, emphasizing the importance of agriculture in its business model [1][3][4] - The Perry Family Farm from Alberta, Canada, was awarded Farmer of the Year, recognized for its leadership in regenerative agriculture and long-standing partnership with PepsiCo [2][5] - The awards align with PepsiCo's pep+ Positive Agriculture agenda, which aims to implement regenerative practices across 10 million acres by 2030, having already achieved over 3.5 million acres as of 2024 [6] Event Highlights - The awards ceremony took place at PepsiCo's headquarters in Purchase, NY, gathering nearly 60 farmers and advisors from 19 countries [1][3] - Finalists were recognized across six categories: Sustainability, Next-Gen Farming, Leadership & Advisory, Heritage & Growth, Quality, and Farmer of the Year, showcasing a diverse representation of farmers [4] - The event included a broader agenda with plenary sessions, a Taste & Tell Expo, and panels where farmers shared regenerative practices with PepsiCo executives [9][10] Strategic Initiatives - PepsiCo is investing in farmer training, technology, and collaborations to enhance soil health, biodiversity, and watershed improvements [6][7] - The Climate Resilience Platform was launched as a digital tool to provide farmers with insights on climate conditions and potential impacts on yields [7] - The STEP Up for Agriculture initiative, developed in collaboration with Unilever and other retailers, aims to strengthen farmer support organizations and promote regenerative practices [7]

Core Viewpoint - PepsiCo is actively reshaping its portfolio and reducing costs in response to scrutiny from activist investor Elliott Investment Management, emphasizing a sense of urgency in its strategic initiatives [1][3]. Group 1: Company Strategy - Elliott Investment Management, managing a $4 billion stake in PepsiCo, has called for a review of the company's food and drinks businesses in North America due to poor financial results [2]. - CEO Ramon Laguarta stated that most of Elliott's suggestions align with PepsiCo's Strategy 2030, indicating that the company is already acting on these ideas [3]. - Both PepsiCo and Elliott agree that the business is undervalued and see opportunities for improvement through urgent interventions [4]. Group 2: Innovation and Product Development - PepsiCo is relaunching its Lay's, Tostitos, and Gatorade brands, with a global rebrand for Lay's and a new lower sugar variant of Gatorade that contains 75% less sugar than the original [5]. - The company plans to eliminate artificial food dyes and flavors from Tostitos and Lay's by the end of the year and is launching a 'NKD' line for Doritos and Cheetos that will be free of artificial colors and flavors [6]. - Ongoing innovation includes the relaunch of Muscle Milk ready-to-drink shakes and a new Propel product targeting GLP-1 consumers, featuring special electrolytes, high fiber content, and good protein levels [7].

Core Insights - PepsiCo, Inc. (NASDAQ:PEP) is recognized as one of the 14 best food dividend stocks to buy according to analysts [1] - The company has a diverse portfolio that includes popular beverage and snack brands, contributing to multiple revenue streams [2] - Approximately 40% of PepsiCo's sales and profits are generated from international markets, demonstrating resilience even during economic downturns [3] Financial Performance - PepsiCo's cash flow has remained stable due to its various revenue options, allowing the company to increase its dividend payouts for 53 consecutive years [4] - The current dividend is $1.4225 per share, resulting in a dividend yield of 4.01% as of October 5 [4]

Core Insights - PepsiCo is focusing on fiber innovation to address consumer deficiencies in the U.S. and plans to launch healthier versions of its popular snacks [1] - The company is under pressure from activist investor Elliott Investment Management, which has a $4 billion stake and is advocating for structural changes to enhance stock value [3] - PepsiCo's Frito-Lay division is facing challenges due to inflation and changing consumer preferences, but the company sees significant growth potential in this segment [5][6] Group 1: Product Innovation - PepsiCo is set to introduce "naked" versions of Doritos and Cheetos, eliminating artificial colors and flavors to attract health-conscious consumers [1] - Other products like Lay's and Tostitos will also receive a makeover, with new packaging emphasizing ingredient sourcing [2] Group 2: Investor Relations - Elliott Investment Management's proposed changes could potentially increase PepsiCo's stock price by up to 50% [3] - Discussions between PepsiCo and Elliott are described as "super constructive" and "collaborative" [3][4] Group 3: Market Performance - PepsiCo shares have declined by 4% year-to-date and 16% over the past 12 months, contrasting with Coca-Cola's 7% increase and the S&P 500's 15% rise [4] Group 4: Frito-Lay Division Challenges - The Frito-Lay division is experiencing slowing demand and rising costs, attributed to inflation affecting middle- and lower-income households [5] - Analyst insights indicate Frito-Lay's challenges include pricing issues, limited exposure to faster-growing snack categories, and a lack of protein offerings [7]