Fintel reports that BlackRock has filed a 13G/A form with the SEC disclosing ownership of 110.13MM shares of PepsiCo, Inc. (PEP). This represents 8.0% of the company.
In their previous filing dated February 1, 2022 they reported 105.50MM shares and 7.60% of the company, an increase in shares of 4.38% and an increase in total ownership of 0.40% (calculated as current - previous percent ownership).
Analyst Price Forecast Suggests 13.84% Upside
As of February 3, 2023, the average one-year price target for PepsiCo is $193.49. The forecasts range from a low of $171.70 to a high of $224.28. The average price target represents an increase of 13.84% from its latest reported closing price of $169.97.
The projected annual revenue for PepsiCo is $88,791MM, an increase of 6.15%. The projected annual EPS is $7.36, an increase of 4.72%.
Fund Sentiment
There are 4305 funds or institutions reporting positions in PepsiCo. This is an increase of 51 owner(s) or 1.20%.
Average portfolio weight of all funds dedicated to US:PEP is 0.8589%, an increase of 3.1118%. Total shares owned by institutions increased in the last three months by 0.27% to 1,098,455K shares.
What are large shareholders doing?
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 41,188,666 shares representing 2.95% ownership of the company. In it's prior filing, the firm reported owning 40,710,660 shares, representing an increase of 1.16%. The firm increased its portfolio allocation in PEP by 3.31% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 31,284,782 shares representing 2.24% ownership of the company. In it's prior filing, the firm reported owning 30,603,995 shares, representing an increase of 2.18%. The firm increased its portfolio allocation in PEP by 3.55% over the last quarter.
Geode Capital Management holds 25,369,539 shares representing 1.82% ownership of the company. In it's prior filing, the firm reported owning 24,834,441 shares, representing an increase of 2.11%. The firm increased its portfolio allocation in PEP by 3.69% over the last quarter.
Bank Of America holds 23,097,698 shares representing 1.66% ownership of the company. In it's prior filing, the firm reported owning 23,098,700 shares, representing a decrease of 0.00%. The firm increased its portfolio allocation in PEP by 2.89% over the last quarter.
Invesco Qqq Trust, Series 1 holds 20,262,288 shares representing 1.45% ownership of the company. In it's prior filing, the firm reported owning 19,972,238 shares, representing an increase of 1.43%. The firm increased its portfolio allocation in PEP by 2.99% over the last quarter.
PepsiCo Declares $1.15 Dividend
PepsiCo said on February 1, 2023 that its board of directors declared a regular quarterly dividend of $1.15 per share ($4.60 annualized). Shareholders of record as of March 2, 2023 will receive the payment on March 31, 2023. Previously, the company paid $1.15 per share.
At the current share price of $169.97 / share, the stock's dividend yield is 2.71%. Looking back five years and taking a sample every week, the average dividend yield has been 2.92%, the lowest has been 2.47%, and the highest has been 3.82%. The standard deviation of yields is 0.28 (n=236).
The current dividend yield is 0.78 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.66. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.20%, demonstrating that it has increased its dividend over time.
PepsiCo Background Information
(This description is provided by the company.)
PepsiCo products are enjoyed by consumers more than one billion times a day in more than 200 countries and territories around the world. PepsiCo generated more than $67 billion in net revenue in 2019, driven by a complementary food and beverage portfolio that includes Frito-Lay, Gatorade, Pepsi-Cola, Quaker and Tropicana. PepsiCo's product portfolio includes a wide range of enjoyable foods and beverages, including 23 brands that generate more than $1 billion each in estimated annual retail sales. Guiding PepsiCo is our vision to Be the Global Leader in Convenient Foods and Beverages by Winning with Purpose. "Winning with Purpose" reflects our ambition to win sustainably in the marketplace and embed purpose into all aspects of the business
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
