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PEP · NasdaqGS

PepsiCo Inc.

Beverages - Non-Alcoholic · United States

USD 143.940.2% daily changeQuote 2026-11-11 · USD
Market cap (USD)
US$196.15B
Trailing P/E
18.11x
Forward P/E
16.69x
Quarterly revenue growth
5.6%
Trailing net margin
11.1%
Indicated dividend yield
4.1%

Snapshot 2026-11-11 · Latest financial period 2026-09-05 · Yahoo Finance. Quotes may be delayed; reporting periods can differ.

Company background

PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through six segments: PepsiCo Foods North America; PepsiCo Beverages North America; International Beverages Franchise; Europe, Middle East and Africa; Latin America Foods; and Asia Pacific Foods. It offers cereals, chips, dips, granola bars, oatmeal, pasta, rice, and syrups and mixes; refrigerated dips and spreads; beverage concentrates, fountain syrups, and finished goods; and ready-to-drink tea and coffee products. The company also provides SodaStream sparkling water makers and related products, as well as various dairy products under the Agusha, Chudo, and Domik v Derevne brands. It serves wholesale and other distributors, foodservice customers, grocery stores, drug stores, convenience stores, discount/dollar stores, mass merchandisers, membership stores, hard discounters, e-commerce retailers and authorized independent bottlers, and others through a network of direct-store-delivery, customer warehouse, and distributor networks, as well as directly to consumers through e-commerce platforms and retailers. PepsiCo, Inc. was founded in 1898 and is based in Purchase, New York.

Company website

Q3 2026

Go beyond the headline.

PEP Stock: The Refund Behind the Profit Growth — Q3 2026

Published 2026-10-08

Q3 2026 REPORT HIGHLIGHTS

What’s changed for PEP

PepsiCo cut its earnings outlook while a tariff refund exceeded the quarterly increase in core operating profit.

  1. The headline overstates the operating improvement.

    Core EPS rose 2% while GAAP EPS increased 17%; the prior-year adjustment burden was much larger.

  2. The refund matters.

    Subtracting the disclosed $178m tariff refund from $4.277bn core profit gives $4.099bn, below last year’s $4.137bn. This is our diagnostic, not an issuer measure.

  3. International is doing the heavy lifting.

    Organic revenue grew 8% and core operating margin expanded 105 basis points.

  4. The domestic repair costs money.

    North America food core margin fell 280 basis points as affordability and marketing investment outweighed savings.

  5. Price offers income, but limited cushion.

    HOLD, conviction 3/5, $135 fair value; a $115 entry would create about 15% margin to that anchor.

Comparable businesses

PEP peer comparison

Same business group first, then company size. Preferred market cap: 0.5–2x; extended range: one-third–3x. Outside that range, industry benchmarks are labeled separately and excluded from peer medians.

Comparison stocks

Market metrics · missing or inapplicable values shown as —
MetricPEPPepsiCo, Inc.Snapshot 2026-11-11Financial period: 2026-09-05KOThe Coca-Cola CompanySnapshot 2026-11-11Financial period: 2026-10-02MNSTMonster Beverage CorporationSnapshot 2026-11-11Financial period: 2026-09-30Peer medianSimilar-size peers only
Market capMarket value, converted to USDUS$196.15BUS$419.74BUS$88.87BUS$254.30Bn=2
Forward P/EProvider forward earnings estimate16.69x27.65x34.81x31.23xn=2
EV / EBITDAEnterprise value / trailing EBITDA12.34x25.51x28.58x27.04xn=2
Revenue growthLatest quarter vs prior-year quarter5.6%7.4%16.7%12.0%n=2
Operating marginLatest reported quarter16.0%32.2%29.8%31.0%n=2
Free cash flow yieldTrailing cash flow / market cap4.6%1.0%1.6%1.3%n=2
Net debt / EBITDANet debt / trailing EBITDA2.12x1.48x-1.21x0.14xn=2
Debt / equityTotal debt / positive book equity2.31x1.07x0.01x0.54xn=2
Trailing P/ETrailing twelve-month earnings18.11x28.78x41.27x35.03xn=2
Price / bookPrice / positive book equity per share8.81x11.23x9.03x10.13xn=2
EV / salesEnterprise value / trailing revenue2.41x8.71x8.88x8.80xn=2
Earnings growthLatest quarter vs prior-year quarter17.4%8.3%8.0%8.2%n=2
Gross marginTrailing twelve months54.3%62.3%55.3%58.8%n=2
Net marginTrailing twelve months11.1%28.7%22.7%25.7%n=2
Return on equityProvider trailing return; positive equity only52.2%40.6%24.7%32.6%n=2
Free cash flow marginTrailing free cash flow / revenue9.2%8.5%15.1%11.8%n=2
Dividend yieldIndicated annual dividend / price4.1%2.2%——
Earnings payoutProvider trailing dividend payout73.0%62.0%0.0%31.0%n=2
Current ratioCurrent assets / current liabilities0.94x1.38x3.81x2.60xn=2
BetaProvider historical market sensitivity0.320.270.510.39n=2

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Comparison methodology & limitations

Reviewed operating groups override broad sector classifications. Other companies are matched only within a sufficiently specific provider industry. Business mix, geography and accounting standards can still differ. Market caps are converted to USD using exchange rates captured during the snapshot refresh. Financial ratios that would mix currencies are omitted. Snapshots must be at most 14 days old and no more than seven days apart for automatic selection.

Peer medians require at least two valid similar-size peers for each metric. Negative earnings, nonpositive equity, missing data and irrelevant bank ratios are not presented as attractive valuations. A higher or lower number is not automatically a better investment. Financial statement periods are not calendar-aligned across companies.

Reported performance

Financial trends

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Financial history
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Market context

Valuation & price history

Adjusted closing price

Price history

Price history loads separately.

Earnings-multiple scenario

Illustrative price = your earnings-per-share assumption × your P/E assumption. This is not a price target or a complete valuation model.

Starting assumptions, when available, use provider forward estimates as of 2026-11-11. Negative earnings require a different valuation method. This calculation omits balance-sheet, dilution and execution risks.

THE RESEARCH RECORD

Research history for PEP

All available reporting periods
Q3 20262026-10-08
Q1 20262026-04-18

PEP Q1 2026 earnings analysis

Presentation · 2026-04-18 · YouTube

Deep Dive2026-04-18
Q4 20252026-04-13

Reported figures

Verify material figures against company filings. Market data and AI-assisted analysis may contain errors.