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PepsiCo (PEP) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, PepsiCo (PEP - Free Report) closed at $148.22, marking a +0.4% move from the previous day. This change outpaced the S&P 500's 0.15% gain on the day.
Prior to today's trading, shares of the food and beverage company had gained 2.55% over the past month. This has lagged the Consumer Staples sector's gain of 2.66% and outpaced the S&P 500's gain of 0.58% in that time.
PEP will be looking to display strength as it nears its next earnings release, which is expected to be July 13, 2021. On that day, PEP is projected to report earnings of $1.51 per share, which would represent year-over-year growth of 14.39%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $17.76 billion, up 11.4% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.05 per share and revenue of $75.22 billion. These totals would mark changes of +9.6% and +6.89%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for PEP. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. PEP is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note PEP's current valuation metrics, including its Forward P/E ratio of 24.4. For comparison, its industry has an average Forward P/E of 23.72, which means PEP is trading at a premium to the group.
Also, we should mention that PEP has a PEG ratio of 3.05. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Beverages - Soft drinks was holding an average PEG ratio of 2.71 at yesterday's closing price.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 132, which puts it in the bottom 49% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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PepsiCo (PEP) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, PepsiCo (PEP - Free Report) closed at $148.22, marking a +0.4% move from the previous day. This change outpaced the S&P 500's 0.15% gain on the day.
Prior to today's trading, shares of the food and beverage company had gained 2.55% over the past month. This has lagged the Consumer Staples sector's gain of 2.66% and outpaced the S&P 500's gain of 0.58% in that time.
PEP will be looking to display strength as it nears its next earnings release, which is expected to be July 13, 2021. On that day, PEP is projected to report earnings of $1.51 per share, which would represent year-over-year growth of 14.39%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $17.76 billion, up 11.4% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.05 per share and revenue of $75.22 billion. These totals would mark changes of +9.6% and +6.89%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for PEP. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. PEP is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note PEP's current valuation metrics, including its Forward P/E ratio of 24.4. For comparison, its industry has an average Forward P/E of 23.72, which means PEP is trading at a premium to the group.
Also, we should mention that PEP has a PEG ratio of 3.05. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Beverages - Soft drinks was holding an average PEG ratio of 2.71 at yesterday's closing price.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 132, which puts it in the bottom 49% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.