Today, 10:56 AM
- Coca-Cola-related names are trading higher after the company announces that Muhtar Kent is stepping down next April to be replaced by COO James Quincey
- There's a general sense that Quincey may be more open minded to M&A moves.
- Gainers within the KO extended family include Coca-Cola European Partners (CCE +2.4%), Monster Beverage (MNST +2.1%) and Coca-Cola Bottling Co. (COKE +1.6%).
- Beverage M&A targets Primo Water (PRMW +1.9%) and National Beverage Corp. (FIZZ +1.2%) are also showing a little pop.
- Interrestingly, PepsiCo (PEP +1.4%) is also ahead of broad market averages.
- Previously: Coca-Cola CEO to step down (Dec. 9)
- Previously: Coca-Cola higher after appointing new CEO (Dec. 9)
Tue, Nov. 22, 7:33 AM
Thu, Nov. 17, 4:55 PM
Wed, Nov. 9, 11:58 AM
- Susquehanna analyst Pablo Zuanic warns that Coca-Cola (KO -1.8%), PepsiCo (PEP -1.9%) and Anheuser-Busch InBev (BUD -2.3%) have some peso risk now embedded due to the sharp drop in the currency. Details from his note to investors are posted below.
- BUD: "In 2015 Mexico accounted for 12% of BUD EBITDA, but now including SAB it will account for 8-9%."
- KO: "LatAm accounted for 19% of KO EBIT in FY15, and we estimate that Mexico accounts for 10-12% of earnings (11% of CSDs and NARTDs, as per Euromonitor)."
- PEP: "At PEP Mexico is 6% of CSDS (end unit cases), but 12% of NARTDs (water, others), according to Euromonitor, and it accounts for 8% of Frito. So roughly, we’d say Mexico is 8-9% of PEP’s global earnings."
Wed, Nov. 9, 5:56 AM
- Three Bay Area cities have voted to levy a tax on sodas and other sugary drinks in an effort to curb obesity and diabetes.
- The measure passed by wide margins in San Francisco, Oakland and Albany (a separate vote in Boulder, Colorado is on track to pass as well).
- In 2014, Berkeley became the first city in the country to levy a soda tax and Philadelphia became the second in June.
- Related stocks: KO, PEP, DPS, MNST, FIZZ, SBUX, UL, PG
Fri, Oct. 28, 10:33 AM
- Researchers from Harvard University estimate that soda consumption could fall as much 20% in select California cities if a soda tax is passed on November 8. The same study predicted a 4% drop in diabetes cases as a result of soda taxation.
- California voters in San Francisco, Albany and Oakland are voting on the tax, as well as voters in Boulder, Colorado. The issue is also going in front of the Cook County Commission (Chicagoland) soon for a decision over what's openly being called a political money grab.
- The beverage industry had a very strong record of turning back soda tax initiatives, but saw a setback when the Philadelphia City Council approved a $0.015-per-ounce soda tax last June.
- Related stocks: KO, PEP, DPS, MNST, FIZZ, COT.
Tue, Oct. 18, 12:31 PM
- Beverage stocks are active after the latest data dump from Nielsen on sales trends.
- Wells Fargo notes that most beverage categories showed growth for the period ending October 8, including nearly a 5% gain for energy drink volume and sales.
- Coca-Cola's (KO +0.7%) carbonated soft drink sales were up +1.7%, while PepsiCo's (PEP +0.4%) CSDs fell off 0.8%. CSD sales were up 0.4% for Dr Pepper Snapple (DPS +0.5%).
- Gainers off the Nielsen numbers include Cott (COT +1.9%), Monster Beverage (MNST +2.6%), Primo Water (PRMW +1.9%) and National Beverage Corp. (FIZZ +1.2%).
- Source: Bloomberg
Mon, Oct. 17, 6:04 AM
- PepsiCo (NYSE:PEP) plans to announce today that it will reduce the calorie count in its drinks to below 100 in at least two thirds of its beverage lineup by 2025.
- Currently, 40% of PepsiCo drinks are below the 100-calorie level.
- The company also aims to reduce greenhouse gas emissions across its value chain by 20% before 2030.
Fri, Oct. 14, 3:36 AM
- PepsiCo (NYSE:PEP) is nearing a deal to acquire sparkling probiotic U.S. drinks company KeVita, in the latest push by the carbonated beverage giant to diversify its soft drinks business.
- The acquisition could be finalized as early as this month, according to Reuters, and will likely value the privately held company at less than $500M.
Wed, Oct. 5, 3:50 AM
- PepsiCo (NYSE:PEP) has been sued by the Center for Science in the Public Interest for misleading consumers by marketing its Naked Juice beverages as healthier than they really are.
- Its Pomegranate Blueberry juice, for example, advertises that it is a no-sugar-added beverage, but even a single 15.2-ounce container (the smallest option) contains 61 grams of sugar, about 50% more sugar than a 12-ounce can of Pepsi.
Thu, Sep. 29, 7:16 AM
- PepsiCo (NYSE:PEP) reports organic revenue increased 4.2% in FQ3. All of the company's segments showed positive organic revenue growth except Quaker Frito-Lay North America (-2%).
- Core gross margin rose 50 bps and core operating margin expanded 30 bps off of productivity improvements and lower raw materials costs.
- The core effective tax rate fell to 23.3% during the quarter, from 24.6% a year ago.
- PepsiCo expects EPS of $4.78 for the full year vs. $4.76 consensus and $4.71 prior. The food and beverage giant sees $3B in capital spending.
- Previously: PepsiCo beats by $0.08, beats on revenue (Sept. 29)
- PEP +2.53% premarket to $110.10.
Thu, Sep. 29, 6:32 AM
Wed, Sep. 28, 5:30 PM
Mon, Sep. 26, 11:20 AM
- PepsiCo (PEP -0.1%) says it's bringing probiotics to the juice aisle with a Tropicana Essentials Probiotics line of new drinks.
- The company says each serving of the drink will include one billion of the live and active cultures commonly found in yogurt products. Varieties of the new product will include strawberry banana, pineapple mango, and peach passion fruit.
Fri, Sep. 16, 10:21 AM
- Credit Suisse names its favorite stocks in the beverage sector and cautions on others with a wave of initiations.
- The investment firm starts off coverage on Monster Beverage (MNST -0.4%), Dr. Pepper Snapple (DPS), and PepsiCo (PEP -0.4%) with Outperform ratings.
- Neutral ratings filter down on Coca-Cola (KO -0.6%) and Constellation Brands (STZ -1.4%).
- CS hangs an Underperform rating on Boston Beer (SAM -1.2%).
- Forward PE ratios on the group: Monster 30.8, Dr. Pepper 20.6, PepsiCo 20.5, Coca-Cola 21.1, Constellations Brands 23.4, Boston Beer 23.2.
Thu, Sep. 15, 5:01 AM
- The American Beverage Association is suing to block Philadelphia's soft drinks tax, marking the latest clash between the soda industry and public officials seeking to boost revenue and combat health risks.
- In June, Philly became the largest U.S. city to approve a volume-based tax of 1.5%-per-ounce on sugar sweetened beverages.
- Voters in San Francisco and at least three other places will vote in November on whether to impose similar levies.
- Related stocks: KO, PEP, DPS, MNST, FIZZ, SBUX, UL, PG