Dec. 28, 2013, 4:26 PM
- "Much of Coke's (KO) recent volume weakness can be traced to temporary factors that should abate next year," writes Jack Hough, who thinks shares of the world's largest beverage company could gain 20% next year.
- The "key" for KO, says Hough, citing Janney analyst Jonathan Feeney, is the 700M people that will join the middle class over the next seven years. This could cause "soft-drink sales to double" over the next decade or so.
- Hough goes on to cite a number of sell-siders including RBC's Nik Modi who notes KO's "share price implies just 2.3% compounded-yearly growth in earnings before interest and taxes through 2020, about four percentage points below the company's long-term pace," and Wells Fargo's Bonnie Herzog who says a spin-off of the company's bottling operations "would raise profit margins and unlock a higher valuation for the stock."
- Apples to apples (perhaps): Barron's says KO trades at a 4% premium to Pepsi (PEP) — that premium has at times reached 20%.
Dec. 26, 2013, 1:36 PM
- Grocery store sales data from the New York City area indicates consumers are buying more milk and water instead of soda and juices.
- Sales of soda dropped 6.8% this year while the tail-off in juice was 6.1%. Even sports drinks took a hit, with the category showing a sales drop of 5%.
- Mayor Michael Bloomberg has been one of the biggest advocates of limits on sugary drinks, but so far not many other cities have taken up the anti-soda fight with vigor.
- Related stocks: PEP, KO, DPS, MNST.
Dec. 26, 2013, 7:27 AM
- Orange juice futures are expected to rise after a widespread bug disease in Florida is causing fruit to drop early.
- Analysts think Florida's crop could be the smallest since 1990 which could push orange juice prices up considerably.
- The price swing could be mitigated to a degree by slowing demand in the U.S. for orange juice.
- Related stocks: Coca-Cola (KO), PepsiCo (PEP).
Dec. 20, 2013, 9:36 AM
- PepsiCo's (PEP +0.2%) new top exec in India hit the ground running with an emphatic letter to employees urging "relentless execution" as the company looks to re-invigorate itself in India.
- The recent stumbles in India for PepsiCo include a failed sports sponsorship and the abrupt departure of its former local CEO.
- In his letter, D Shivakumar said that 2014 is a "must-win" year the PepsiCo.
Dec. 12, 2013, 9:06 AM
- PepsiCo's (PEP) deal with Buffalo Wild Wings looks like a win for the company, according to analysts.
- The company not only lands in 950 sports bars across the U.S. and Canada, but it gives other restaurant chains something to think about if Buffalo Wild Wings takes advantage of the Doritos brand like Taco Bell did.
Dec. 12, 2013, 7:32 AM
- Buffalo Wild Wings (BWLD) picks PepsiCo (PEP) to replace Coca-Cola as its beverage supplier.
- Partnering with PepsiCo gives Buffalo Wild Wings a wide variety of snack options, including the temptation to create chip-flavored chicken wing sauces.
- A closer association to professional sports leagues also makes PepsiCo a natural fit for the restaurant operator.
Dec. 10, 2013, 1:31 PM
- Wheat prices could fall as world reserves are forecast to exceed previous expectations.
- Global inventories before the start of the 2014 harvests in the Northern Hemisphere will be 2.4% higher than a year ago.
- Wheat futures for delivery next spring touched their lowest level since June 2012 earlier today.
- Related stocks: General Mills (GIS), PepsiCo (PEP), Campbell Soup (CPB), Post Holdings (POST), ConAgra (CAG), Ralcorp (RAH), Flower Foods (FLO), and J.M. Smucker (SJM) could see a minor impact from sustained lower wheat prices. The pricing of the commodity also spills over to affect the costs for companies farther removed from the food industry - including Buffalo Wild Wings (BWLD) and Anheuser-Busch InBev (BUD).
- Related ETF: WEAT
Dec. 10, 2013, 11:34 AM
- PepsiCo (PEP -0.4%) names D Shivakumar as its top exec in India after the position stood unfulfilled since June.
- Shivakumar had a long run at Nokia and his appointment has been well-received by analysts.
- The company has previously announced plans to double capacity in India as it looks to bring more of its well-known brands to the region.
Dec. 9, 2013, 8:37 AM
- Chobani plans to air advertisements during the Super Bowl in a major push by the private Greek yogurt firm.
- The yogurt market has heated up with major food companies such as General Mills (GIS), Danone (DANOY), and Muller-PepsiCo (PEP) all investing significantly in new products and marketing.
- What to watch: Chobani has an early edge in Greek with its strong brand reputation helping it command premium prices, but sees even more growth opportunities with low-calorie products.
Nov. 21, 2013, 4:54 PM
- PepsiCo Inc. (PEP) declares $0.5675/share quarterly dividend, in line with previous.
- Forward yield 2.65%
- Payable Jan 2; for shareholders of record Dec. 6; ex-div Dec. 4.
Nov. 19, 2013, 9:33 AM| Nov. 19, 2013, 9:33 AM | 1 Comment
Nov. 12, 2013, 3:49 PM
- The elevation of gluten as a dietary no-no continues to affect packaged food companies which have to convert products into gluten-free varieties at additional costs.
- Though less than 1% of Americans require a gluten-free diet due to medical reasons, almost a third of consumers make the choice to avoid the wheat additive.
- Related stocks: GIS, K, PEP, CPB, POST, CAG, FLO.
Nov. 12, 2013, 10:05 AM| Nov. 12, 2013, 10:05 AM
Nov. 11, 2013, 9:19 AM
- PepsiCo (PEP) says it will invest $5.5B in India by 2020 as it makes the region a top priority for the company.
- Plans for Pepsico in India include doubling food and beverage manufacturing capabilities and expanding its distribution network with local partners.
Nov. 11, 2013, 7:18 AM
Nov. 7, 2013, 10:00 AM
- The FDA says it will propose measures to dramatically limit artificial trans fats from products sold in the U.S.
- Many varieties of packaged foods and frozen foods contain trans fats as well as items commonly sold at restaurants.
- Cutting the fat: Nestle (NSRGY), PepsiCo (PEP), Tyson Foods (TSN), Mondelez International (MDLZ), Unilever (UL), General Mills (GIS), Kraft Foods (KRFT), Kellogg (K), Dean Foods (DF), Campbell Soup (CPB), Hormel (HRL), Hershey (HSY), Pilgrims Pride (PPC),
PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of beverages, foods, and snacks. It operates through the following segments: Frito-Lay North America; Quaker Foods North America; North America Beverages; Latin America; Europe Sub-Saharan Africa; and Asia, Middle East,... More
Sector: Consumer Goods
Industry: Processed & Packaged Goods
Country: United States
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