Seeking Alpha

PepsiCo Inc. (PEP)

  • Thu, Jul. 16, 4:23 PM
    | Thu, Jul. 16, 4:23 PM | 10 Comments
  • Thu, Jul. 9, 6:56 AM
    • PepsiCo (NYSE:PEP) reports organic revenue rose 5.1% in FQ2.
    • Developing and emerging market organic revenue increased 11%.
    • Foreign exchange translation negatively impacted revenue by 10%.
    • Revenue by segment: Frito-Lay North America: $3.45B (+2%); Quaker Foods North America: $546M (-3%); Latin America Foods: $2B (-6%); PepsiCo Americas: $5.34B (+1%); Europe: $2.79B (-24%); AMEA: $1.8B (-4%).
    • Frito-Lay North America operating profit increased 7% to $1.01B.
    • Total core gross margin grew 115 bps.
    • Total core operating margin +60 bps.
    • FY2015 Guidance: Organic revenue: mid-single-digit growth; Core tax rate: ~25%; Core EPS: +8%; Net capital expenditure: ~$3B; Productivity savings: ~$1B.
    | Thu, Jul. 9, 6:56 AM | 3 Comments
  • Thu, Jul. 9, 6:32 AM
    • PepsiCo (NYSE:PEP): Q2 EPS of $1.32 beats by $0.08.
    • Revenue of $15.92B (-5.7% Y/Y) beats by $90M.
    • Shares +2.19% PM.
    • Press Release
    | Thu, Jul. 9, 6:32 AM | 7 Comments
  • Wed, Jul. 8, 5:58 PM
    • A few months after naming chief scientific officer Mehmood Khan a vice chairman, PepsiCo (NYSE:PEP) has done the same for CFO Hugh Johnston. In addition to his CFO duties, Johnston will now be responsible for the company's IT systems and solutions. Indra Nooyi remains chairman/CEO.
    • PepsiCo is merging its Latin American food and beverage ops into a single reporting unit. Latin America Foods chief Laxman Narasimhan will be the unit's CEO.
    • Also: 1) PepsiCo Lipton president Eugene Willemsen is now EVP of Global Categories & Franchise Management. He'll be "responsible for overseeing the company's global beverages, global snacks and global nutrition groups, as well as its global franchise organization." 2) E-commerce GM Brian Newman has been named EVP of Global Operations. He'll be "responsible for global operations and supply chain, global procurement, productivity, global security, risk management and corporate strategy."
    • Enderson Guimares, previously in charge of many of the fields Willemsen and Newman will now have responsibility for, is leaving the company.
    • The announcements come ahead of tomorrow morning's Q2 report.
    | Wed, Jul. 8, 5:58 PM | 3 Comments
  • Wed, Jul. 8, 5:30 PM
  • Mon, Jun. 29, 3:25 PM
    • S&P Ratings boosts its rating on PepsiCo (PEP -0.9%) to A from A- on its view core brands (Pepsi, Ruffles, Doritos, Gatorade, Tropicana, Quaker Oaks) have value above the company's book valuation.
    • The ratings agency thinks the PepsiCo's improving EBITDA margin and strong cash flow generation are set to help it maintain an adjusted debt to EBITDA ratio close to 2.
    | Mon, Jun. 29, 3:25 PM | 4 Comments
  • Mon, Jun. 22, 1:10 PM
    • PepsiCo (PEP +0.8%) CEO Indra Nooyi penned a weekend op-ed piece in the Wall Street Journal along with the president of the Environmental Defense Fund in support of the push by President Obama for greener trucks.
    • The exec notes fuel economy for heavy trucks has improved less than a mile per gallon in 45 years to average just 6.4 mpg.
    • Companies such as PepsiCo, Anheuser-Busch InBev (BUD +2.7%), Wal-Mart (WMT +0.1%), Costco (COST +0.1%), and Coca-Cola (KO +0.5%) could realize significant savings if Nooyi's stance is correct.
    • She notes the fuel standards proposed in 2009 for 2014 led to an immediate 10% gain in efficiency.
    • Previously: The EPA and Pope Francis strange allies on greenhouse gas reform (Jun. 19 2015)
    | Mon, Jun. 22, 1:10 PM | 10 Comments
  • Thu, Jun. 18, 1:39 PM
    • Dr. Pepper Snapple (DPS +0.9%) plans to increase marketing to Hispanic consumers in the U.S. for several of its key brands.
    • Last month, PepsiCo (PEP +1.1%) rolled out Pepsi Limon in an attempt to appeal to the same group.
    | Thu, Jun. 18, 1:39 PM | 2 Comments
  • Wed, Jun. 17, 3:26 AM
    • Beginning in 2018, companies will have to seek approval before they can put partially hydrogenated oils into foods, after the FDA said the ingredient should no longer be considered safe and laid out far-reaching restrictions.
    • While not a ban, the FDA's move marks the first restriction on trans fats at the national level. It first proposed the action in 2013.
    • Related tickers: Nestle (OTCPK:NSRGY), PepsiCo (NYSE:PEP), Tyson Foods (NYSE:TSN), Mondelez International (NASDAQ:MDLZ), Unilever (NYSE:UL), General Mills (NYSE:GIS), Kraft Foods (NASDAQ:KRFT), Kellogg (NYSE:K), Dean Foods (NYSE:DF), Campbell Soup (NYSE:CPB), Hormel (NYSE:HRL), Hershey (NYSE:HSY), Pilgrims Pride (NASDAQ:PPC).
    | Wed, Jun. 17, 3:26 AM | 7 Comments
  • Tue, Jun. 9, 10:43 PM
    • San Francisco is one step closer to becoming the first U.S. city to require warning labels on sugary drinks after government officials approved a new measure.
    • The San Francisco Board of Supervisors and Mayor still have to sign off on the anti-soda ordinances.
    • Some juice products, flavored milk products, and sports drinks will be included in the targeted beverage category if they contain a certain threshold of added sugar.
    • Health advocates say they will make a second run at passing a sugar tax in San Francisco. They are also aiming for a broader push beyond California on consumer sugar warnings.
    • The beverage industry has reacted to uneven demand in the U.S. for soda drinks in part with product innovation (craft, cane sugar, energy, protein) aimed at millennials.
    • Related stocks: KO, PEP, DPS, COT, MNST, OTCQB:JSDA, REED, FIZZ, HSY, DF,
    | Tue, Jun. 9, 10:43 PM | 56 Comments
  • Fri, Jun. 5, 2:29 PM
    • PepsiCo's (PEP -1.1%) new craft soda drinks will feature an eclectic flavor mix that includes black cherry with tarragon, agave vanilla cream, orange hibiscus, and pineapple cream, according to reports.
    • The Stubborn Soda products will use cane sugar as a sweetener instead of high fructose corn syrup.
    • Initially, Stubborn Soda soda will be available from fountain machines, although a broader roll-out is expected.
    • Previously: Beverage-Digest: PepsiCo to make craft soda play (June 4)
    | Fri, Jun. 5, 2:29 PM | 4 Comments
  • Thu, Jun. 4, 11:43 AM
    | Thu, Jun. 4, 11:43 AM | 5 Comments
  • Mon, Jun. 1, 12:49 PM
    • Iconic food and beverage brands continue to grow out of favor with U.S. consumers, according to a new report from Rabobank.
    • Many Q1 earnings reports tipped off weakness at well-known F&B brands.
    • The bank notes that the increasing purchase power of the millennial generation is a major factor in the shift as e-commerce accounts for a higher mix of purchasing.
    • A willingness of major retail chains such as Target (NYSE:TGT), Kroger (NYSE:KR), and Costco (NASDAQ:COST) to attempt to differentiate themselves with new concepts and products has also contributed to well-known brands slipping.
    • Rabobank thinks major food and beverage players can still show strong growth rates if they are nimble with their strategy and use M&A wisely to catch fresh brands on the upswing.
    | Mon, Jun. 1, 12:49 PM | 6 Comments
  • Tue, May 5, 5:45 PM
    • PepsiCo (NYSE:PEP) declares $0.7025/share annual dividend, 7.3% increase from prior dividend of $0.655.
    • Forward yield 0.74%
    • Payable June 30; for shareholders of record June 5; ex-div June 3.
    | Tue, May 5, 5:45 PM | 14 Comments
  • Mon, Apr. 27, 7:44 AM
    • In his "We Are Full of Bull" note this morning, Morgan Stanley's Adam Parker says the economy will accelerate in Q2 and Q3, bringing stocks along for the ride. If investors are gun-shy thanks to record levels for the averages, Parker suggests looking for names with decent long-term earnings forecasts trading at a discount to the market.
    • The ten largest U.S. stocks trading at a discount, but with above-average expected growth rates: Apple (NASDAQ:AAPL), Citigroup (NYSE:C), Gilead (NASDAQ:GILD), Union Pacific (NYSE:UNP), Actavis (NYSE:ACT), Twenty-First Century Fox (NASDAQ:FOXA), Time Warner (NYSE:TWX), Ford (NYSE:F), BlackRock (NYSE:BLK).
    • Conversely, one might want to avoid those stocks selling for substantial premiums. The ten largest stocks trading at a premium to the market while growing at a below-average rate: Exxon (NYSE:XOM), Procter & Gamble (NYSE:PG), Chevron (NYSE:CVX), Coca-Cola (NYSE:KO), Pepsico (NYSE:PEP), Schlumberger (NYSE:SLB), MMM, McDonald's (NYSE:MCD), UPS, Nike (NYSE:NKE).
    • Source: Bloomberg
    | Mon, Apr. 27, 7:44 AM | 53 Comments
  • Fri, Apr. 24, 10:40 AM
    • PepsiCo (PEP -1%) says it will remove aspartame from Diet Pepsi beginning in August.
    • The company is making the move to adapt to consumer tastes, not out of safety concerns.
    • Sucralose and acesulfame potassium will be used in the U.S. to sweeten Diet Pepsi.
    • Pepsi True is a relatively new product out from the beverage seller using the natural sweetener stevia.
    • PepsiCo CEO Indra Nooyi tackled the question of changing consumer dynamics during the company's earnings call yesterday (transcript).
    • She noted perception on what is "good for you" has changed from diet sodas to organic non-GMO.
    • Perhaps with an eye on millennials she mentions different corridors of fruit and vegetable, protein, grains, and carbs in the soda category. Rival Coca-Cola still stacks its brands under calorie counts.
    | Fri, Apr. 24, 10:40 AM | 3 Comments
Company Description
PepsiCo Inc is a food, snack and beverage company. It manufactures, markets, distributes and sells convenient and enjoyable beverages, foods and snacks, serving customers and consumers in more than 200 countries and territories.