Thu, Apr. 14, 7:17 AM
- Stifel Nicolaus turns cautious in the beverage sector after taking a sharp look at valuation.
- Both PepsiCo (NYSE:PEP) and Cott (NYSE:COT) are reduced to a Hold rating from Buy.
- The investment firm expresses concern over the lack of growth-related catalysts that can justify current earnings multiples.
- Both stocks are near the top end of their 52- week range, with PepsiCo at $104.11 vs. a one-year range of $76.48 to $105.77 and Cott at $13.88 vs. $8.56 to $14.47.
- Now read Are There Any Deals Among The Dividend Champions?
Fri, Apr. 1, 11:32 AM
- Major food and beverage stocks Kellogg (K +0.5%), General Mills (GIS +1.8%), PepsiCo (PEP +0.6%), and Coca-Cola (KO +0.5%) all trade at or just off their all-time highs.
- Post Holdings (POST +1%) and Dr. Pepper Snapple (DPS +1.2%) are also within striking distance of their share price high marks after strong runs over the last year.
- The group of majors has outperformed some of the organic story stocks in the F&B sector as they have innovated into healthier products on their own. Many of the big names also offer generous dividend payouts.
- Now read Business Models, Great And Poor
Thu, Mar. 31, 11:33 AM
- Analysts see the elevated standing of Al Carey at PepsiCo (PEP +0.4%) as an indication that the executive is in line to success CEO Indra Nooyi.
- Carey will manage all three North American units in a striking consolidation of responsibilities.
- There are no plans for Nooyi to step down anytime soon, but the company has lost a couple of other potential CEO replacements over the last few years which has increased the spotlight on the succession issue.
- Now read Pepsi May End Up Being Cheap At This Price
Wed, Mar. 30, 4:48 PM
- Tom Greco has been with PepsiCo (NYSE:PEP) for over thirty years, and is exiting as CEO of the Frito-Lay North America unit to pursue his goal of being CEO at a company outside of the industry.
- North America Beverages, Frito-Lay North America, and Quaker Foods North America will be now be combined under a single leader, and that is Al Carey, who currently heads North America Beverages.
Wed, Mar. 30, 8:05 AM| Wed, Mar. 30, 8:05 AM | 2 Comments
Tue, Mar. 29, 1:25 PM
- The carbonated soft drinks market fell 1.2%, according to data from Beverage Digest. On a per capita basis, consumption of soft drinks fell to its lowest level since 1985 (650 8/oz servings).
- 2015 brand rankings: 1. Coke 2. Pepsi 3. Diet Coke 4. Dr Pepper 5. Mountain Dew
- The overall liquid beverage refreshment industry was up 2.2% as companies used innovation in other categories (energy, juice, premium water) to stoke growth.
- Related stocks: KO, PEP, DPS, MNST.
Thu, Mar. 17, 2:25 PM
- Athlos Research recommends PepsiCo (PEP +1%) with shares at an undervalued level.
- PepsiCo's discounted valuation compared tovfood peers sets aside long-term growth opportunities and near-term visibility, Athlos tells SA's news team.
- The investment firm also sees increased chances for a strategic move with the beverage side of the business.
- The proposed U.K. sugar tax isn't seen as a major risk.
Wed, Mar. 16, 2:07 PM
- U.K. Chancellor George Osbourbe announced a sugar tax in a new budget released by his party.
- The proposed tax covers any soft drink with more than 5 grams of sugar per 100 milliliters, although milk drinks are exempt due to their "health" benefit. Pure fruit juices are also set aside from the sugar tax group.
- London-traded A.G. Barr, Britvic (OTC:BTVCF), and Nichols fell today in reaction to the development.
- Related U.S. beverage stocks: KO, PEP, DPS, COT, MNST.
Fri, Mar. 11, 6:22 AM
- Gatorade, the sports-drink pioneer which taught the world about electrolytes, is making a major play for the FitBit (NYSE:FIT) crowd.
- The PepsiCo (NYSE:PEP) brand is developing a microchip-fitted "smart cap" bottle and sweat patch that communicate digitally and provide athletes and fitness buffs constant updates on how much they should drink.
- Gatorade will give an early peek of the prototypes today with a four-room interactive display at the South by Southwest festival in Austin.
Thu, Mar. 10, 9:54 AM
- RBC Capital lifts its price targets on two consumer staples heavyweights.
- Coca-Cola (KO +0.6%) is assigned a fresh of $51. KO is +4.5% YTD to $44.90. Shares yield 3.11%.
- Reynolds American (RAI +1.4%) earns a PT of $57. RAI is +12.8% YTD to $52.14. Shares yield 3.22%.
- There's been some debate that the run of consumer staples stocks is poised to end, but SA contributor Daryl Montgomery argues the sector is still a safe play on a technical view.
- Earlier this week, Evercore ISI's Rick Ross also came in positive on the sector (CNBC video).
- "You probably can't do much better than owning the staples on this breakout from a multiyear trading range ... against the backdrop of a world where yields are extremely low,"said Ross
- Related stocks: PM, PG, PEP, CL, ADM, KMB, STZ, DPS, SJM, HRL, CHD, TSN, HSY, CPB, [[BF.]], BF.B.
- Related ETFs: XLP, VDC, FXG, RHS, FSTA, PSL, PSCC.
Mon, Feb. 22, 8:00 AM| Mon, Feb. 22, 8:00 AM | 4 Comments
Fri, Feb. 19, 9:53 AM
- PepsiCo (PEP -0.2%) highlighted during its CAGNY conference presentation that it will increase its focus on reducing costs.
- "We are targeting $1 billion in productivity savings annually through 2019 through leveraging our global capabilities of scale," CEO Indra Nooyi told the consumer sector analysts.
- Nooyi also pointed out that the relatively new Kickstart brand is already generating $400M in annual sales. Innovation appears to still be a major part of PepsiCo's growth strategy.
- PepsiCo CAGNY webcast
Thu, Feb. 18, 9:51 AM
- Susquehanna says the EPS beat today from SodaSteam (SODA +10.3%) is mainly due to the timing of marketing expenses.
- The investment firm is still cautious on the stock as it sees SodaStream struggling with its machines relaunch in the U.S.
- "We are more doubtful of potential bidders for the company’s fledging platform," reads the analyst note. SodaStream partners with PepsiCo (NYSE:PEP) which has led to speculation over a full buyout.
- Previously: SodaStream beats by $0.07, beats on revenue (Feb. 18 2016)
- Previously: SodaStream battles through F/X challenges to earnings beat (Feb. 18 2016)
Thu, Feb. 11, 7:10 AM
- PepsiCo (NYSE:PEP) reports organic revenue growth of 4% in Q4.
- Foreign exchange translation negatively impacted revenue by 8%.
- Revenue by segment: Frito-Lay North America: $4.456B (+2%); Quaker Foods North America: $775M (-1%); Latin America: $2.307B (-26%); North America Beverages: $5.847B (+2%); Europe Sub-Saharan Africa: $3.283B (-17%); AMEA: $1.917B (-3.5%).
- Frito-Lay North America operating profit increased 5% to $1.292B.
- North America beverages operating profit grew 13% to $639M.
- Total core gross margin improved 165 bps to 54.82%.
- Total core operating margin decreased 20 bps to 12.52%.
- FY2016 Guidance: Core EPS: $4.66; Net capital expenditure: ~$3B; Cash flow from operating activities: over $10B; Free cash flow: more than $7B; Productivity savings: ~$1B.
Thu, Feb. 11, 6:34 AM
Wed, Feb. 10, 5:30 PM
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PepsiCo, Inc. markets, sells and distributes a wide variety of convenient and enjoyable foods and beverages through its operations, authorized bottlers, contract manufacturers and other partners. The company operates in four business units, PepsiCo Americas Foods, PepsiCo Americas Beverages,... More
Sector: Consumer Goods
Industry: Processed & Packaged Goods
Country: United States
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