Seeking Alpha

PepsiCo Inc. (PEP)

  • Sep. 16, 2014, 4:01 PM
    • Anheuser-Busch InBev (NYSE:BUD) comes out with the sternest words to date of any of the major NFL sponsors.
    • The global brewer says it's not satisfied with the manner the league has handled the recent incidents involving star players.
    • Earlier statements from big sponsors FedEx (NYSE:FDX), Verizon (NYSE:VZ), and PepsiCo (NYSE:PEP) were more on the supportive side.
    • Procter & Gamble (NYSE:PG) has been relatively quiet, although its CoverGirl Get Your Game Face On campaign was used by protesters to make a strong point.
    • In one of the stronger corporate statements on the NFL developments, the Radisson hotel chain broke off its sponsorship deal with the Minnesota Vikings.
  • Sep. 16, 2014, 9:57 AM
    • Cowen Research initiates coverage on PepsiCo (PEP +0.6%) with an Outperform rating and $106 price target.
    • Earlier, the investment firm slotted PepsiCo rival Coca-Cola at Market Perform.
    | Comment!
  • Sep. 11, 2014, 3:05 PM
    • The convenience store channel performed well for soda drink and energy drink sellers in August, according to data from Wells Fargo.
    • Packaged beverage sales rose 4% Y/Y during the period, a pace which has extended into Q4 and beats the overall volume growth seen in the U.S. market this year for the beverage industry.
    • Related stocks: PepsiCo (NYSE:PEP), Coca-Cola (NYSE:KO), Monster Beverage (NASDAQ:MNST), Dr. Pepper Snapple (NYSE:DPS).
  • Aug. 27, 2014, 10:33 AM
    • PepsiCo (PEP -0.5%) CEO Indra Nooyi met with government officials in India to discuss developing new food products for school lunches in the nation on the healthier side.
    • School lunch safety is a major concern in India where some local suppliers have failed to live up to standards.
    • PepsiCo generates over a $1B in sales a year in India and has big plans in place to expand manufacturing and penetration.
  • Aug. 25, 2014, 9:01 AM
    • Shares of PepsiCo (NYSE:PEP) are higher in early action after Barron's stokes up the snacks-beverages split discussion again with a cover story.
    • Though the reasons for a business separation cover old Nelson Peltz ground, the piece makes the point that PepsiCo has been responding to the investor pressure through deeper cost-cutting and efficiency initiatives.
    • PEP +1.1% premarket
  • Aug. 19, 2014, 2:01 PM
    • PepsiCo (PEP -0.2%) will be the title sponsor for the Super Bowl halftime show for the third year in a row.
    • The show is typically the most-watched musical event of the year in the U.S. and gave PepsiCo significant brand exposure in both 2012 and 2013.
    • Finalists to perform this year are Rihanna, Katy Perry, and Coldplay.
    • PepsiCo has shifted its Super Bowl and NFL advertising in recent years to a "masterbrand" approach which encompasses several months of buildup as opposed to the product-specific pitches from rival Coca-Cola.
    | Comment!
  • Aug. 13, 2014, 2:02 PM
    • PepsiCo (PEP +0.6%) has been sued for $2B by the descendents of a woman who was the inspiration for the Aunt Jemima brand.
    • The filing also asks for the judge to ban Aunt Jemima syrup and pancake products in parts of Africa.
    • The company says the federal suit filed in Chicago is without merit.
  • Aug. 13, 2014, 9:59 AM
    • Shares of Chiquita Brands (CQB +1.1%) are now 4.3% higher than the offer price the company received from Cutrale Group and Safra Group as investors bet on a bigger banana buyer showing up down the road.
    • MKM Partners thinks it will take an offer of $16 per share to get Chiquita to bite.
    • PepsiCo (PEP +0.1%) and Fresh Del Monte Produce (FDP) have been thrown out as potential bidders.
    | 1 Comment
  • Aug. 11, 2014, 8:32 AM
    • PepsiCo (NYSE:PEP) is upgraded to a Buy rating from Neutral at UBS.
    • The investment firm likes the heightened urgency at the multinational and tips PepsiCo to beat consensus estimates in upcoming quarters.
    • Despite some grumpiness from Nelson Peltz over the lack of a PepsiCo split, UBS says having Trian in the background is still a positive.
    • Trian Partners letter to PepsiCo (.pdf)
    • PEP +0.8% premarket
    | Comment!
  • Aug. 8, 2014, 12:36 PM
    • Research from Moody's indicates diet soda sales are in a protracted slump that could continue.
    • Diet and low-calorie soda sales fell 5% Y/Y in 2013 and the trend has persisted in 2014.
    • Bottled water and energy drinks will provide some of the lost volume as beverage companies adjust, according to Moody's.
    • Related stocks: PEP, KO, DPS, MNST.
  • Aug. 6, 2014, 1:54 PM
    • A number of consumer staples stocks are in favor with investors as they shift their focus to a defensive posture and dividend yields.
    • Some of the names showing outsized gains include PepsiCo (PEP +1.5%), Clorox (CLX +1.6%), Revlon (REV +1.6%), Colgate-Palmolive (CL +1.5%), Coca-Cola (KO +1.6%), Kraft Foods Group (KRFT +2%), and Procter & Gamble (PG +1.7%).
    • It's no coincidence that the Consumer Staples ETF (NYSEARCA:XLP) is up 0.8% for the day to best market averages.
    | Comment!
  • Aug. 5, 2014, 4:02 PM
    • Coca-Cola (NYSE:KO) and PepsiCo (NYSE:PEP) plan to offer more mini-can products as a way to stoke volume growth.
    • The category has done well as some consumers replace drinking diet versions of their favorite soda with a smaller-sized bottle or can.
    • A higher mix of mini-can sales is a margin-booster for the companies with the per-ounce revenue almost double for mini cans than regular cans.
  • Jul. 28, 2014, 3:31 PM
    • A number of consumer goods companies that sell widely to retail chains are under-performing market indexes today after Dollar Tree announced it will buy out Family Dollar.
    • Consolidation in the retail sector could give some leverage to the store chains as their scale broadens, according to Belus Capital Advisors' Brian Sozzi.
    • On watch: PepsiCo (PEP -0.7%), Coca-Cola (KO -0.7%), Kraft Foods (KRFT -0.1%), Procter & Gamble (PG -0.4%), Colgate-Palmolive (CL -0.3%), Energizer Holdings (ENR -0.8%), Kimberly-Clark (KMB -0.3%).
    • Related ETFs: XLP, VDC, FXG, IYK, RHS, FSTA, UGE, SZK
  • Jul. 24, 2014, 9:58 AM
    • Nelson Peltz’s efforts to shake up Pepsi (PEP +0.9%) have gained the backing of the California State Teachers’ Retirement System, one of the largest pension funds in the U.S., which sent a letter to a senior PEP director urging the company to put Peltz on its board.
    • Peltz’s Trian Partners hedge fund, which owns a 0.8% stake in PEP, has locked horns with PEP management for a year, publicly urging it to separate its snacks and beverage businesses; since then, Trian has met with ~100 of PEP’s largest shareholders.
    • Calstrs has teamed up with Trian in the past and given the hedge fund money to invest in companies on its behalf; it made a co-investment with Trian in Ingersoll-Rand and supported Trian during its proxy fight with Heinz in 2006.
  • Jul. 23, 2014, 8:29 AM
    • PepsiCo (NYSE:PEP) +2.2% premarket after beating expectations for Q2 earnings and revenues and raising its full-year earnings outlook.
    • PEP now sees FY 2014 EPS of ~$4.53, up 8% Y/Y vs. a prior forecast of 7% growth, and reaffirms revenue guidance of growth in the mid-single digits vs. 2013, based on the strength of YTD results and its outlook for the rest of the year; currency translation effects are expected to have a negative impact of ~4% on 2014 EPS growth.
    • For Q2, volumes in the beverage and snack categories rose 1% and carbonated soft drink volume in the North American market fell 2%, a day after rival Coca-Cola (NYSE:KO) said its North American soda volumes were flat in the quarter.
    • The Americas foods business posted $6.07B in revenue, up less than 1%, as Frito-Lay North America sales rose 1.7%; Latin America foods sales were relatively flat at $2.12B, and Quaker Foods North America sales fell 2.3%.
    • Gross margin rose to 54% from 53%; input costs fell 1.5% to $7.78B.
  • Jul. 23, 2014, 7:03 AM
    • PepsiCo (NYSE:PEP): Q2 EPS of $1.32 beats by $0.09.
    • Revenue of $16.89B (+0.5% Y/Y) beats by $100M.
    • Press Release
    | Comment!
Visit Seeking Alpha's
PEP vs. ETF Alternatives
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.