Is PepsiCo stock still a bargain?
PepsiCo, Inc. (NASDAQ:PEP) is an American multinational food, snack, and beverage corporation. The company offers its products across more than 200 countries and territories around the world. PepsiCo’s portfolio includes Frito-Lay, Gatorade, Pepsi-Cola, Quaker Tropicana, SodaStream, and a wide range of other food and beverage brands, making up 23 brands in total. This afternoon, PEP is trading down 0.2% at $142.71.
PEP stock price has managed to tack on about 9% year-over-year, and is now up 13% from its two-year low of $126.53. Regardless, shares of PepsiCo stock are trading just below the year-to-date breakeven mark. PepsiCo also has a forward dividend of $4.09 and a dividend yield of 2.86%.
PepsiCo is slated to report its first-quarter earnings before the open on Thursday, April 15. PepsiCo has outperformed earnings expectations across the board on all four of its most recent earnings reports and looks to outperform consensus estimates again on Thursday.
For the first quarter of 2020, PepsiCo beat analysts’ estimates by a margin of $0.04 and reported earnings of $1.07 per share. For the second quarter of 2020, PEP increased its earnings per share (EPS) to $1.32 and beat expectations by a margin of $0.07. For the third quarter of 2020, PepsiCo reported another increase in earnings, increasing to $1.66 per share and beating estimates by a margin of $0.17. In the most recent quarterly report released, PepsiCo posted an EPS of $1.47 and beat expectations by a margin of $0.01.