JPMorgan Chase & Co. Forecasts Strong Price Appreciation for PepsiCo (NASDAQ:PEP) Stock

PepsiCo (NASDAQ:PEP) had its price target lifted by analysts at JPMorgan Chase & Co. from $164.00 to $176.00 in a report issued on Wednesday,MarketScreener reports. The brokerage presently has an “overweight” rating on the stock. JPMorgan Chase & Co.‘s price target points to a potential upside of 6.52% from the company’s previous close.

Several other research firms have also recently weighed in on PEP. Weiss Ratings restated a “hold (c)” rating on shares of PepsiCo in a research note on Friday, January 9th. Barclays boosted their target price on PepsiCo from $148.00 to $160.00 and gave the stock an “equal weight” rating in a research report on Wednesday. Citigroup reaffirmed a “buy” rating on shares of PepsiCo in a report on Wednesday. Loop Capital set a $164.00 price objective on shares of PepsiCo in a research report on Thursday, October 23rd. Finally, Bank of America lifted their target price on shares of PepsiCo from $150.00 to $155.00 and gave the stock a “neutral” rating in a research report on Friday, October 10th. Ten equities research analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $162.22.

PepsiCo Stock Performance

Shares of PEP stock opened at $165.22 on Wednesday. The company has a debt-to-equity ratio of 2.26, a quick ratio of 0.72 and a current ratio of 0.91. The company has a market capitalization of $225.91 billion, a price-to-earnings ratio of 31.41, a price-to-earnings-growth ratio of 5.10 and a beta of 0.40. PepsiCo has a one year low of $127.60 and a one year high of $163.44. The company’s 50-day moving average is $146.47 and its 200 day moving average is $145.81.

PepsiCo (NASDAQ:PEP) last issued its earnings results on Tuesday, February 3rd. The company reported $2.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.24 by $0.02. The firm had revenue of $29.34 billion for the quarter, compared to the consensus estimate of $28.96 billion. PepsiCo had a net margin of 7.82% and a return on equity of 57.58%. The business’s revenue was up 5.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.96 earnings per share. PepsiCo has set its FY 2026 guidance at 8.550-8.710 EPS. Sell-side analysts expect that PepsiCo will post 8.3 EPS for the current fiscal year.

PepsiCo announced that its Board of Directors has initiated a share repurchase plan on Tuesday, February 3rd that authorizes the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization authorizes the company to purchase up to 4.7% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board believes its stock is undervalued.

Institutional Investors Weigh In On PepsiCo

Hedge funds have recently made changes to their positions in the company. Evolution Wealth Management Inc. purchased a new stake in shares of PepsiCo during the 2nd quarter worth approximately $27,000. JCIC Asset Management Inc. bought a new position in PepsiCo during the third quarter valued at $27,000. MH & Associates Securities Management Corp ADV purchased a new position in shares of PepsiCo in the 4th quarter worth $29,000. Vermillion & White Wealth Management Group LLC raised its position in shares of PepsiCo by 107.1% during the 2nd quarter. Vermillion & White Wealth Management Group LLC now owns 234 shares of the company’s stock valued at $31,000 after buying an additional 121 shares in the last quarter. Finally, Imprint Wealth LLC purchased a new position in PepsiCo in the third quarter worth about $31,000. 73.07% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting PepsiCo

Here are the key news stories impacting PepsiCo this week:

• Positive Sentiment: Q4 results beat expectations and management reiterated FY26 guidance — EPS $2.26 vs. $2.24 est; revenue beat and organic growth acceleration. The print shows improving beverage trends that helped the quarter. CNBC: PepsiCo earnings beat
• Positive Sentiment: Board authorized a $10 billion share repurchase (≈4.7% of shares) and the company raised its dividend — a clear capital-return signal that typically supports the stock. RTT News: $10B buyback
• Neutral Sentiment: PepsiCo is cutting suggested retail prices on marquee snack SKUs (Lay’s, Doritos, Cheetos) by as much as ~15% to drive affordability and volume, rolling out ahead of the Super Bowl. This can boost demand but may compress snack margins until volumes recover. Business Insider: Price cuts on snacks
• Neutral Sentiment: Analyst positioning is mixed: TD Cowen kept a Hold with a $162 target, citing improving fundamentals but execution and valuation risks — indicating investor caution despite the operational progress. TipRanks: TD Cowen Hold
• Negative Sentiment: Some investors/analysts warn the rally is multiple expansion rather than a fundamental recovery — volumes remain weak, margins are under pressure, and planned price cuts trade margin certainty for a hoped-for volume rebound. At current forward multiples, upside depends on execution rather than valuation safety. Seeking Alpha: Rally risky / downgrade

PepsiCo Company Profile

PepsiCo, Inc (NASDAQ: PEP) is a multinational food and beverage company headquartered in Purchase, New York. The company develops, manufactures, markets and sells a broad portfolio of branded food and beverage products, including carbonated and noncarbonated soft drinks, bottled water, sports drinks, juices, ready-to-drink teas and coffees, salty snacks, cereals, and other convenient foods. Its leading consumer brands include Pepsi, Mountain Dew, Gatorade, Tropicana, Quaker, Lay’s, Doritos and Cheetos, among others.

Formed through the 1965 merger of Pepsi-Cola and Frito-Lay, PepsiCo has grown into a global business with integrated manufacturing, distribution and marketing operations.