Share Buyback Program Declared by PepsiCo (PEP) Board

PepsiCo (NASDAQ:PEP) announced that its Board of Directors has authorized a share buyback program, which allows the company to buyback $15.00 billion in shares on Tuesday, February 13th, EventVestor reports. This buyback authorization allows the company to purchase shares of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s management believes its stock is undervalued.

A number of equities analysts have recently issued reports on the stock. Zacks Investment Research raised shares of PepsiCo from a “hold” rating to a “buy” rating and set a $131.00 price objective on the stock in a research report on Monday, December 4th. SunTrust Banks assumed coverage on shares of PepsiCo in a research report on Monday, January 29th. They set a “hold” rating and a $125.00 price objective on the stock. Credit Suisse Group reissued a “neutral” rating and set a $124.00 price objective (up previously from $122.00) on shares of PepsiCo in a research report on Thursday, February 1st. Wells Fargo & Co increased their price objective on shares of PepsiCo from $110.00 to $115.00 and gave the stock a “market perform” rating in a research report on Thursday, January 4th. Finally, BidaskClub cut shares of PepsiCo from a “buy” rating to a “hold” rating in a research report on Thursday, January 11th. One investment analyst has rated the stock with a sell rating, nine have assigned a hold rating, seven have issued a buy rating and one has issued a strong buy rating to the company’s stock. The stock currently has an average rating of “Hold” and an average target price of $123.04.

PepsiCo (NASDAQ:PEP) opened at $111.06 on Tuesday. PepsiCo has a 1 year low of $106.19 and a 1 year high of $122.51. The firm has a market cap of $157,690.00, a PE ratio of 21.82, a P/E/G ratio of 2.87 and a beta of 0.62. The company has a debt-to-equity ratio of 3.03, a current ratio of 1.51 and a quick ratio of 1.37.

PepsiCo (NASDAQ:PEP) last announced its quarterly earnings results on Tuesday, February 13th. The company reported $1.31 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $1.30 by $0.01. PepsiCo had a net margin of 7.65% and a return on equity of 61.14%. The business had revenue of $19.53 billion for the quarter, compared to analysts’ expectations of $19.40 billion. During the same quarter last year, the firm earned $1.20 EPS. The firm’s revenue for the quarter was up .1% compared to the same quarter last year. equities analysts expect that PepsiCo will post 5.69 earnings per share for the current year.

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 30th. Investors of record on Friday, March 2nd will be given a $0.805 dividend. The ex-dividend date is Thursday, March 1st. This represents a $3.22 annualized dividend and a yield of 2.90%. PepsiCo’s payout ratio is 63.26%.

COPYRIGHT VIOLATION WARNING: This article was posted by Chaffey Breeze and is the property of of Chaffey Breeze. If you are reading this article on another publication, it was copied illegally and republished in violation of United States & international trademark & copyright law. The original version of this article can be viewed at

About PepsiCo

PepsiCo, Inc is a global food and beverage company. The Company’s portfolio of brands includes Frito-Lay, Gatorade, Pepsi-Cola, Quaker and Tropicana. The Company operates through six segments: Frito-Lay North America (FLNA), Quaker Foods North America (QFNA), North America Beverages (NAB), Latin America, Europe Sub-Saharan Africa (ESSA), and Asia, Middle East and North Africa (AMENA).

Receive News & Ratings for PepsiCo Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for PepsiCo and related companies with's FREE daily email newsletter.

Leave a Reply