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PepsiCo (PEP) Value Investing Data

🇺🇸 USPEP

As of 2026-07-13 · Last updated: 2026-07-14 · Source: SEC EDGAR (XBRL companyfacts, CIK 0000077476), stockanalysis (price, statistics, financial statements, ratios, consensus), Company IR · Prices & financials updated periodically (not real-time) · Information tool (not investment advice)

PepsiCo (PEP) Financial Health Check
In short: There are some financial points to watch
Does it earn well?
Yes, solidly
It generates steady profit relative to the capital invested.
Metrics · ROE 51.5% · Operating Margin 15.9% · Net Margin 10.8%
Will the company survive?
Heavy debt burden
Debt exceeds twice its equity, so financial risk warrants a closer look.
Metrics · D/E ~239% · Current Ratio 0.93
Is the price expensive now?
Not cheap (fair to slightly pricey)
Because it is a good, popular company, those expectations are already priced in.
Metrics · P/E 18.2 · P/B 8.5

High 51.5% ROE (buyback-thinned equity helps); 15.9% margin trails Coca-Cola (~32%). Debt 2.4x and current ratio 0.93 are tight. A 54-year Dividend King.

Compiled from public financial data. Not a recommendation to buy or sell any security. · Source: stockanalysis (margins, debt, liquidity, P/B, ROE are TTM), as of 2026-07-13

Business Summary · Key Value Metrics
A global food-and-beverage company running both drinks (Pepsi, Gatorade, Tropicana) and snacks (Frito-Lay, Doritos, Lay's). It sells in 200+ countries, and its snacks arm is the key differentiator from Coca-Cola. TTM revenue $96.9B, 15.9% operating margin.
Current Price
$138.56
+0.86% +$1.18 · Close 2026-07-13
Analyst Consensus Target (external reference)
$156.41
Avg. of 24 external analysts · stockanalysis (24-analyst consensus, Hold)
P/E (TTM)
18.2x
TTM
ROE
51.5%
TTM
Operating Margin
15.9%
TTM
Net Margin
10.8%
TTM
Dividend Yield
4.27%
54 consecutive years
Market Cap
$189.1B
As of 2026-07-13

Economic Moat · Key Business Segments

PepsiCo's core moat is a dual portfolio that runs both drinks (Pepsi, Gatorade, Tropicana) and snacks (Frito-Lay, Doritos, Lay's). A distribution network across 200-plus countries and a meaningful snacks mix diversify business risk relative to Coca-Cola, and it is a Dividend King that has raised its payout for 54 consecutive years (source: company IR, stockanalysis).

Brand PowerA stable of world-class brands: Pepsi, Gatorade, and Tropicana in drinks; Frito-Lay, Doritos, and Lay's in snacks.
Category DiversificationA portfolio spanning snacks as well as drinks, with less reliance on the single soda category than Coca-Cola.
Distribution ScaleA retail and vending network in 200-plus countries, with logistics and sales infrastructure backed by about 306,000 employees.
Dividend StabilityA Dividend King with 54 straight years of increases. Dividend yield 4.27% (TTM), payout ratio 77.6%.

10-Year Financial Trends

Revenue grew faster than Coca-Cola (+1.5%) at a +4.6% nine-year CAGR ($62.8B in 2016 to $93.9B in 2025). But operating income (+1.8%), net income (+3.0%), and EPS (+3.6%) grew more slowly, hinting at margin pressure. In 2017 a one-time tax charge from reform (TCJA, $4.7B) cut net income to $4.9B; in 2018 the reverse — a $3.4B tax benefit from deferred-tax remeasurement — briefly lifted net income to $12.5B and diluted EPS to $8.78. Diluted EPS was $6.00 in 2025 (source: SEC EDGAR 10-K, stockanalysis).

10-Year Growth

Revenue$93.9B · CAGR +4.6%
$93.9B$0.0B20162025
Operating Income$11.5B · CAGR +1.8%
$12.9B$0.0B20162025
EPS$6.00 · CAGR +3.6%
$8.78$0.0020162025

10-Year Valuation

P/E (year-end)24.0x · avg 26.2x
31.4x21.6x20212025
ROE42.9% · avg 50.3%
54.3%42.3%20212025
Operating Margin12.2% · avg 14.4%
16.7%12.0%20162025
📊 Annual Data Table (PEP) — expand/collapse
YearRevenue (B$)Op. Income (B$)EPS ($)P/E (x)ROE (%)Op. Margin (%)
201662.89.84.3615.6
201763.510.53.3816.5
201864.710.18.7815.6
201967.210.35.215.3
202070.410.15.1214.3
202179.511.25.4930.9351.7114
202286.411.56.4228.1453.7213.3
202391.5126.5625.8950.9913.1
202491.912.96.952252.314
202593.911.5623.9642.8512.2

Recent Quarterly Operating Income

Quarterly operating income YoY growth:

2021 +13%2022 +9%2023 +6%2024 +0%2025 +2%

9-Year CAGR: Revenue +4.6% · Operating Income +1.8% · Net Income +3.0% · EPS +3.6%

Source: SEC EDGAR 10-K (XBRL companyfacts, CIK 0000077476), stockanalysis, company IR. Fiscal year (December year-end) GAAP basis; EPS is diluted. P/E and ROE cover the last 5 years (stockanalysis) due to data limits, while revenue, operating income, EPS, and operating margin cover 10 years.

Mega-Cap Value Metric Comparison

PepsiCo's snack mix gives it larger revenue, but its operating margin (15.9%) trails beverage-focused Coca-Cola (31.8%). Its P/E (TTM) of 18.2 is below Coca-Cola (26.3) and Mondelez (29.1), and its 4.27% dividend yield is the highest of the three (source: stockanalysis, company filings).

Metric★ PEPKOMDLZ
Operating Margin15.9%31.8%9.8%
P/E (TTM)18.226.329.1
Dividend Yield4.27%2.53%3.34%

P/E, operating margin, dividend yield = TTM · Source: stockanalysis, company filings, 2026-07-13.

Key Risk Factors (from 10-K)

Health Trends and Regulation Tighter sugar and sodium regulation and health trends could structurally slow demand for soda and salty snacks.Source: Company 10-K Risk Factors
Slowing North America Volume Over recent years, North American snack and beverage volume growth has slowed relative to price increases. A pullback in consumer spending could add further pressure.Source: SEC EDGAR 10-K
High Leverage, Tight Liquidity Debt/equity of 2.39x and a current ratio of 0.93 leave less financial headroom than Coca-Cola (about 1.3x and 1.36).Source: stockanalysis
Commodities and FX Volatile prices for commodities like sugar, potatoes, and packaging, plus translation losses on overseas sales when the dollar strengthens.Source: Company IR
✦ ValueCrab Dashboard PreviewPEP $138.56 +0.86% · as of 2026-07-13
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Value Investing FAQ (PEP)

Q. What are PepsiCo's (PEP) key value-investing metrics?P/E (TTM) 18.16, ROE 51.51%, operating margin 15.94%, net margin 10.78%, dividend yield 4.27%, and a 9-year revenue CAGR of +4.6% (source: stockanalysis, company IR, as of 2026-07-13).
Q. How is PepsiCo as a dividend stock?As a 'Dividend King' that has raised its dividend for 54 straight years, its payout is very reliable. The current yield is about 4.27% and the payout ratio is 77.6%. (This is informational and not a recommendation to buy or sell.)
Q. How is it different from Coca-Cola?Coca-Cola focuses on a single beverage category and earns a higher operating margin (31.8%), while PepsiCo also runs a snacks business (Frito-Lay and others) for broader revenue diversification. Because snack margins are relatively lower, though, its overall operating margin (15.9%) trails Coca-Cola's.
Q. Who are the main competitors?Coca-Cola (KO) is the main rival in beverages and overall business structure, and Mondelez (MDLZ) in snacks.

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