PepsiCo, Inc. (PEP)

In the past six months, PepsiCo's stock price has experienced fluctuations. As of June 26, 2025, PEP was down 2.40% over the past 30 days and 23.10% over the past 12 months. Challenges in North American operations, product recalls like the Quaker products recall, and macroeconomic factors have contributed to this performance. Geopolitical tensions and global trade developments are expected to increase supply chain costs. Despite these challenges, PepsiCo's businesses demonstrated resilience in the first quarter of 2025. The company announced the timing of its second-quarter 2025 financial results in June 2025 and is leveraging AI to advance its agenda. Historically, the stock has shown a seasonal tendency to rally from early April to mid-May.

Demand for PepsiCo's products is generally resilient to economic fluctuations, but seasonality affects certain goods. Soft drink demand increases during the summer months. The company mitigates the impact of seasonality with its diverse product range. Seasonal demand and earnings optimism contribute to a historical stock climb between early April and mid-May.

PepsiCo is a global leader in the food and beverage industry, manufacturing, marketing, distributing, and selling a wide array of products. Its portfolio includes brands like Lay's, Doritos, Cheetos, Gatorade, Pepsi-Cola, Mountain Dew, and Quaker, as well as Aquafina, Tropicana, and ready-to-drink teas. PepsiCo has expanded through acquisitions like SodaStream, Sabra, and Siete, and regional brands. The company operates through seven divisions: Frito-Lay North America, Quaker Foods North America, PepsiCo Beverages North America, Latin America, Europe, Africa, Middle East and South Asia, and Asia Pacific, Australia and New Zealand and China Region.

PepsiCo has a significant global presence, operating in over 200 countries and territories. The United States is its largest market, accounting for 56.3% of net sales, followed by Mexico, Russia, Canada, China, the United Kingdom, South Africa and Brazil. International sales contribute substantially to the company's revenue, making up 40% of total sales and one-third of operating profits.

PepsiCo has a strong brand reputation due to its innovation, market leadership, and diverse portfolio. The company is committed to refining its brand reputation management strategies. Product recalls or issues related to product quality and safety can negatively impact its reputation, while the dismissal of a defamation lawsuit may have positively influenced it. Maintaining high ethical, business, and ESG practices is crucial for its global reputation.

Institutional shareholders own 73.58% of PepsiCo's stock, retail investors own 25.78%, and individual insiders own 0.64%. The largest institutional shareholders are The Vanguard Group, Inc., BlackRock, Inc., and State Street Corp. Individual stakeholders include company management and board members, such as CEO Ramon Laguarta.