PepsiCo, Inc. (PEP)

PepsiCo's stock has climbed 9.4% in the past six months, outperforming the S&P 500 and the Consumer Staples sector but underperforming the Beverages – Soft Drinks industry. Factors contributing to this momentum include strong international growth, product innovation, strategic brand investments, and disciplined execution. In the first quarter of 2026, all business segments contributed to organic revenue growth, leading to an 8.5% net revenue increase. The company also recently raised its quarterly dividend by 4% to $1.48 per share.

Demand for PepsiCo's products exhibits some seasonality, particularly for its beverage offerings. Search interest for "Pepsi cola" has shown peaks in August and February. Similarly, "Pepsi Zero Sugar" also experiences peaks in August, December, and February. Diversification into food products means that approximately 50% of its revenue now originates from food, which has made the company's overall demand less seasonal. PepsiCo utilizes AI to analyze consumer demand, including seasonality, to tailor products and optimize planning.

PepsiCo, Inc. is a multinational food and beverage corporation headquartered in Purchase, New York, operating within the Consumer Staples sector. It manufactures, distributes, and markets a diverse range of products, including soft drinks like Pepsi and snack foods like Lay's. PepsiCo has expanded its portfolio through strategic acquisitions, including Tropicana Products, Quaker Oats Company, Rockstar Energy, Poppi and Siete Foods.

PepsiCo has an expansive global presence, with its products enjoyed in over 200 countries and territories. Its global operations are structured into several main divisions: PepsiCo Beverages North America (PBNA), Frito-Lay North America (FLNA), Quaker Foods North America (QFNA), Latin America, Europe, Africa, Middle East and South Asia (AMESA), and Asia–Pacific, Australia, New Zealand and China (APAC). The United States represents the largest share of PepsiCo's total revenue, accounting for 55.61%.

PepsiCo has faced challenges to its brand reputation, including a scare involving syringes allegedly found in Diet Pepsi cans in 1993 and a controversial Kendall Jenner advertisement in 2017. PepsiCo has been identified as a major plastic polluter and has faced scrutiny for pushing back its goals to achieve net-zero greenhouse gas emissions. The company has also experienced declining popularity in the U.S. soda market. In response, PepsiCo is actively working to rebuild its brand, focusing on making Pepsi Zero a preferred pairing with foods and increasing marketing efforts for Pepsi-Cola and other beverages.

PepsiCo is a publicly traded company with ownership distributed among thousands of shareholders, with no single entity holding a controlling stake. Institutional investors collectively hold the majority of shares, approximately 72% to 75.33% of the total outstanding shares. The Vanguard Group is the largest institutional shareholder. Individual retail investors own nearly one-quarter of the company, while company insiders hold less than 1% of the shares.