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PepsiCo, Inc. PEP

NasdaqSoft drinksFinancials to Sep 5, 2026 · Updated Nov 11, 2026

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PEP financials
Moat score
80
ROIC
19.3%
P/E
18.0
EV/EBIT
15.7
FCF yield
5.4%
Dividend yield
4.0%
Market cap
$195.7B

Moat ranks

Score rankTied #143 of 396
Durabilitydurable
Market structureOligopoly
Pricing powermoderate

Balance sheet

9/5/26
$BDec 27Sep 5
Cash9.210.7
Securities0.40.5
Debt49.251.9
Net cash-39.7-40.7
Equity20.422.3
Leverage
Debt / EBITDA
2.77×
Debt / equity
2.33×
Leases (12/27/25)
$3.8B
Capital
Diluted shares
1,367M
Book value / share
$16.31
Price / book
8.8×
Net cash / share
−$29.79
Market cap
$195.7B
Enterprise value
$236.4B

Per-share record

Fiscal years and TTM
Scale
$0$20$40$60$80'16'17'18'19'20'21'22'23'2468.41'2571.87TTM
Revenue per shareCash flow per share

Key indicators

Latest: Q3 '26
IndicatorLatestVs year agoLast 8 quarters
Revenue growth5.6%+2.9 pts
Operating margin16.9%+1.9 pts
FCF margin18.5%+3.9 pts
Capex / revenue3.6%-0.5 pts
PFNA effective net pricing-1.0%–
PBNA unit volume growth-2%–
PBNA effective net pricing3.0%–
IB Franchise unit volume growth+5%–
IB Franchise effective net pricing2.0%–

Margins and growth from reported quarters; company KPIs as reported in results releases.

About PEP

PepsiCo sells branded snacks and beverages through owned factories, delivery routes and franchise bottlers. PBNA supplied 30% of 2025 revenue and PFNA 29%.

Revenue mix
PepsiCo Beverages North America (PBNA) 30.0%PepsiCo Foods North America (PFNA) 29.3%Europe, Middle East and Africa (EMEA) 19.2%Latin America Foods (LatAm Foods) 11.2%International Beverages Franchise (IB Franchise) 5.3%Asia Pacific Foods 4.9%
  • Distribution Control

    Direct-store-delivery (DSD) and in-store merchandising create shelf execution and service advantages, especially for fast-turn snacks.

  • Brand Trust

    Category-leading snack brands plus Quaker and Sabra give PFNA broad branded shelf presence and habitual purchasing in North American convenient foods.

  • Distribution Control

    Company-owned bottling plants and distribution facilities plus DSD/warehouse networks support scale placement and execution across channels.

  • Brand Trust

    Iconic beverage trademarks (Pepsi, Mountain Dew, Gatorade, etc.) support consumer preference and enable portfolio innovation (zero sugar, functional, etc.).

Timeline
  1. Oct 8, 2026

    PepsiCo reduced FY2026 core constant-currency EPS growth guidance to 1%-2% while expecting approximately 6% reported revenue growth. North American costs and mix are delaying profit recovery despite stronger international demand.

  2. Oct 6, 2026

    The Delhi High Court allowed PepsiCo to sell existing energy-drink-labeled stock but did not permit new production bearing that description. The next hearing on November 5 will review the dispute.

  3. Oct 5, 2026

    Carlsberg agreed to buy two existing PepsiCo bottlers in Georgia and Armenia, changing the prospective operator of established routes. Completion and Armenian approval remain pending.

  4. Sep 25, 2026

    PepsiCo initiated a Gatorade recall for undeclared yellow dyes in certain 28-ounce bottles. The labeling failure creates a consumer-trust risk even as hydration products gain share.

  5. Sep 17, 2026

    PepsiCo elected Johnson & Johnson CEO Joaquin Duato to its board, effective December 1, adding healthcare and portfolio-management experience to the audit committee.

Ownership

To 10/8/26
CEO
Ramon Laguarta
Since 2018 · 8 yrs
Professional CEOSingle share class
Insider trades32
Planned sales7

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Financial record

Fiscal year2016201720182019202020212022202320242025TTMTrendChange 2016–25
Per share ($)
Revenue43.2544.1845.3847.7350.5557.2262.2966.1466.6668.4171.87+5.2%/yr
Cash flow7.346.976.616.867.628.367.799.729.088.8010.66+2.0%/yr
Earnings4.363.388.785.205.115.486.426.566.956.007.97+3.6%/yr
Free cash flow5.254.914.303.854.585.034.045.735.225.597.66+0.7%/yr
Capex2.092.062.303.013.053.333.753.993.863.223.00+4.9%/yr
Dividends2.913.113.463.773.964.194.454.835.255.565.77+7.5%/yr
Book value7.757.6810.1910.519.6711.5512.3613.3813.0914.8616.31+7.5%/yr
Diluted shares (M)1,4521,4381,4251,4071,3921,3891,3871,3831,3781,3731,367-0.6%/yr
Totals ($B)
Revenue62.863.564.767.270.479.586.491.591.993.998.2+4.6%/yr
Operating income9.810.310.110.310.111.211.512.012.911.515.1+1.8%/yr
Net income6.34.912.57.37.17.68.99.19.68.210.9+3.0%/yr
Free cash flow7.67.16.15.46.47.05.67.97.27.710.5+0.1%/yr
Buybacks3.02.02.03.02.00.11.51.01.01.01.0-11.5%/yr
Dividends4.24.54.95.35.55.86.26.77.27.67.9+6.8%/yr
Net cash-20.8-19.8-23.3-26.3-34.6-34.3-33.7-34.1-35.0-39.7-40.7−$18.8B
Margins & returns (%)
Gross margin55.154.754.655.154.853.353.054.254.654.154.2-0.9 pts
Operating margin15.616.215.615.314.314.013.313.114.012.215.3-3.4 pts
Net margin10.17.619.410.910.19.610.39.910.48.811.1-1.3 pts
FCF margin12.111.19.58.19.18.86.58.77.88.210.7-4.0 pts
ROIC24.726.921.620.216.917.918.318.419.615.519.3-9.2 pts
Return on equity56.344.086.249.552.947.552.049.053.140.448.9-15.9 pts
R&D % of revenue1.21.21.11.11.00.90.90.90.90.9–-0.3 pts
Stock pay % of revenue0.50.50.40.40.40.40.40.40.40.30.3-0.2 pts
Capex % of revenue4.84.75.16.36.05.86.06.05.84.74.2-0.1 pts

Change uses 2016 and 2025 only: compound annual growth for amounts, points for margins and returns, and the change in amount for net cash. A dash means no 2016 base. Trend shows the fiscal years.

TTM = four quarters to Sep 5, 2026. Per-share values use diluted weighted shares.ROIC = operating income × (1 − 19.2% tax rate, the company's own over three fiscal years excluding one-offs) ÷ (equity + debt − cash and current securities). Returns show a dash when their base is negative or under 10% of revenue. Free cash flow = operating cash flow − capex. Debt is all borrowings; net cash counts long-term securities and excludes leases.

Moat

Moat scorecard

Moat score80
Strength
Confidence
Structure
Oligopoly
Durability
durable
Trajectory
stable
Pricing power
moderate
Segments
  • PepsiCo Foods North America (PFNA)29.3%
    2 claims
  • PepsiCo Beverages North America (PBNA)30.0%
    2 claims
  • International Beverages Franchise (IB Franchise)5.3%
    2 claims
  • Latin America Foods (LatAm Foods)11.2%
    2 claims
  • Europe, Middle East and Africa (EMEA)19.2%
    2 claims
  • Asia Pacific Foods4.9%
    1 claim

Moat claims

Applies to
PepsiCo Foods North America (PFNA)
Confidence
Durability
durable
Trajectory
stableas of Oct 8, 2026
Why it holds

Direct-store-delivery (DSD) and in-store merchandising create shelf execution and service advantages, especially for fast-turn snacks.

Why stable

U.S. salty and savory snack volume share improved in Q3 2026. Direct-store delivery still supports shelf execution, but higher route and input costs mean these share gains have not restored profit.

Indicators
  • PFNA unit volume growth0%
  • PFNA segment operating profit$1.3B
  • PFNA savory-snack unit volume growth+1%
Risks
  • Retail shift toward warehouse/e-commerce fulfillment reduces in-store merchandising advantage
  • Route labor and fuel cost inflation
  • Retailers push private label and demand higher trade spend

Profile change log

  1. Oct 9, 2026 · business change

    PepsiCo completed the North American sale of Tropicana, Naked and other juice brands to PAI Partners on January 24, 2022, followed by Europe on February 1. The $3.5bn cash transaction left a 39% stake and U.S. distribution rights; its $3.321bn disposal gain is separate from continuing operating demand.

  2. Oct 9, 2026 · analyst revision

    Corrected EMEA Q3 physical volume from the cumulative 36-week figures to the discrete 12-week figures: convenient foods +3% to -1% and beverages +2% to +4%. Demand is mixed across products; the existing moat strengths and stable trajectories remain unchanged. Added separate North American beverage-category volume histories and clarified that the Carlsberg purchases change existing bottler ownership rather than expand PepsiCo geography.

  3. Oct 8, 2026 · analyst revision

    Added India’s energy-drink labeling restriction to the franchise risks, market profile and debate. Added separately reported EMEA beverage-volume history and the 2024 U.S. measured-channel beverage share, making the 18% to 16% change visible alongside current volume weakness.

  4. Oct 8, 2026 · analyst revision

    Corrected the Carlsberg transaction description: its Georgia and Armenia targets already bottle PepsiCo products. Franchise distribution is stable because volume growth and a pending operator change do not show a wider operating barrier. Removed full-market leader lists that relied on company portfolios, competitor lists or U.S.-only retail evidence.

  5. Oct 8, 2026 · business change

    The Delhi High Court allowed PepsiCo to sell existing energy-drink-labeled stock but did not permit new production bearing that description. The next hearing on November 5 will review the dispute.

  6. Oct 8, 2026 · business change

    PepsiCo reduced FY2026 core constant-currency EPS growth guidance to 1%-2% while expecting approximately 6% reported revenue growth. North American costs and mix are delaying profit recovery despite stronger international demand.

  7. Oct 8, 2026 · business change

    Carlsberg agreed to buy two existing PepsiCo bottlers in Georgia and Armenia, changing the prospective operator of established routes. Completion and Armenian approval remain pending.

  8. Oct 8, 2026 · business change

    PepsiCo initiated a Gatorade recall for undeclared yellow dyes in certain 28-ounce bottles. The labeling failure creates a consumer-trust risk even as hydration products gain share.

  9. Oct 8, 2026 · business change

    PepsiCo elected Johnson & Johnson CEO Joaquin Duato to its board, effective December 1, adding healthcare and portfolio-management experience to the audit committee.

  10. Oct 8, 2026 · business change

    Baltimore appealed the plastics-claim dismissals, so the favorable lower-court outcome has not ended the dispute.

  11. Oct 8, 2026 · business change

    The Baltimore court dismissed the remaining public-nuisance plastics claim against PepsiCo, reducing the immediate litigation exposure while leaving an appeal possible.

  12. Oct 8, 2026 · business change

    PepsiCo transferred the U.S. and Canadian Rockstar brand to Celsius and acquired preferred shares; its Alani Nu distribution agreement expanded the energy portfolio carried by its routes.

  13. Oct 8, 2026 · business change

    PepsiCo bought poppi for $1.95bn cash plus contingent consideration, adding prebiotic soda; acquired revenue and purchase-accounting credits now affect beverage comparisons.

  14. Oct 8, 2026 · business change

    PepsiCo bought Siete for $1.2bn in cash, adding Mexican-American foods and simpler-ingredient products to its North American food portfolio.

  15. Oct 8, 2026 · analyst revision

    Added the investor debate, management evidence and linked market profiles. Market drivers distinguish consumer demand from pricing, currency translation, input costs and regulatory pressure.

  16. Oct 8, 2026 · analyst revision

    North American brand trajectories are narrowing as unit demand and pricing fail to protect profit. International franchise distribution and Asia Pacific brand demand are widening on current volume and expansion evidence. All existing claim strengths, evidence statuses and profile timestamps stay in place.

  17. Oct 8, 2026 · analyst revision

    Replaced seasonal Q2 2026 segment weights with FY2025 revenue weights. Removed profit shares based on a subtotal before corporate expense, and removed U.S. potato-chip and sports-drink share/HHI proxies from whole segments. Reported segment profits and the properly scoped U.S. beverage share are retained as KPIs.

Industry & peers

Peer map

0%10%20%30%40%50%60708090100Moat scoreIndustry medianPEPMDLZKOMNST

Hover a point for its values; click a peer to compare. Dashed lines: industry medians.

North American nonalcoholic ready-to-drink beverages

As of Oct 8, 2026
OligopolyLow cyclicality

Consumer nonalcoholic beverages sold ready to drink in the United States and Canada, including fountain drinks, sparkling drinks, packaged water, sports and energy drinks, juice, value-added dairy, plant-based beverages, and ready-to-drink coffee and tea. Excludes alcohol and drinks prepared at home; U.S. measured-channel retail share evidence covers a subset of this market.

StocksMoatGross m.Op. m.
PEP8054.2%15.3%
Industry median48255.3%28.5%
Sector median857455.3%17.0%
All stocks median3987653.1%20.0%

Moat medians cover every stock. Margin medians count only stocks with collected numbers and need at least three.

Drivers & risks

Demand drivers
  • Lower-sugar drinks and functional products such as protein dairy, hydration and energy can take share of existing drinking occasions.
  • Cold availability, fountain contracts and bottler investment broaden access; independent bottlers carry much of the physical capital burden.
  • Small packs, refillable packaging and price tiers can retain consumers when household budgets are under pressure.
  • Restaurants, travel and entertainment support away-from-home drinking; demand is steadier than discretionary goods, but channel mix changes profitability.
Risks
  • Consumers can switch brands cheaply. Concentrated retailers, strong global rivals and local brands can demand promotions or better trade terms.
  • Sugar taxes, warning labels and marketing restrictions can raise prices or reduce demand; lower-sugar products help but do not remove health-policy risk.
  • Aluminum, PET, sweeteners, milk, energy and transport costs can rise faster than pricing. Tariffs and packaging rules can add further cost.
  • Water scarcity, contamination or production disruptions can interrupt bottlers and damage consumer trust.
  • Interest rates affect bottler investment and debt costs. Canadian-dollar movements affect U.S.-reported results, while weak real household incomes can drive downtrading.

Bulls & bears

Key question · as of Oct 8, 2026

Can PepsiCo restore North American volume and pricing without giving up the profit that its brands and delivery routes should protect?

Arguments

4 forFaded: weakening or settled6 against

What to watch

  1. 1PFNA savory-snack volume and effective net pricing
  2. 2PBNA unit volume and carbonated-drink share versus Coca-Cola
  3. 3Reported and core segment operating profit, with tariff refunds separated
  4. 4International unit volume versus inflation and currency translation
  5. 5Cash generation after the final transition-tax installment

Next check: Q4 and full-year2026 results; a release date remains unconfirmed. Seek a primary outcome for the November 5India labeling hearing, Gatorade recall closure and Carlsberg bottler transactions. Their completion or resolution was not verified in this source review.

Sources: company filings and dated sources collected for Find My Moat; market cap as of Nov 10, 2026. Not investment advice.

Cite or reuse this data

Free to reuse, commercially too, with a credit link. See the data license.

Moat Score 80/100 by <a href="https://www.findmymoat.com/stocks/XNAS:PEP">Find My Moat</a> (as of September 2026)

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