Traders Buy High Volume of Call Options on PepsiCo (NASDAQ:PEP)

PepsiCo, Inc. (NASDAQ:PEP) was the target of some unusual options trading activity on Tuesday. Stock investors acquired 52,082 call options on the stock. This represents an increase of 85% compared to the average volume of 28,094 call options.

PepsiCo Stock Down 0.0 %

Shares of PepsiCo stock traded down $0.06 during trading on Tuesday, reaching $155.94. 5,559,151 shares of the company traded hands, compared to its average volume of 7,135,484. The company has a debt-to-equity ratio of 2.05, a current ratio of 0.82 and a quick ratio of 0.65. The firm has a market capitalization of $213.86 billion, a PE ratio of 22.43, a P/E/G ratio of 3.09 and a beta of 0.54. The company has a 50 day moving average price of $148.68 and a 200-day moving average price of $161.33. PepsiCo has a 1-year low of $141.51 and a 1-year high of $183.41.

PepsiCo (NASDAQ:PEP) last released its quarterly earnings data on Tuesday, February 4th. The company reported $1.96 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.94 by $0.02. The company had revenue of $27.78 billion for the quarter, compared to analysts’ expectations of $27.89 billion. PepsiCo had a net margin of 10.43% and a return on equity of 58.87%. The business’s revenue was down .2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.78 EPS. As a group, equities research analysts expect that PepsiCo will post 8.3 earnings per share for the current fiscal year.

PepsiCo Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 31st. Stockholders of record on Friday, March 7th will be given a dividend of $1.355 per share. This represents a $5.42 annualized dividend and a dividend yield of 3.48%. The ex-dividend date is Friday, March 7th. PepsiCo’s payout ratio is presently 77.99%.

Institutional Investors Weigh In On PepsiCo

Institutional investors have recently bought and sold shares of the stock. Vanguard Group Inc. increased its stake in PepsiCo by 1.0% in the 4th quarter. Vanguard Group Inc. now owns 133,371,504 shares of the company’s stock valued at $20,280,471,000 after buying an additional 1,376,133 shares during the last quarter. State Street Corp increased its position in shares of PepsiCo by 5.1% during the third quarter. State Street Corp now owns 57,268,030 shares of the company’s stock valued at $9,738,429,000 after acquiring an additional 2,775,679 shares during the last quarter. Geode Capital Management LLC lifted its holdings in PepsiCo by 1.9% during the fourth quarter. Geode Capital Management LLC now owns 31,079,522 shares of the company’s stock worth $4,717,069,000 after acquiring an additional 582,254 shares during the period. Charles Schwab Investment Management Inc. grew its stake in PepsiCo by 18.1% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 25,217,043 shares of the company’s stock valued at $3,834,504,000 after purchasing an additional 3,856,193 shares during the period. Finally, Norges Bank purchased a new stake in shares of PepsiCo during the 4th quarter valued at $2,729,565,000. Institutional investors own 73.07% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research firms recently issued reports on PEP. HSBC dropped their price target on shares of PepsiCo from $186.00 to $170.00 and set a “hold” rating for the company in a research report on Tuesday, February 4th. StockNews.com cut shares of PepsiCo from a “buy” rating to a “hold” rating in a research note on Thursday, February 6th. Wells Fargo & Company reduced their target price on PepsiCo from $155.00 to $150.00 and set an “equal weight” rating on the stock in a report on Wednesday, February 5th. CICC Research reiterated a “market perform” rating on shares of PepsiCo in a research report on Friday, February 7th. Finally, Piper Sandler initiated coverage on shares of PepsiCo in a research note on Tuesday, January 7th. They set an “overweight” rating and a $171.00 price target on the stock. One equities research analyst has rated the stock with a sell rating, twelve have issued a hold rating and eight have given a buy rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Hold” and an average price target of $171.47.

About PepsiCo

PepsiCo, Inc engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through seven segments: 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.