Vandita Jadeja
Tue, April 14, 2026 astatine 10:35 AM CDT 4 min read
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PepsiCo (PEP) reported Q4 gross of $29.34B, beating statement by $5.33B, with nett income surging 67% year-over-year and FY2025 EPS of $8.14; planetary segments drove momentum with EMEA operating nett jumping 72% and LatAm Foods expanding 11%.
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PepsiCo’s dividend streak of 54 consecutive years and FY2026 guidance of 2-4% integrated gross maturation enactment the 13.41% upside to $177.14, though tariff-driven commodity outgo ostentation and North American measurement declines airs downside risks.
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PepsiCo (NASDAQ:PEP) trades astatine $156.20 arsenic of penning and our terms people for the banal is $177.14, implying upside of 13.41% implicit the adjacent 12 months. With a 90% assurance level, PepsiCo's antiaircraft characteristics, dividend consistency, and planetary momentum enactment the 12-month terms people of $177.14.
| Current Price | $156.20 |
| 24/7 Wall St. Price Target | $177.14 |
| Upside | 13.41% |
| Recommendation | BUY |
| Confidence Level | 90% |
PepsiCo shares are up 10.41% year-to-date done April 10, 2026, recovering from a 52-week debased of $122.83. Over the trailing 12 months, the banal has gained 13.32%. The astir caller one-month show shows a diminution of 1.93% from $160.15, pulling backmost from its 52-week precocious of $169.96.
Fourth 4th results delivered a coagulated beat. Revenue came successful astatine $29.34 billion, beating the $24.01 cardinal statement estimation by a wide margin. EPS of $2.26 edged past the $2.24 estimate. Net income surged 66.78% year-over-year, and operating income roseate 15.6%. Full-year FY2025 EPS landed astatine $8.14, against a statement estimation of $8.11.
READ: The expert who called NVIDIA successful 2010 just named his apical 10 AI stocks
International segments delivered beardown Q4 results: EMEA gross grew 12% with operating nett surging 72%, and LatAm Foods expanded 11%. Management's FY2026 guidance calls for integrated gross maturation of 2-4% and halfway changeless currency EPS maturation of 4-6%, with a ~1 percent constituent FX tailwind. Record productivity savings and the poppi acquisition integration adhd further momentum.
Deutsche Bank expert Steve Powers maintains a Buy standing with a $169 terms target, citing the portfolio's quality to make net done volatility. The bull lawsuit script puts PEP astatine $184.95 by April 2027 if integrated maturation trends toward the precocious extremity of guidance and North American volumes stabilize.
Tariff-driven commodity outgo ostentation poses the superior risk. PBNA faced an 11-percentage-point outgo headwind from tariffs successful Q4, with unit expected to persist successful FY2026. Organic measurement declines successful PFNA and PBNA stay concerning, with PFNA down 3% organically successful Q3. Consumer affordability pressures proceed to measurement connected North American snack volumes.

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