While being able to match analysts’ expectation for the latest quarter’s earnings and revenue, PepsiCo. portends earnings challenges for 2019.
The soft drink behemoth reported fourth quarter earnings of $1.49 per share and revenue of $19.52 billion - both in line with what Wall Street estimated.
Pepsi’s North American beverage market increased +2% - thereby rewarding the company’s advertising investment in the region. The company’s snack business registered +4% organic revenue growth in North America for the quarter.
PepsiCo.’s fiscal fourth-quarter net income came in at $6.85 billion (or $4.83 per share), compared to a loss of -$710 million, (or -50 cents per share) of the year-ago quarter.
However, Pepsi has apparently lowered its hopes for full-year 2019 earnings, owing to currency exchange rates headwinds, increased advertising/marketing expenses, and an expected hike in the effective tax rate to 21 percent from 18.8 percent. It now predicts earnings of $5.50 per share during 2019, down from its 2018 earnings of $5.66 per share. Wall Street had expected earnings of $5.86 a share for 2019 (according to Refinitiv).
But what might be good news for the company’s shareholders is that it announced a +3% dividend increase - to $3.82 from $3.71 - starting June.
PEP saw its Momentum Indicator move above the 0 level on June 30, 2025. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 91 similar instances where the indicator turned positive. In of the 91 cases, the stock moved higher in the following days. The odds of a move higher are at .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 59 cases where PEP's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for PEP just turned positive on June 27, 2025. Looking at past instances where PEP's MACD turned positive, the stock continued to rise in of 48 cases over the following month. The odds of a continued upward trend are .
PEP moved above its 50-day moving average on June 30, 2025 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where PEP advanced for three days, in of 335 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 281 cases where PEP Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where PEP declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
PEP broke above its upper Bollinger Band on June 12, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (12.853) is normal, around the industry mean (6.809). P/E Ratio (26.366) is within average values for comparable stocks, (32.900). Projected Growth (PEG Ratio) (2.864) is also within normal values, averaging (5.903). Dividend Yield (0.029) settles around the average of (0.026) among similar stocks. P/S Ratio (2.615) is also within normal values, averaging (3.355).
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. PEP’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. PEP’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 69, placing this stock worse than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a provider of a diversified line of soft drinks and snack foods
Industry BeveragesNonAlcoholic