Pepsi (PEP, $122.41) beats Q1 earnings estimates, registers three-year high organic sales growth
PepsiCo. Inc. reported its first quarter earnings per share that surpassed analysts’ estimates. The soft drink & snacks major also clocked in the sharpest organic sales growth in more than three years.
Pepsi’s earnings for the three months ending in March came in at $1 per share, beating analysts’ expectations of 93 cents per share. It was also higher than the year-ago quarter’s 94 cents a share. Total company revenue climbed +2.5% year-over-year to $12.88 billion.
Organic sales growth (a metric that separates out currency market impacts as well as mergers and acquisitions) increased +5.2% from last year, marking the fastest pace of quarterly year-over-year growth in more than three years, according to the company.
CEO Ramon Laguarta indicated that Pepsi’s Frito-Lay North America and the company’s international businesses delivered solid operational results, while PepsiCo Beverages North America generated “sequential quarterly net revenue acceleration." Sales in its North America beverages unit grew +2.15%, while its Frito-Lay snacks division rose +5.5%.
PEP sees MACD Histogram crosses below signal line
PEP saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on February 19, 2026. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 45 instances where the indicator turned negative. In of the 45 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for PEP moved out of overbought territory on February 13, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 39 similar instances where the indicator moved out of overbought territory. In of the 39 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on March 04, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on PEP as a result. In of 88 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend 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 January 30, 2026. 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.
Bullish Trend Analysis
The Stochastic Oscillator is in the oversold zone. Keep an eye out for a move up in the foreseeable future.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where PEP advanced for three days, in of 322 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 272 cases where PEP Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
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 (10.977) is normal, around the industry mean (5.967). P/E Ratio (27.320) is within average values for comparable stocks, (43.877). Projected Growth (PEG Ratio) (3.283) is also within normal values, averaging (28.043). Dividend Yield (0.034) settles around the average of (0.024) among similar stocks. P/S Ratio (2.396) is also within normal values, averaging (2.594).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding 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 Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. PEP’s price grows at a higher 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 well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 73, placing this stock slightly better than average.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued 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.
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General Information
a provider of a diversified line of soft drinks and snack foods
Industry BeveragesNonAlcoholic
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