PepsiCo (NASDAQ:PEP) Price Target and Financial Performance Review

• Evercore ISI analyst Robert Ottenstein sets a new price target of $140 for PepsiCo (NASDAQ:PEP), indicating a potential increase of about 3.47%.
• PepsiCo's first-quarter earnings and revenues fall short of expectations amidst rising trade-related costs and macroeconomic uncertainty.
• The company revises its full-year profit forecast downward, expecting constant currency earnings per share to remain flat and a low-single-digit rise in organic revenue.

On April 24, 2025, Robert Ottenstein from Evercore ISI set a price target of $140 for PepsiCo (NASDAQ:PEP). At the time, the stock was trading at $135.31, indicating a potential increase of about 3.47% to reach the target. This target was revised down from a previous $155, as highlighted by TheFly. PepsiCo, a global leader in the food and beverage industry, faces competition from companies like Coca-Cola and Nestlé.

PepsiCo's first-quarter earnings and revenues have fallen short of expectations. The company is grappling with rising trade-related costs and macroeconomic uncertainty, which are expected to further increase supply-chain expenses. Despite these challenges, PepsiCo shows resilience in navigating global issues. The company has revised its full-year profit forecast downward due to increased supply chain costs driven by tariffs and a challenging consumer environment.

In its first-quarter earnings report, PepsiCo announced that it now anticipates constant currency earnings per share to remain flat compared to the previous year. This is a reduction from its earlier prediction of mid-single-digit growth. Despite this, PepsiCo still expects a low-single-digit rise in organic revenue. CEO Ramon Laguarta commented on the situation, highlighting the expected increase in supply chain costs due to global trade developments.

PepsiCo reported a 1.8% decline in revenue for the first quarter, totaling $17.92 billion, which surpassed Wall Street's expectations of $17.73 billion. However, the adjusted earnings per share of $1.48 fell short of the anticipated $1.50. The current price of PEP is $135.31, reflecting a decrease of 4.89% or $6.95. Today, the stock has fluctuated between a low of $134.53 and a high of $141.85.

Over the past year, PEP has reached a high of $183.41 and a low of $134.53. The company's market capitalization stands at approximately $185.55 billion. The trading volume for PEP is 15.50 million shares on the NASDAQ exchange. Despite the challenges, PepsiCo remains a significant player in the market, continuing to adapt to the evolving economic landscape.