PEPSICO INC (1PEP.MI) Stock Fundamental Analysis
Europe - BIT:1PEP - US7134481081 - Common Stock
122.8 EUR
-2.24 (-1.79%)
Overall 1PEP gets a fundamental rating of 4 out of 10. We evaluated 1PEP against 25 industry peers in the Beverages industry. While 1PEP belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 1PEP does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year 1PEP was profitable.
In the past year 1PEP had a positive cash flow from operations.
1PEP had positive earnings in each of the past 5 years.
1PEP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.78%, 1PEP belongs to the top of the industry, outperforming 84.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 37.26%, 1PEP belongs to the top of the industry, outperforming 88.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 15.32%, 1PEP belongs to the top of the industry, outperforming 96.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1PEP is significantly above the industry average of 8.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.78% | ||
| ROE | 37.26% | ||
| ROIC | 15.32% |
ROA(3y)9.44%
ROA(5y)8.85%
ROE(3y)51.36%
ROE(5y)50.9%
ROIC(3y)15.79%
ROIC(5y)14.66%
1.3 Margins
The Profit Margin of 1PEP (7.82%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of 1PEP has remained more or less at the same level.
With a Operating Margin value of 15.49%, 1PEP perfoms like the industry average, outperforming 48.00% of the companies in the same industry.
1PEP's Operating Margin has been stable in the last couple of years.
The Gross Margin of 1PEP (54.50%) is comparable to the rest of the industry.
1PEP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.49% | ||
| PM (TTM) | 7.82% | ||
| GM | 54.5% |
OM growth 3Y3.85%
OM growth 5Y0.2%
PM growth 3Y2.85%
PM growth 5Y-0.86%
GM growth 3Y1.08%
GM growth 5Y-0.08%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1PEP is creating value.
Compared to 1 year ago, 1PEP has about the same amount of shares outstanding.
1PEP has less shares outstanding than it did 5 years ago.
The debt/assets ratio for 1PEP is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.59 indicates that 1PEP is not in any danger for bankruptcy at the moment.
1PEP's Altman-Z score of 3.59 is amongst the best of the industry. 1PEP outperforms 84.00% of its industry peers.
The Debt to FCF ratio of 1PEP is 7.49, which is on the high side as it means it would take 1PEP, 7.49 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 7.49, 1PEP perfoms like the industry average, outperforming 56.00% of the companies in the same industry.
A Debt/Equity ratio of 2.28 is on the high side and indicates that 1PEP has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.28, 1PEP is doing worse than 92.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.28 | ||
| Debt/FCF | 7.49 | ||
| Altman-Z | 3.59 |
ROIC/WACC2.03
WACC7.53%
2.3 Liquidity
A Current Ratio of 0.91 indicates that 1PEP may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.91, 1PEP is doing worse than 72.00% of the companies in the same industry.
A Quick Ratio of 0.72 indicates that 1PEP may have some problems paying its short term obligations.
1PEP has a Quick ratio of 0.72. This is in the better half of the industry: 1PEP outperforms 64.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
The earnings per share for 1PEP have decreased by -1.63% in the last year.
Measured over the past years, 1PEP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.13% on average per year.
1PEP shows a small growth in Revenue. In the last year, the Revenue has grown by 0.49%.
Measured over the past years, 1PEP shows a small growth in Revenue. The Revenue has been growing by 6.46% on average per year.
EPS 1Y (TTM)-1.63%
EPS 3Y9.3%
EPS 5Y8.13%
EPS Q2Q%-0.87%
Revenue 1Y (TTM)0.49%
Revenue growth 3Y4.94%
Revenue growth 5Y6.46%
Sales Q2Q%2.65%
3.2 Future
1PEP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.34% yearly.
Based on estimates for the next years, 1PEP will show a small growth in Revenue. The Revenue will grow by 3.19% on average per year.
EPS Next Y0.39%
EPS Next 2Y3.09%
EPS Next 3Y3.94%
EPS Next 5Y3.34%
Revenue Next Year1.49%
Revenue Next 2Y2.49%
Revenue Next 3Y2.7%
Revenue Next 5Y3.19%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.09, which indicates a rather expensive current valuation of 1PEP.
The rest of the industry has a similar Price/Earnings ratio as 1PEP.
1PEP is valuated rather cheaply when we compare the Price/Earnings ratio to 26.28, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 16.37, the valuation of 1PEP can be described as correct.
Based on the Price/Forward Earnings ratio, 1PEP is valued a bit more expensive than the industry average as 60.00% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 33.61, 1PEP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.09 | ||
| Fwd PE | 16.37 |
4.2 Price Multiples
1PEP's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. 1PEP is more expensive than 68.00% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1PEP indicates a slightly more expensive valuation: 1PEP is more expensive than 68.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.6 | ||
| EV/EBITDA | 13.55 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1PEP does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of 1PEP may justify a higher PE ratio.
PEG (NY)46.34
PEG (5Y)2.22
EPS Next 2Y3.09%
EPS Next 3Y3.94%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.86%, 1PEP has a reasonable but not impressive dividend return.
1PEP's Dividend Yield is a higher than the industry average which is at 3.20.
Compared to an average S&P500 Dividend Yield of 2.36, 1PEP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.86% |
5.2 History
The dividend of 1PEP is nicely growing with an annual growth rate of 6.80%!
Dividend Growth(5Y)6.8%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
104.55% of the earnings are spent on dividend by 1PEP. This is not a sustainable payout ratio.
The dividend of 1PEP is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP104.55%
EPS Next 2Y3.09%
EPS Next 3Y3.94%
BIT:1PEP (11/10/2025, 7:00:00 PM)
122.8
-2.24 (-1.79%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners78.94%
Inst Owner ChangeN/A
Ins Owners0.17%
Ins Owner ChangeN/A
Market Cap167.91B
Revenue(TTM)92.37B
Net Income(TTM)7.22B
Analysts67.86
Price Target140.32 (14.27%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.86% |
Yearly Dividend4.56
Dividend Growth(5Y)6.8%
DP104.55%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.92%
Min EPS beat(2)0.43%
Max EPS beat(2)3.41%
EPS beat(4)2
Avg EPS beat(4)0.59%
Min EPS beat(4)-1.39%
Max EPS beat(4)3.41%
EPS beat(8)5
Avg EPS beat(8)1.81%
EPS beat(12)9
Avg EPS beat(12)2.53%
EPS beat(16)12
Avg EPS beat(16)2.86%
Revenue beat(2)1
Avg Revenue beat(2)0.23%
Min Revenue beat(2)-0.53%
Max Revenue beat(2)1%
Revenue beat(4)1
Avg Revenue beat(4)-0.26%
Min Revenue beat(4)-1.36%
Max Revenue beat(4)1%
Revenue beat(8)1
Avg Revenue beat(8)-1.01%
Revenue beat(12)4
Avg Revenue beat(12)-0.1%
Revenue beat(16)8
Avg Revenue beat(16)0.76%
PT rev (1m)3.57%
PT rev (3m)8.08%
EPS NQ rev (1m)2.62%
EPS NQ rev (3m)2.85%
EPS NY rev (1m)1.02%
EPS NY rev (3m)2.87%
Revenue NQ rev (1m)0.99%
Revenue NQ rev (3m)1.07%
Revenue NY rev (1m)0.45%
Revenue NY rev (3m)0.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.09 | ||
| Fwd PE | 16.37 | ||
| P/S | 2.1 | ||
| P/FCF | 28.6 | ||
| P/OCF | 16.51 | ||
| P/B | 10.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.55 |
EPS(TTM)6.79
EY5.53%
EPS(NY)7.5
Fwd EY6.11%
FCF(TTM)4.29
FCFY3.5%
OCF(TTM)7.44
OCFY6.06%
SpS58.43
BVpS12.26
TBVpS-9.05
PEG (NY)46.34
PEG (5Y)2.22
Graham Number43.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.78% | ||
| ROE | 37.26% | ||
| ROCE | 19.06% | ||
| ROIC | 15.32% | ||
| ROICexc | 17.32% | ||
| ROICexgc | 35.16% | ||
| OM | 15.49% | ||
| PM (TTM) | 7.82% | ||
| GM | 54.5% | ||
| FCFM | 7.35% |
ROA(3y)9.44%
ROA(5y)8.85%
ROE(3y)51.36%
ROE(5y)50.9%
ROIC(3y)15.79%
ROIC(5y)14.66%
ROICexc(3y)17.92%
ROICexc(5y)16.59%
ROICexgc(3y)38.78%
ROICexgc(5y)38.65%
ROCE(3y)20.23%
ROCE(5y)18.63%
ROICexgc growth 3Y1.22%
ROICexgc growth 5Y-0.39%
ROICexc growth 3Y8.31%
ROICexc growth 5Y3.24%
OM growth 3Y3.85%
OM growth 5Y0.2%
PM growth 3Y2.85%
PM growth 5Y-0.86%
GM growth 3Y1.08%
GM growth 5Y-0.08%
F-Score5
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.28 | ||
| Debt/FCF | 7.49 | ||
| Debt/EBITDA | 2.5 | ||
| Cap/Depr | 147.96% | ||
| Cap/Sales | 5.38% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.56% | ||
| Profit Quality | 93.98% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 3.59 |
F-Score5
WACC7.53%
ROIC/WACC2.03
Cap/Depr(3y)181.31%
Cap/Depr(5y)176.2%
Cap/Sales(3y)5.95%
Cap/Sales(5y)5.94%
Profit Quality(3y)75.09%
Profit Quality(5y)81.31%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.63%
EPS 3Y9.3%
EPS 5Y8.13%
EPS Q2Q%-0.87%
EPS Next Y0.39%
EPS Next 2Y3.09%
EPS Next 3Y3.94%
EPS Next 5Y3.34%
Revenue 1Y (TTM)0.49%
Revenue growth 3Y4.94%
Revenue growth 5Y6.46%
Sales Q2Q%2.65%
Revenue Next Year1.49%
Revenue Next 2Y2.49%
Revenue Next 3Y2.7%
Revenue Next 5Y3.19%
EBIT growth 1Y-0.41%
EBIT growth 3Y8.98%
EBIT growth 5Y6.67%
EBIT Next Year22.12%
EBIT Next 3Y10.68%
EBIT Next 5Y7.49%
FCF growth 1Y-2.29%
FCF growth 3Y0.94%
FCF growth 5Y5.82%
OCF growth 1Y-3.13%
OCF growth 3Y2.49%
OCF growth 5Y5.33%
PEPSICO INC / 1PEP.MI FAQ
What is the fundamental rating for 1PEP stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1PEP.MI.
What is the valuation status for 1PEP stock?
ChartMill assigns a valuation rating of 2 / 10 to PEPSICO INC (1PEP.MI). This can be considered as Overvalued.
How profitable is PEPSICO INC (1PEP.MI) stock?
PEPSICO INC (1PEP.MI) has a profitability rating of 7 / 10.
What is the valuation of PEPSICO INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PEPSICO INC (1PEP.MI) is 18.09 and the Price/Book (PB) ratio is 10.01.
How sustainable is the dividend of PEPSICO INC (1PEP.MI) stock?
The dividend rating of PEPSICO INC (1PEP.MI) is 4 / 10 and the dividend payout ratio is 104.55%.