PEPSICO INC (PEP.DE) Stock Fundamental Analysis

FRA:PEP • US7134481081

136.48 EUR
-4.46 (-3.16%)
Last: Feb 17, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to PEP. PEP was compared to 30 industry peers in the Beverages industry. While PEP has a great profitability rating, there are some minor concerns on its financial health. PEP has a expensive valuation and it also scores bad on growth.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • In the past year PEP was profitable.
  • In the past year PEP had a positive cash flow from operations.
  • Each year in the past 5 years PEP has been profitable.
  • Each year in the past 5 years PEP had a positive operating cash flow.
PEP.DE Yearly Net Income VS EBIT VS OCF VS FCFPEP.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 7.67%, PEP belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
  • PEP's Return On Equity of 40.38% is amongst the best of the industry. PEP outperforms 90.00% of its industry peers.
  • PEP's Return On Invested Capital of 16.14% is amongst the best of the industry. PEP outperforms 93.33% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for PEP is significantly above the industry average of 8.40%.
  • The last Return On Invested Capital (16.14%) for PEP is above the 3 year average (15.94%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 7.67%
ROE 40.38%
ROIC 16.14%
ROA(3y)8.78%
ROA(5y)8.85%
ROE(3y)47.5%
ROE(5y)48.39%
ROIC(3y)15.94%
ROIC(5y)15.39%
PEP.DE Yearly ROA, ROE, ROICPEP.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

1.3 Margins

  • PEP's Profit Margin of 8.77% is in line compared to the rest of the industry. PEP outperforms 50.00% of its industry peers.
  • In the last couple of years the Profit Margin of PEP has declined.
  • PEP has a Operating Margin (15.87%) which is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of PEP has remained more or less at the same level.
  • With a Gross Margin value of 54.46%, PEP perfoms like the industry average, outperforming 53.33% of the companies in the same industry.
  • PEP's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 15.87%
PM (TTM) 8.77%
GM 54.46%
OM growth 3Y3.16%
OM growth 5Y1.06%
PM growth 3Y-5.25%
PM growth 5Y-2.81%
GM growth 3Y0.62%
GM growth 5Y-0.16%
PEP.DE Yearly Profit, Operating, Gross MarginsPEP.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), PEP is creating value.
  • PEP has less shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, PEP has less shares outstanding
  • The debt/assets ratio for PEP is higher compared to a year ago.
PEP.DE Yearly Shares OutstandingPEP.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B
PEP.DE Yearly Total Debt VS Total AssetsPEP.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B 100B

2.2 Solvency

  • PEP has an Altman-Z score of 3.80. This indicates that PEP is financially healthy and has little risk of bankruptcy at the moment.
  • With an excellent Altman-Z score value of 3.80, PEP belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
  • PEP has a debt to FCF ratio of 6.41. This is a slightly negative value and a sign of low solvency as PEP would need 6.41 years to pay back of all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 6.41, PEP is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
  • PEP has a Debt/Equity ratio of 2.07. This is a high value indicating a heavy dependency on external financing.
  • The Debt to Equity ratio of PEP (2.07) is worse than 86.67% of its industry peers.
Industry RankSector Rank
Debt/Equity 2.07
Debt/FCF 6.41
Altman-Z 3.8
ROIC/WACC2.14
WACC7.55%
PEP.DE Yearly LT Debt VS Equity VS FCFPEP.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B

2.3 Liquidity

  • PEP has a Current Ratio of 0.85. This is a bad value and indicates that PEP is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 0.85, PEP is doing worse than 63.33% of the companies in the same industry.
  • A Quick Ratio of 0.67 indicates that PEP may have some problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 0.67, PEP is in the better half of the industry, outperforming 63.33% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.85
Quick Ratio 0.67
PEP.DE Yearly Current Assets VS Current LiabilitesPEP.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • PEP shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.12%.
  • Measured over the past years, PEP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.10% on average per year.
  • PEP shows a small growth in Revenue. In the last year, the Revenue has grown by 2.25%.
  • Measured over the past years, PEP shows a small growth in Revenue. The Revenue has been growing by 5.94% on average per year.
EPS 1Y (TTM)-0.12%
EPS 3Y6.27%
EPS 5Y8.1%
EPS Q2Q%15.31%
Revenue 1Y (TTM)2.25%
Revenue growth 3Y2.83%
Revenue growth 5Y5.94%
Sales Q2Q%5.61%

3.2 Future

  • PEP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.08% yearly.
  • PEP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.77% yearly.
EPS Next Y5.95%
EPS Next 2Y5.87%
EPS Next 3Y5.24%
EPS Next 5Y5.08%
Revenue Next Year3.92%
Revenue Next 2Y3.58%
Revenue Next 3Y3.7%
Revenue Next 5Y3.77%

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.
PEP.DE Yearly Revenue VS EstimatesPEP.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 20B 40B 60B 80B 100B
PEP.DE Yearly EPS VS EstimatesPEP.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6 8 10

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Find the best growth stocksShow best growing peers

2

4. Valuation

4.1 Price/Earnings Ratio

  • PEP is valuated rather expensively with a Price/Earnings ratio of 19.87.
  • PEP's Price/Earnings ratio is a bit cheaper when compared to the industry. PEP is cheaper than 63.33% of the companies in the same industry.
  • PEP is valuated rather cheaply when we compare the Price/Earnings ratio to 27.16, which is the current average of the S&P500 Index.
  • Based on the Price/Forward Earnings ratio of 18.74, the valuation of PEP can be described as rather expensive.
  • Based on the Price/Forward Earnings ratio, PEP is valued a bit more expensive than 60.00% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of PEP to the average of the S&P500 Index (28.10), we can say PEP is valued slightly cheaper.
Industry RankSector Rank
PE 19.87
Fwd PE 18.74
PEP.DE Price Earnings VS Forward Price EarningsPEP.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • 76.67% of the companies in the same industry are cheaper than PEP, based on the Enterprise Value to EBITDA ratio.
  • 73.33% of the companies in the same industry are cheaper than PEP, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 28.82
EV/EBITDA 14.58
PEP.DE Per share dataPEP.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PEP does not grow enough to justify the current Price/Earnings ratio.
  • The decent profitability rating of PEP may justify a higher PE ratio.
PEG (NY)3.34
PEG (5Y)2.45
EPS Next 2Y5.87%
EPS Next 3Y5.24%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. Dividend

5.1 Amount

  • PEP has a Yearly Dividend Yield of 3.40%.
  • PEP's Dividend Yield is rather good when compared to the industry average which is at 2.42. PEP pays more dividend than 83.33% of the companies in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, PEP pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.4%

5.2 History

  • The dividend of PEP is nicely growing with an annual growth rate of 7.00%!
Dividend Growth(5Y)7%
Div Incr Years6
Div Non Decr Years6
PEP.DE Yearly Dividends per sharePEP.DE Yearly Dividends per shareYearly Dividends per share 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3 4 5

5.3 Sustainability

  • 92.69% of the earnings are spent on dividend by PEP. This is not a sustainable payout ratio.
  • PEP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP92.69%
EPS Next 2Y5.87%
EPS Next 3Y5.24%
PEP.DE Yearly Income VS Free CF VS DividendPEP.DE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B
PEP.DE Dividend Payout.PEP.DE Dividend Payout, showing the Payout Ratio.PEP.DE Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

PEPSICO INC

FRA:PEP (2/17/2026, 7:00:00 PM)

136.48

-4.46 (-3.16%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)02-03
Earnings (Next)04-22
Inst Owners79.43%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap186.52B
Revenue(TTM)93.92B
Net Income(TTM)8.24B
Analysts70.34
Price Target138.11 (1.19%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 3.4%
Yearly Dividend4.7
Dividend Growth(5Y)7%
DP92.69%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.22%
Min EPS beat(2)0.01%
Max EPS beat(2)0.43%
EPS beat(4)3
Avg EPS beat(4)0.61%
Min EPS beat(4)-1.39%
Max EPS beat(4)3.41%
EPS beat(8)5
Avg EPS beat(8)1.49%
EPS beat(12)9
Avg EPS beat(12)2.51%
EPS beat(16)13
Avg EPS beat(16)2.86%
Revenue beat(2)1
Avg Revenue beat(2)-0.13%
Min Revenue beat(2)-0.53%
Max Revenue beat(2)0.28%
Revenue beat(4)2
Avg Revenue beat(4)0.15%
Min Revenue beat(4)-0.53%
Max Revenue beat(4)1%
Revenue beat(8)2
Avg Revenue beat(8)-0.61%
Revenue beat(12)4
Avg Revenue beat(12)-0.35%
Revenue beat(16)8
Avg Revenue beat(16)0.58%
PT rev (1m)-1.01%
PT rev (3m)-0.62%
EPS NQ rev (1m)-2.43%
EPS NQ rev (3m)-2.9%
EPS NY rev (1m)0.05%
EPS NY rev (3m)-0.22%
Revenue NQ rev (1m)0.9%
Revenue NQ rev (3m)1.5%
Revenue NY rev (1m)0.18%
Revenue NY rev (3m)0.51%
Valuation
Industry RankSector Rank
PE 19.87
Fwd PE 18.74
P/S 2.35
P/FCF 28.82
P/OCF 18.29
P/B 10.84
P/tB N/A
EV/EBITDA 14.58
EPS(TTM)6.87
EY5.03%
EPS(NY)7.28
Fwd EY5.34%
FCF(TTM)4.74
FCFY3.47%
OCF(TTM)7.46
OCFY5.47%
SpS57.97
BVpS12.6
TBVpS-8.38
PEG (NY)3.34
PEG (5Y)2.45
Graham Number44.12
Profitability
Industry RankSector Rank
ROA 7.67%
ROE 40.38%
ROCE 19.98%
ROIC 16.14%
ROICexc 18.5%
ROICexgc 38.69%
OM 15.87%
PM (TTM) 8.77%
GM 54.46%
FCFM 8.17%
ROA(3y)8.78%
ROA(5y)8.85%
ROE(3y)47.5%
ROE(5y)48.39%
ROIC(3y)15.94%
ROIC(5y)15.39%
ROICexc(3y)18.34%
ROICexc(5y)17.38%
ROICexgc(3y)38.14%
ROICexgc(5y)38.28%
ROCE(3y)20.53%
ROCE(5y)19.57%
ROICexgc growth 3Y-2.23%
ROICexgc growth 5Y-1.52%
ROICexc growth 3Y1.99%
ROICexc growth 5Y4.59%
OM growth 3Y3.16%
OM growth 5Y1.06%
PM growth 3Y-5.25%
PM growth 5Y-2.81%
GM growth 3Y0.62%
GM growth 5Y-0.16%
F-Score5
Asset Turnover0.87
Health
Industry RankSector Rank
Debt/Equity 2.07
Debt/FCF 6.41
Debt/EBITDA 2.31
Cap/Depr 127.93%
Cap/Sales 4.7%
Interest Coverage 8.53
Cash Conversion 65.83%
Profit Quality 93.11%
Current Ratio 0.85
Quick Ratio 0.67
Altman-Z 3.8
F-Score5
WACC7.55%
ROIC/WACC2.14
Cap/Depr(3y)161.13%
Cap/Depr(5y)168.5%
Cap/Sales(3y)5.51%
Cap/Sales(5y)5.67%
Profit Quality(3y)85.16%
Profit Quality(5y)82.03%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.12%
EPS 3Y6.27%
EPS 5Y8.1%
EPS Q2Q%15.31%
EPS Next Y5.95%
EPS Next 2Y5.87%
EPS Next 3Y5.24%
EPS Next 5Y5.08%
Revenue 1Y (TTM)2.25%
Revenue growth 3Y2.83%
Revenue growth 5Y5.94%
Sales Q2Q%5.61%
Revenue Next Year3.92%
Revenue Next 2Y3.58%
Revenue Next 3Y3.7%
Revenue Next 5Y3.77%
EBIT growth 1Y1.26%
EBIT growth 3Y6.08%
EBIT growth 5Y7.07%
EBIT Next Year32.46%
EBIT Next 3Y13.38%
EBIT Next 5Y9.48%
FCF growth 1Y6.72%
FCF growth 3Y11.04%
FCF growth 5Y3.78%
OCF growth 1Y-3.36%
OCF growth 3Y3.79%
OCF growth 5Y2.64%

PEPSICO INC / PEP.DE FAQ

Can you provide the ChartMill fundamental rating for PEPSICO INC?

ChartMill assigns a fundamental rating of 4 / 10 to PEP.DE.


Can you provide the valuation status for PEPSICO INC?

ChartMill assigns a valuation rating of 2 / 10 to PEPSICO INC (PEP.DE). This can be considered as Overvalued.


Can you provide the profitability details for PEPSICO INC?

PEPSICO INC (PEP.DE) has a profitability rating of 7 / 10.


What are the PE and PB ratios of PEPSICO INC (PEP.DE) stock?

The Price/Earnings (PE) ratio for PEPSICO INC (PEP.DE) is 19.87 and the Price/Book (PB) ratio is 10.84.


How sustainable is the dividend of PEPSICO INC (PEP.DE) stock?

The dividend rating of PEPSICO INC (PEP.DE) is 5 / 10 and the dividend payout ratio is 92.69%.