Pepsico, Inc. (PEP) Insider Activities Are in the Air

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Pepsico, Inc. (PEP) up 0.96 per cent in the past week, is under coverage of 26 analysts who collectively recommend a hold rating on stock. 15 of the analysts have a buy or better rating; the 11 sells versus 0 holds. The 21 equity analysts who rate the stock have an average target price at $111.24, with individual targets ranging between $100 and $120. The shares closed last trade at $102.96, implying that analysts see shares rising about 8.04 per cent in 12 months’ time.

Insider Activity: Insiders look pessimistic about the prospects of the company that they seem to offload shares while they are 3.78 up so far this year. A EVP, HR & Chief HR Officer at Pepsico, Inc. (PEP) sold shares in the company in a transaction completed on Wednesday April 20, 2016. Trudell Cynthia offloaded 8,000 shares in the company at an average price of $104.23 and ended up generating $833,840 in proceeds. Trudell Cynthia retains 39,592 shares in the company after this transaction. A Vice Chair, EVP PepsiCo & CFO in the company, Johnston Hugh F, on Thursday February 18, 2016 collected $11,759,108 from the sale of 118,125 shares at $104.23 each. Insiders are expected to know better about the health and prospects of their company, which is why insiders’ move deserves attention.

Earnings to Watch: Investors considering PEP stock at the going market price of $102.96/share should know the stock will next release quarterly results for the June 2016 quarter. For the reporting quarter, analysts expect the company to deliver $1.29 in earnings per share (EPS). That would represent a -2.27% year-over-year decrease Revenue for the same period is expected to arrive at $15.38B.

Earnings Roundup: In the last fiscal quarter alone, Pepsico, Inc. generated around $11.86B in revenue and net income of $0.89/share. That compares with the consensus estimate $11.88B and $0.81/share, respectively. For the three months through December 2015, revenue for the company hit $18.59B, with earnings at $1.06/share.

Analyst Coverage: Stifel has been a brokerage house following shares of Pepsico, Inc. (PEP), so its rating change is noteworthy. The stock was downgraded to Hold from Buy, wrote analysts at Stifel, in a note issued to clients on Thursday April 14, 2016. There was another key note issued by Sterne Agee CRT on Friday February 26, 2016. The firm lowered its rating on PEP from Buy to Neutral.

Price Momentum: Despite the -0.01% decrease in value, the stock’s new closing price represents a -2.66% fall in value from company’s one year high of $105.77. The stock is currently holding above its 50 day moving average of $102.5 and above its 200 day moving average of $100.04. Over the last three months and over the last six months, the shares of Pepsico, Inc. (PEP), have changed 4.43% and 1.64, respectively.