PEP 全部观点

PepsiCo is another undervalued stock that is not linked to artificial intelligence. The fair value I calculated for PepsiCo is $177, and given the current market price of $140, I calculated a 27% upside for Pepsi over the next 12 to 18 months.

PepsiCo's management team reiterated its long-term guidance for its ability to generate 4% revenue growth. However, near-term headwinds are impacting the company. Consumers are driving less frequently and visiting gas stations less often, and that's hurting PepsiCo sales at the convenience store and gas station channel.

Furthermore, consumers have less disposable income, and so they're using that decreasing spending power to buy necessities, and so disposable or optional purchases like PepsiCo snacks and beverages are being deprioritized.

Pepsi stock continues to be one of the most debated stocks among investors right now, and really it's been that way over the last couple of years. Ultimately, if we jump over to the dividend breakdown sheet and look at Pepsi, what you can see is the stock is yielding over 4%, which real quick for reference, if we look here on Seeking Alpha and look at the historical dividend yield, this is the highest dividend yield the company has seen in the last decade.

A much higher than normal starting dividend yield, a history of dividend growth over 50 consecutive years of dividend increases, with the 10 and 5-year dividend growth rates sitting roughly between 6% and 7%. So, you can see why this immediately catches people's eye from a dividend perspective, and then when you look at the valuation, it's trading at its lowest valuation multiple in the last 5 years.

Now, we have Pepsi stock, a stock I've been very critical of over the last couple of years. I've warned investors of the potential issues that are looming with this stock, the issues that are currently going on, and as a result, we can see those issues have come to fruition, and the stock is at a 52-week low. In fact, the 5-year returns now for Pepsi are minus 11%, which is mind-blowing to think about for a stock that is this much of a staple in our economy. But, that's the reality that we're looking at right now.