PepsiCo, Inc. (PEP) stock analysis
Company overview and business model
Source fact: PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through six segments: PepsiCo Foods North America; PepsiCo Beverages North America; International Beverages Franchise; Europe, Middle East and Africa; Latin America Foods; and Asia Pacific Foods. It offers cereals, chips, dips, granola bars, oatmeal, pasta, rice, and syrups and mixes; refrigerated dips and spreads; beverage concentrates, fountain syrups, and finished goods; and ready-to-drink tea and coffee products. The company also provides SodaStream sparkling water makers and related products, as well as various dairy products under the Agusha, Chudo, and Domik v Derevne brands. It serves wholesale and other distributors, foodservice customers, grocery stores, drug stores, convenience stores, discount/dollar stores, mass merchandisers, membership stores, hard discounters, e-commerce retailers and authorized independent bottlers, and others through a network of direct-store-delivery, customer warehouse, and distributor networks, as well as directly to consumers through e-commerce platforms and retailers. PepsiCo, Inc. was founded in 1898 and is based in Purchase, New York.
Classification: NASDAQ · Consumer Defensive · Beverages - Non-Alcoholic
Revenue and growth
Source fact: Revenue was USD 93.92 billion for the period ending 2025-12-31.
Caverian calculation: Revenue changed +2.3% (FY2025 vs FY2024).
Profitability
Source fact: Net income was USD 8.24 billion in the latest reported period.
Source metric: Reported net margin was 8.8%.
Balance sheet and liquidity
Source fact: Cash and equivalents were USD 9.16 billion.
Source fact: Total debt was USD 49.90 billion.
Source metric: Current ratio was 0.85x.
Cash-flow analysis
Source fact: Operating cash flow was USD 12.09 billion.
Source fact: Free cash flow was USD 7.67 billion.
Valuation
Source metrics: Trailing P/E 18.45x; Forward P/E 15.68x; Price to book 8.70x; Price to sales 1.98x; EV/EBITDA 12.44x.
Caverian model output: Value score was 52/100.
Competitive position
Classification: Peer context: Beverages - Non-Alcoholic within Consumer Defensive.
Caverian model output: Quality score was 66/100.
Caverian model output: Growth score was 44/100.
Material risks
Caverian model interpretation: Watch out: short-term cash may not cover short-term bills.
Caverian calculation: Altman Z-score was 3.45 (safe zone).
Caverian calculation: Piotroski F-score was 4/9.
Data sources and freshness
Freshness: This report uses a stored upstream snapshot; statement periods are shown alongside the figures.
Methodology and limitations
Facts reproduce stored upstream fields. Calculations derive only from the displayed stored statements. Model outputs are Caverian interpretations, not investment advice or a buy/sell recommendation.
How Caverian approaches valuation · Sources and product principles