What PepsiCo's Earnings Mean for Mutual Fund Investors (PEP)

Welcome to MutualFunds.com

Please help us personalize your experience and select the one that best describes you.

Your personalized experience is almost ready.

Join other Individual Investors receiving FREE personalized market updates and research. Join other Institutional Investors receiving FREE personalized market updates and research. Join other Financial Advisors receiving FREE personalized market updates and research.
Not interested

Thank you!

Check your email and confirm your subscription to complete your personalized experience.

Thank you for your submission

We hope you enjoy your experience

Channels

Fixed Income Channel

Fixed income news, reports, video and more.

Municipal Bonds Channel

Municipal bonds news, reports, video and more.

Practice Management Channel

Practice management news, reports, video and more.

Portfolio Management Channel

Portfolio management news, reports, video and more.

Retirement Channel

Retirement news, reports, video and more.

Strategists Channel

Learn from industry thought leaders and expert market participants.

Calvert’s Advisor Resource Center

Deepen your understanding of Responsible Investing and learn how it can potentially help you build a more successful practice.

Screener
Funds
Categories

18 Most Popular Mutual Fund Categories

Canada Equity Funds Global Equity Funds Micro-Cap Equity Funds Precious Metals Equity Funds Water Equity Funds
Consumer Staples Funds US Funds China Funds Israel Funds Retirement Income Funds
Bear Market Strategy Funds Market Neutral Funds Alternative Funds Commodity Funds
Currency Funds Mortgage-Backed Securities Funds High Yield Municipal Bond Funds Money Market Funds

View All Categories

Fund Companies

15 Most Popular Fund Companies

Vanguard Fidelity Investments American Funds T. Rowe Price
JPMorgan BlackRock Dimensional Fund Advisors Franklin Templeton
PIMCO Goldman Sachs Federated MFS
Charles Schwab John Hancock Invesco

View All Fund Companies

15 Most Popular Fund Company Quick Screens

Vanguard Index Funds Vanguard Retirement Funds Vanguard Money Market Funds Fidelity Index Funds
Fidelity Money Market Funds Fidelity Blue Chip Growth Equity Funds American Balanced Funds T. Rowe Price Blue Chip Growth Equity Funds
Blackrock Global Allocation Funds Franklin Income Funds PIMCO Income Funds Charles Schwab Index Funds
Charles Schwab Money Market Funds Invesco Real Estate Funds Matthews Asia International Funds

View All Fund Company Quick Screens

Articles

Articles

Mutual Fund Education Index Fund Center Domestic Stock Funds International and Global Stock Funds Target-Date Funds
Fixed-Income Funds Asset Allocation Specialized Funds Enhanced Index Funds Actively Managed Funds
No-Load Funds Bond Funds Equity Funds Hybrid Funds Resources For Mutual Fund Investors
Q&As and Interviews Lighter Side: Quizzes and More Taxation Expert Analysis and Commentary News
Advisors

Advisor Access

Receive email updates about fund flows, news, upcoming CE accredited webcasts from industry thought leaders and more.

Practice Management

Content focused on helping financial advisors build successful client relationships and grow their business.

Portfolio Management

Content geared towards helping financial advisors build better client portfolios.

Expert Opinion

Get insights on the industry trends and investment news from leading fund managers and experts.

Advisor Access
You have successfully subscribed to Advisor Access. Thank you!
Help us personalize your experience.
Which type of investor describes you best?
Help us personalize your experience.
What is your AUM?
Knowing your investable assets will help us build and prioritize features that will suit your investment needs.

Congratulations on personalizing your experience.

Email is verified. Thank you!

What PepsiCo's Earnings Mean for Mutual Fund Investors (PEP)

Shauna O'Brien

|

PepsiCo company logo
Before the opening bell on Wednesday, PepsiCo (PEP) released its fourth quarter financial results. Here’s what the results mean for mutual fund investors.

Inside PEP’s Results

Earnings

The company reported earnings of $1.31 billion, or 87 cents per share, down from $1.74 billion, or $1.12 per share, a year ago. Adjusted earnings were $1.12 per share – above analysts’ estimate of $1.08 per share.

Revenue
Revenue dropped to $19.948 billion from $20.12 billion. Analysts expected to see revenue of $19.66 billion.

Outlook
PepsiCo expects to see earnings growth of 7% for FY2015. Analysts expect to see EPS of $4.75.

Snack Business Boosting Profits

While PepsiCo was negatively impacted by the strengthening dollar and restructuring charges, these expenses were offset by stronger sales of Frito-Lay snacks. From a valuation standpoint, PEP is trading at 21x 2015 earnings estimates, which is a bit pricey for investors, considering its flat revenue growth. Despite its sluggish sales, PEP may be an attractive stock for income-focused investors with its 2.87% dividend yield. With its earnings announcement today, the company announced that it will boost its dividend payout by 7.3%.

Mutual Funds to Watch

Investors interested in PEP may also consider a mutual fund as an alternative to owning the individual stock. The funds below currently hold the largest stakes in PEP.
Symbol Mutual Fund Stake
Liquid error: internal Vanguard Total Stock Market Index 1.69%
Liquid error: internal Vanguard 500 Index 1.08%
YACKX AMG Yacktman Service 0.81%

The Bottom Line

The funds listed above allow investors to gain exposure to PEP while remaining diversified. Investors interested in PEP may also be interested in Coca-Cola (KO) or Dr Pepper Snapple (DPS).

Sign up for Advisor Access

Receive email updates about best performers, news, CE accredited webcasts and more.

Popular Articles

Download our free report

Find out why $30 trillon is invested in mutual funds.

Why 30 trillion is invested in mutual funds book

Why 30 trillion is invested in mutual funds book

Download our free report

Find out why $30 trillon is invested in mutual funds.

Why 30 trillion is invested in mutual funds book

Download our free report

Find out why $30 trillon is invested in mutual funds.

Read Next

PepsiCo company logo

What PepsiCo's Earnings Mean for Mutual Fund Investors (PEP)

Shauna O'Brien

|

Before the opening bell on Wednesday, PepsiCo (PEP) released its fourth quarter financial results. Here’s what the results mean for mutual fund investors.

Inside PEP’s Results

Earnings

The company reported earnings of $1.31 billion, or 87 cents per share, down from $1.74 billion, or $1.12 per share, a year ago. Adjusted earnings were $1.12 per share – above analysts’ estimate of $1.08 per share.

Revenue
Revenue dropped to $19.948 billion from $20.12 billion. Analysts expected to see revenue of $19.66 billion.

Outlook
PepsiCo expects to see earnings growth of 7% for FY2015. Analysts expect to see EPS of $4.75.

Snack Business Boosting Profits

While PepsiCo was negatively impacted by the strengthening dollar and restructuring charges, these expenses were offset by stronger sales of Frito-Lay snacks. From a valuation standpoint, PEP is trading at 21x 2015 earnings estimates, which is a bit pricey for investors, considering its flat revenue growth. Despite its sluggish sales, PEP may be an attractive stock for income-focused investors with its 2.87% dividend yield. With its earnings announcement today, the company announced that it will boost its dividend payout by 7.3%.

Mutual Funds to Watch

Investors interested in PEP may also consider a mutual fund as an alternative to owning the individual stock. The funds below currently hold the largest stakes in PEP.
Symbol Mutual Fund Stake
Liquid error: internal Vanguard Total Stock Market Index 1.69%
Liquid error: internal Vanguard 500 Index 1.08%
YACKX AMG Yacktman Service 0.81%

The Bottom Line

The funds listed above allow investors to gain exposure to PEP while remaining diversified. Investors interested in PEP may also be interested in Coca-Cola (KO) or Dr Pepper Snapple (DPS).

Sign up for Advisor Access

Receive email updates about best performers, news, CE accredited webcasts and more.

Popular Articles

Download our free report

Find out why $30 trillon is invested in mutual funds.

Why 30 trillion is invested in mutual funds book

Why 30 trillion is invested in mutual funds book

Download our free report

Find out why $30 trillon is invested in mutual funds.

Why 30 trillion is invested in mutual funds book

Download our free report

Find out why $30 trillon is invested in mutual funds.

Read Next

Advertisement

×

Wait! Do you know all the important aspects of mutual funds?

×

Free Advisor Access newsletter emailed to you.

Receive free and exclusive email updates for financial advisors about best performers, news, CE accredited webcasts and more.

Sign up for Advisor Access

Receive email updates about best performers, news, CE accredited webcasts and more.

Disclaimer: By registering, you agree to share your data with MutualFunds.com and opt-in to receiving occasional communications about projects and events. The contents of this form are subject to the MutualFunds.com Privacy Policy. You can unsubscribe at any time.

X