PepsiCo stock: buy or sell

PEP stock price: $141.39 -0.26% At close on Jan 15th, 2021

Updated on:
Jan 16th, 2021

2

PepsiCo stock brief

  • PepsiCo closed on Friday at $141.39 after slightly moving a -0.26%.
  • The stock is configuring an uptrend pattern since September 2020, when it bottomed at $128.44. Up to date, shares made a 10.08% profit since the beginning of this rally
  • PepsiCo, Inc. operates as a food and beverage company worldwide. The company operates through seven segments: FLNA, QFNA, PBNA, LatAm, Europe, AMESA, and APAC.

Should I buy PepsiCo stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is $PEP stock a buy?

In the current situation of PepsiCo there is just one buy setup eligible:

ATH buy setup

All-time Highs is always an excellent buy point for those who like to buy high and sell higher. The good point of buying at all-time highs is that price doesn't have upper resistances, and usually it scales quickly. However, there's the risk of a bulls trap that may trigger your buy order and then falls sharply. That's why a stop loss is always important. Price is now at 5.22% of all-time highs and it can breakout at any time, so if you want to trade this setup it's recommended to setup your order at $148.77. Arm your stop-loss at $133.89

Buy setupBuy pointStop lossRisk
ATH buy setup$148.77$133.8910.00%

Should I sell PepsiCo stock?

Knowing when to sell a stock is even more difficult than knowing when to buy it. Trading strategies help us to avoid impulsive decisions based on our emotions or the buzz that surrounds the market. Our trading system selects very simple strategies to guide us on when is a good time to sell a stock. Be aware that these strategies should not be used for selling short PepsiCo stock

A guiding principle is that you should never mantain a trade that shows a losses greater than those expected upon the buy. When to sell your stock should always be ruled by the stop-loss (automatic or manual)

Is it time to sell PepsiCo stock?

Currently, PepsiCo stock doesn't match any of our preferred sell setups, so if you own PepsiCo stock and your operation is in profit probably is not time to sell now

Price lost SMA50 level

Last Monday, the price dropped below the 50-d moving average showing that the prior rising trend is likely to have reached its end. This is a good time to check your current setup for this position and determine if it's time to sell

PepsiCo ratings

In the last month, just one analyst rating was published for PepsiCo

PepsiCo analysts' ratings - Last 30 days
Brokerage firmRating
Jan 4th, 2021
Royal Bank of Canada

PepsiCo stock analysis

Since in September 2020, PepsiCo has been drawing an uptrend that so far marked an amazing 10.08%. The price action shows higher peaks and troughs, and along the way gave very few buy points for those who wanted to invest. Latest low was last October, when price bounced at $130.78. Now, it swings in a consolidation between its last top ($148.77) and its last bottom ($130.78)

SMAs overview

PEP stock SMAs chart

Supports and resistances

The current resistance levels are:

  • R1: $143.02 (1.15% above)
  • R2: $143.03 (1.16% above)
  • R3: $143.09 (1.20% above)
  • The current supports are:

  • S1: $137.03 (-3.08% below)
  • S2: $135.61 (-4.09% below)
  • S3: $135.52 (-4.15% below)
  • Bollinger bands

    Since the price broke down the lower band last Tuesday, the price has bounced off by 1.39%. The price is moving very close to the lower Bollinger band, indicating some level of oversold in recent sessions. This is not a buy signal, as price can move in these levels for many days and weeks

    PEP stock Bollinger Bands chart

    Relative strength index

    When the moves for so long below 70 and above 30, without showing moments of overvaluation and undervaluation, the indicator is of little use, and we find ourselves in one of these cases.

    PEP stock RSI chart

    PepsiCo stock price history

    PepsiCo started trading priced at an adjusted price1 of $0.00 on Jun 1972. Since then, PEP stock has risen by -, with an average of 0.00% per year. If you had invested thousand dollars in PepsiCo stock on Jun 1972, it would worth $inf today.

    1: Adjusted price after possible price splits or reverse-splits

    PEP stock price history chart

    Price target for PepsiCo stock

    How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations publish their analysis predicting how a stock will performance in the future.

    Along with buy or sell recommendations, financial institutions post their price forecasts based on the stock price action and the company fundamental data. Most of these forecasts follow the publication of new fundamental information by the company, and many times. Again, these estimates are not direct recommendations for individual investors and should not be followed blindly.

    There is just one price target available for PepsiCo that predicts a price of $153.00.

    PepsiCo stock price predictions
    Brokerage firmPrice target
    Jan 4th, 2021
    Royal Bank of Canada $153.00

    Earnings and financials

    PepsiCo, Inc. ($PEP) posted quarterly earnings of $1.66 per share last October, upping the Market consensus estimate of $1.49 per share. This Q3 report represents an earnings surprise of 11.41%.

    This compares to Earnings of $1.56 per share same quarter last year, so current EPS means a gain of 6.41%. Looking at revenue, figures went down a -12.35% compared to $206.4B same quarter last year.

    PepsiCo ($PEP) posts Q4 financial report mid next February. Expected for this quarter is $1.46, compared to $1.66 that was reported for Q3.

    PepsiCo competitors

    PepsiCo belongs to the Consumer Staples sector and the Beverages - Non-Alcoholic industry, which contain industry peers.

    PepsiCo biggest competitors are:

    PepsiCo competitors
    CompanyMarket capRatingBullish ratings1
    PepsiCo ($PEP) $197.5B Neutral 0
    Coca-Cola ($KO) $224.2B Neutral 1
    Unilever ($UL) $153.3B Neutral 0
    Mondelez ($MDLZ) $83.0B Strong buy 1
    Monster ($MNST) $48.8B Buy 3
    The Kraft Heinz ($KHC) $41.1B Neutral 0
    Kellogg ($K) $21.4B Neutral 0

    1 In the last 30 days.

    PepsiCo performance

    To better understand PepsiCo stock performance you must compare its gains with other related stocks in same sector or industry.. For PepsiCo, the benchmark is made against Coca-Cola, Unilever, Mondelez, Monster, The Kraft Heinz and Kellogg.

    PEP performance compared
    Company1m3m6m
    PepsiCo ($PEP) -1.80% 0.50% 6.50%
    Coca-Cola ($KO) -8.50% 0.40% 7.60%
    Unilever ($UL) 2.50% -3.20% 9.40%
    Mondelez ($MDLZ) 0.50% -0.30% 8.40%
    Monster ($MNST) 2.70% 11.60% 24.60%
    The Kraft Heinz ($KHC) -6.80% 2.10% -5.10%
    Kellogg ($K) -4.80% -10.60% -12.20%

    Disclaimer:
    The thoughts expressed in this article are personal and should not be followed as recommendations for you to buy or sell shares. The author of this report does not have an understanding of the particular situations of the reader, his or her finances or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are posted for learning purposes only

    PepsiCo summary

    Friday, January 15th, 2021
    Open$141.45
    Close$141.39
    Day range$140.53 - $142.6
    Previous close$141.76
    Session gain-0.26%
    Average true range$3.15
    50d mov avg$143.61
    100d mov avg$139.91
    200d mov avg$135.51
    Earnings dateFebruary 11th, 2021

    Frequently asked questions

    What is PepsiCo stock symbol?

    PepsiCo, Inc. is a public company trading in the US stock market with the PEP symbol

    Is PepsiCo stock a buy or sell?

    PepsiCo had one rating in the last 4 weeks Read the article to get additional tips on trading PEP stock.

    Will PEP go up?

    PepsiCo had different price forecasts issued by market analysts in the last month setting the target price to $153.00. That is a 8.21% than the current price ($141.39).