TD Cowen analyst Robert Moskow has maintained their neutral stance on PEP stock, giving a Hold rating yesterday.
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Robert Moskow gave his rating based on several factors, including PepsiCo’s recent financial performance and future projections. The company delivered a modest increase in organic sales and a slight earnings per share beat; however, its 2025 guidance fell short of expectations, with projections for only low single-digit growth in organic sales and mid-single-digit growth in FX-neutral core EPS.
Additionally, while the Frito-Lay North America (FLNA) segment continues to face challenges with declining volumes, the management plans to implement targeted investments rather than broad promotions to address these issues. These strategic moves aim to improve the consumer value equation but are met with caution due to external factors such as the impact of GLP-1 prescriptions on the salty snacks category. Overall, these mixed signals and cautious optimism about recovery lead to the Hold rating on the stock.
In another report released yesterday, Morgan Stanley also maintained a Hold rating on the stock with a $168.00 price target.