PepsiCo, Inc. · PEP · FY2025 Q3 · Calendar Q4 2025

PepsiCo pairs beverage growth with innovation and cost priorities

The supplied analysis provides partial support for a constructive longer-term operating case: beverage growth, international recovery, brand innovation and productivity initiatives are potential supports. The evidence is not one-sided, because food volumes were flat and execution, cost, pricing and macro risks remain material.

Reported Before market openNASDAQConsumer Defensive $171.97B market cap
100quality score

Earnings scorecard

Reported versus consensus
Reported EPS $2.29 Consensus $2.26
EPS surprise +1.3% Reported versus consensus
Reported revenue $23.94B Consensus $23.84B
Revenue surprise +0.4% Reported versus consensus

Market reaction

prior-close to event-session close
Stock move +4.2% Event window
SPY move -0.3% Same window
Abnormal move +4.5% Stock minus SPY
Volume 1.9× Versus trailing sessions
Subsequent drift -2.2% Up to 20 sessions
PEPSPY benchmark

Ask FN2 about PEP FY2025 Q3

Transcript, numbers and history already loaded
Why did PEP rise 4.2% after beating EPS estimates in FY2025 Q3?What changed in PEP's guidance and outlook in FY2025 Q3?Give me the bull and bear case for PEP after FY2025 Q3 earnings.

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Transcript intelligence

What changed

Relative to the prior-quarter analysis, the emphasis shifted from planned productivity acceleration and upcoming launches toward evidence of beverage-volume growth, flat food volumes, continued innovation and a broader set of integration and cost initiatives. Guidance sentiment remained maintained.

Guidance delta

Maintained; the supplied analysis does not identify a new change to guidance.

Key takeaways

  • The quarter's operating picture was mixed: beverage volumes grew while food volumes were flat.
  • Management is emphasizing core-brand relaunches and expansion into protein, fiber and functional-hydration products.
  • Productivity, warehouse rationalization and a combined North America distribution pilot are intended to support future margin improvement.
  • International growth was described as recovering after weather-related pressure, while tariffs and consumer sensitivity remain risks.

Management priorities

  • Improve service and execution in the food business.
  • Scale protein, fiber and functional-hydration platforms alongside core-brand relaunches.
  • Advance productivity, warehouse and go-to-market initiatives.
  • Expand the combined North America distribution pilot based on Texas results.
  • Use AI-enabled supply-chain and operational technology to improve agility.

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Earnings History

Estimate Beat Miss Match
PEP EPS earnings history estimate and actual scatter chart 9 reported fiscal quarters and 4 future estimate-only quarters. Q4 '23 estimate $1.72 Q4 '23 actual $1.78, beat Q1 '24 estimate $1.52 Q1 '24 actual $1.61, beat Q2 '24 estimate $2.16 Q2 '24 actual $2.28, beat Q3 '24 estimate $2.29 Q3 '24 actual $2.31, beat Q2 '25 estimate $2.03 Q2 '25 actual $2.12, beat Q3 '25 estimate $2.26 Q3 '25 actual $2.29, beat Q4 '25 estimate $2.24 Q4 '25 actual $2.26, beat Q1 '26 estimate $1.54 Q1 '26 actual $1.61, beat Q2 '26 estimate $2.19 Q2 '26 actual $2.20, match Q3 '26 estimate $2.30 Q4 '26 estimate $2.43 Q1 '27 estimate $1.66 Q2 '27 estimate $2.30
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Analyst Consensus ?

ConsensusHold46 ratings
Bullish1430.4%
Neutral3167.4%
Bearish12.2%

Analyst 52W Price Targets

$125.89Current
$133Low
$164.05Average
$212High

Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Oct 3, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
Barclays Equal Weight Equal WeightMaintainOct 1, 2026
Evercore ISI Group In Line In LineMaintainSep 30, 2026
JP Morgan Neutral OverweightDowngradeSep 29, 2026
TD Cowen Hold HoldMaintainSep 28, 2026
Deutsche Bank Hold BuyDowngradeSep 28, 2026
Show 41 more rating actions

Named analyst price targets

Upside is calculated against the persisted current price $125.89. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
UBSPeter Grom$145$125.45 +15.2%Oct 2, 2026
BarclaysAnalyst unavailable$133$126.72 +5.6%Oct 1, 2026
Evercore ISIAnalyst unavailable$135$129.1 +7.2%Sep 30, 2026
JefferiesAnalyst unavailable$138$128.5 +9.6%Sep 29, 2026
Cowen & Co.Analyst unavailable$133$127.5 +5.6%Sep 28, 2026
See 87 more

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Company context

Snapshot as of publication

PepsiCo, Inc. is a global enterprise that creates, promotes, and supplies a diverse array of drinks and easy-to-prepare food items across the globe. Its operations are structured into seven primary divisions: Frito-Lay North America, Quaker Foods North America, PepsiCo Beverages North America, Latin America, Europe, Africa/Middle East/South Asia, and the Asia Pacific, Australia, New Zealand, and China Region. The company's extensive product catalog encompasses popular snack foods like various dips, cheese snacks, spreads, and a range of chips (including corn, potato, and tortilla varieties). Its pantry staples feature cereals, rice, pasta, baking mixes, beverage syrups, granola bars, grits, oatmeal, rice cakes, and ready-made side dishes.…

Historical context

All PEP earnings
-3.3%FY2026 Q2 · Calendar Q3 2026+2.3%FY2026 Q1 · Calendar Q2 2026+4.9%FY2025 Q4 · Calendar Q1 2026

Consumer Defensive peers this season

Latest reports in the same sector
CompanyQuarterEPS surpriseMarket moveHeadline
MKC McCormick & Company, Incorporated FY2026 Q3 · Calendar Q4 2026 +13.9% -4.9% McCormick reports strong Q3 growth while U.S. volumes remain soft
CAG Conagra Brands, Inc. FY2027 Q1 · Calendar Q3 2026 +44.4% -4.9% Conagra maintains outlook while increasing brand investment and simplifying SKUs
COST Costco Wholesale Corporation FY2026 Q4 · Calendar Q3 2026 +3.2% +2.9% Costco’s growth broadens as warehouses and digital sales accelerate
GIS General Mills, Inc. FY2027 Q1 · Calendar Q3 2026 +4.6% +1.0% General Mills leans on mix, innovation and e-commerce amid pressure
KR The Kroger Co. FY2026 Q2 · Calendar Q3 2026 +2.8% +2.7% Kroger: Strong digital growth offsets softer sales outlook
CPB Campbell Soup Company FY2026 Q4 · Calendar Q3 2026 +1.1% -7.0% Campbell’s leans on savings and innovation amid pressured demand

Latest beats and misses

Who reports next

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Missed on EPS

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Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2026-07-26T00:36:15.940040+00:00
  3. Polygon adjusted daily market bars · 2026-10-03T12:56:06.870811+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-03T12:56:06.867612+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-10-03. For educational purposes only; not investment advice.