11 Best Wide Moat Stocks to Buy Right Now

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9. PepsiCo, Inc. (NASDAQ:PEP)

Number of Hedge Fund Holders: 68

PepsiCo, Inc. (NASDAQ:PEP) is one of the Best Wide Moat Stocks to Buy Right Now. The company’s wide economic moat is backed by its robust brand portfolio and significant scale benefits. On October 1, TD Cowen analyst Robert Moskow maintained a “Hold” rating on the company’s stock, setting a price objective of $155.00. The analyst’s rating is backed by a combination of factors, which include PepsiCo, Inc. (NASDAQ:PEP)’s current strategic position and market conditions. The analyst opines that, despite the presence of activist investor Elliott, there are expectations that the company will demonstrate a greater sense of urgency when it comes to enhancing shareholder value, mainly via cost management.

While some investors doubt the impact of Elliott’s suggestions, the analyst believes that there is potential for PepsiCo, Inc. (NASDAQ:PEP) to improve operational efficiency by addressing weaker demand in some segments and optimizing manufacturing capacity. As a result, this can lead to margin expansion and offer a positive short-term catalyst for the company’s stock.

RiverPark Advisors, an investment advisory firm and sponsor of the RiverPark family of mutual funds, released its Q2 2025 investor letter. Here is what the fund said:

“PepsiCo, Inc. (NASDAQ:PEP): PEP was a modest detractor in Q2, as soft beverage volume and margin pressure led to a weaker-than-expected results. The company reported revenue of $17.9 billion, down 1.8% year-over-year, as FX headwinds and promotional activity in North America impacted performance. EPS also declined year-over-year, and guidance remained cautious given ongoing input cost inflation.

Despite solid international performance, investor sentiment was dampened by concerns over slowing U.S. consumption and rising competitive intensity. Analysts revised margin expectations slightly lower for the back half of the year, and the stock trailed other staples during the quarter.

We continue to view PepsiCo as a high-quality, defensive compounder with strong global brands and consistent cash generation. With a growing dividend, geographic diversification, and strong balance sheet, we believe PepsiCo remains a great investment.”

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