Analysts Trims PepsiCo (PEP) Price Target by $10. Here is Why

With an annual dividend yield of 4.12%, PepsiCo, Inc. (NASDAQ:PEP) is included among the 12 High Yield Fortune 500 Stocks to Buy Now.

Analysts Trims PepsiCo (PEP) Price Target by $10. Here is Why

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PepsiCo, Inc. (NASDAQ:PEP) engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide.

On June 5, Wells Fargo trimmed its price target on PepsiCo, Inc. (NASDAQ:PEP) from $160 to $150, but maintained an ‘Equal Weight’ rating on the shares. The lowered target still indicates an upside of 4% from the current price level.

Wells Fargo cited ongoing macroeconomic uncertainty, which is likely to have an impact on consumer spending and therefore PepsiCo’s product categories. While the analyst firm acknowledges that Pepsi’s execution has been good in certain areas, especially within its Food segment, it believes that the company’s goal of accelerating sales growth through 2026 may be tough to achieve. According to Wells, the debate around PepsiCo’s long-term growth prospects in North America is likely to persist.

PepsiCo, Inc. (NASDAQ:PEP) topped Wall Street estimates in its Q1 2026 report in April, supported by its price cuts for salty snacks in the US ​and the strong demand for diet sodas. The company also reaffirmed its guidance for FY 2026, with the company projecting organic revenue to ⁠rise between 2% and 4% and core constant currency EPS to grow 4% to 6% compared to last year.

PepsiCo, Inc. (NASDAQ:PEP) boasts an annual dividend yield of 4.12%, putting it among the 10 Best Dividend-Paying Beverage Stocks to Buy Now.

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