Is PepsiCo (PEP) the Best Consumer Staples Dividend Aristocrat Right Now?

PepsiCo, Inc. (NASDAQ:PEP) is included among the 11 Best Dividend Aristocrat Stocks to Invest in Now.

Is PepsiCo (PEP) the Best Consumer Staples Dividend Aristocrat Right Now?

A close up of a glass of a refreshing carbonated beverage illustrating the company’s different beverages.

Analysts believe that the company has significant growth potential, supported by long-term trends in the snack industry, expansion in promising beverage categories such as energy drinks, and increasing demand across emerging regions, including Latin America, Africa, and Asia-Pacific. The company’s integrated business model also enhances its ability to bring products to market efficiently.

Consumer demand for snacks and beverages typically holds steady throughout different economic conditions, and PepsiCo, Inc. (NASDAQ:PEP)’s extensive supply chain helps it manage operations effectively while limiting the impact of external disruptions.

PepsiCo, Inc. (NASDAQ:PEP) leads the $242 billion global savory snacks market with well-known brands like Lay’s, Cheetos, and Doritos. It also ranks as the second-largest beverage company in the world, just behind Coca-Cola.

The company’s strong business also supports its dividend. PepsiCo, Inc. (NASDAQ:PEP) has raised its payouts for 53 years in a row. Currently, it offers a quarterly dividend of $1.4225 per share and has a dividend yield of 4.34%, as of June 27.

While we acknowledge the potential of PEP as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure. None.