Long-Term Analyst: Buy These 5 Stocks

3. PepsiCo, Inc. (NYSE:PEP)

Rockland Trust’s Stake Value: $34,175,000 

Percentage of Rockland Trust’s 13F Portfolio: 2.36%

Number of Hedge Fund Holders: 65

On July 21, PepsiCo, Inc. (NYSE:PEP) declared a quarterly cash dividend of $1.15 per share of the company’s common stock. The dividend is payable on September 30 to shareholders of record on September 2. As of September 1, the stock is offering a forward dividend yield of 2.66% which the company supports with free cash flows of $6.33 billion.

On July 12, PepsiCo, Inc. (NYSE:PEP) reported earnings for the second quarter of fiscal 2022. The company generated a revenue of $20.23 billion, up 5.23% year over year, and outperformed market consensus by $715.34 million. The company reported earnings per share of $1.86 and beat EPS estimates by $0.12. As of September 1, PepsiCo, Inc. (NYSE:PEP) has returned 8.93% to investors over the past twelve months.

On August 22, Morgan Stanley analyst Dara Mohsenian noted that PepsiCo, Inc. (NYSE:PEP) has topline upside and also the ability to drive outperformance in the current environment. Mohsenian remains Overweight on PepsiCo, Inc. (NYSE:PEP).

At the end of Q2 2022, 65 hedge funds were long PepsiCo, Inc. (NYSE:PEP) and held stakes worth $5.28 billion. This is compared to 62 positions in the preceding quarter with stakes worth $4.86 billion. The hedge fund sentiment for the stock is positive.

As of June 30, Rockland Trust’s stake in PepsiCo, Inc. (NYSE:PEP) is valued at $34.17 million. The investment covers 2.36% of the fund’s 13F portfolio.

ClearBridge Investments mentioned PepsiCo, Inc. (NYSE:PEP) in its second-quarter 2022 investor letter. Here is what the firm had to say:

“Also in the stable and predictable cash flow camp, though with a very different business model, global food and beverage company PepsiCo (NYSE:PEP) reported very strong organic growth in the first quarter, driven by healthy price/mix, and raised revenue guidance, while holding EPS guidance. Notably, its beverage business showed expanding margins.”