PepsiCo, Inc. manufactures, markets, distributes, and sells beverages and convenient foods worldwide. It operates through six segments: PepsiCo Foods North America; PepsiCo Beverages North America; International Beverages Franchise; Europe, Middle East and Africa; Latin America Foods; and Asia Pacific Foods. Its products include cereals, chips, dips, granola bars, oatmeal, pasta, rice, syrups and mixes, refrigerated dips and spreads, beverage concentrates, fountain syrups, finished beverages, and ready-to-drink tea and coffee, along with SodaStream sparkling water makers and dairy products under the Agusha, Chudo, and Domik v Derevne brands. The company serves distributors, foodservice customers, grocery, drug, convenience, discount and dollar stores, mass merchandisers, membership stores, hard discounters, e-commerce retailers, and authorized independent bottlers through direct-store-delivery, customer warehouse, and distributor networks, as well as directly to consumers via e-commerce platforms and retailers. Founded in 1898, PepsiCo is based in Purchase, New York.
PepsiCo beats Q3 but slashes 2026 profit outlook on North America weakness
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Full-year profit guidance cut as North America recovery stalls PepsiCo cut its 2026 core EPS growth outlook to roughly 1-3.5% from 4-7%, saying North America costs are rising and the recovery is taking longer than expected. Lower expected profits make the stock less attractive, pushing PEP down.
The guidance cut is the period's biggest new driver of PEP's value.
Q3 beat estimates but CEO flags beverage weakness PepsiCo beat Q3 EPS ($2.34) and revenue ($25.27B), yet CEO Laguarta said 'we don't feel good about the beverage business.' The beat gave a small lift, but weak drinks demand and expected estimate cuts weigh on the stock.
The earnings beat and CEO's warning are the period's key new fundamental signals.
Analyst downgrades and price-target cuts on stalled turnaround JPMorgan downgraded PEP to Neutral and cut its target to $138 from $170, following Deutsche Bank's downgrade, citing stalled North American trends and rising costs. Lower targets and ratings reduce investor demand for the shares.
Downgrades directly reset the price investors are willing to pay for PEP.
Losing ground to Coca-Cola and store brands Coca-Cola shares are up 22-25% this year while PepsiCo's fell 13-14%, with Coke gaining beverage share and cheaper store brands taking snack volume. This competitive gap pressures PEP's sales and valuation.
Competitive share loss is a core reason PEP lags its main rival.
Bull Market Nears Fourth Birthday as Delta and PepsiCo Flash Inflation Warnings
The current bull market is on track to become the seventh since the 1950s to complete at least four full years on October 12th, according to a new analysis by Truist Co-chief investment officer Keith Lerner. The 119% advance sits near the middle of the pack when measured against every bull market dating back to the 1950s, well below the 401% gain during the 2009 to 2020 cycle and the 582% gain from 1987 to 2000, while the historical average advance in Lerner's measurement period is 184%. Over the 10 prior bull markets, six lasted longer than four years. But early signs of trouble are emerging this earnings season as inflation hits corporate America: Delta said its fuel expense rose by nearly $2 billion year-over-year, a 69% increase, and guided well below consensus on fourth-quarter earnings because of higher fuel prices. PepsiCo cut its full-year profit outlook on Thursday, in part because of inflation hitting all areas of its business, from wheat and corn to the diesel in the trucks that deliver potato chips to supermarkets.
PepsiCo Cuts 2026 Core EPS Growth Outlook to 2.5%-3.5% on Margin Pressure
PepsiCo lowered its 2026 core EPS growth outlook to 2.5% to 3.5%, down from its previous expectation at the low end of 5% to 7%, as rising input costs and weaker margins weighed on the third-quarter earnings call. Executive vice president and CFO Stephen Schmitt attributed the revision primarily to weaker-than-expected margins, higher input costs and unfavorable product mix, noting that six- to 12-month commodity hedges had contained inflation but their expiration was exposing the business to higher costs, alongside the expiration of tariff-related benefits in North American beverages. The company still expects approximately 6% net revenue growth and 3% organic revenue growth for the year, and reported core EPS of $2.34, exceeding the Zacks Consensus Estimate of $2.29, on revenues of $25.27 billion that surpassed the $24.88 billion consensus estimate. Chairman and CEO Ramon Laguarta said international organic revenues rose 8% in the quarter with operating margin expanding 105 basis points, and international operations represented 45% of year-to-date profit, while North American snacks returned to low-single-digit volume growth from declines a year earlier. Management said it is evaluating structural alternatives including potential beverage refranchising in selected U.S. markets and is advancing its One North America integration initiative, with more clarity on 2027 expectations scheduled for February.
PEP · Capital · Negative PepsiCo cut its 2026 core EPS growth outlook to 2.5%-3.5% from the low end of 5%-7% on weaker margins and higher input costs.
PEP · Supply · Negative Expiring commodity hedges and the expiration of tariff-related benefits in North American beverages are exposing the business to higher input costs.
Tilray, PepsiCo, Levi Strauss Report Mixed Quarterly Results
Tilray Brands reported a first-quarter fiscal 2027 loss of $0.32 per share, wider than the Zacks Consensus Estimate of a loss of $0.19 per share, sending its shares down 3.4%. PepsiCo reported third-quarter 2026 earnings of $2.34 per share, beating the Zacks Consensus Estimate of $2.29 per share, and its shares gained 3.7%. Levi Strauss & Co. reported third-quarter fiscal 2026 revenues of $1,610 million, lagging the Zacks Consensus Estimate of $1,615 million, and its shares tumbled 2.4%. Micron Technology shares fell 4.8% on a broader tech decline.
PepsiCo Raises €1 Billion in Two-Part Euro Bond After Cutting Profit Outlook
PepsiCo Inc. entered Europe's public bond market on Friday with a €1 billion ($1.12 billion) two-part deal, a day after cutting its profit outlook on mounting costs in North America. The deal is split between a three-year tranche and a nine-year tranche, each fixed at a size of €500 million, with initial pricing for the shorter part around 60 basis points above mid-swaps and the longer slice marketed at around 105 basis points, according to a person familiar with the matter. The company lowered its earnings growth outlook on Thursday, citing weakness in both its beverage and snack businesses, and Chief Executive Officer Ramon Laguarta told analysts on a call that the company doesn't "feel good about the beverage business," with sales volumes of North American beverages down 3% so far this year. PepsiCo is turning to Europe for the second time this year while staying away from its home market, adding to a record boom in so-called reverse Yankee issuance that has pushed sales above €140 billion this year, with Alphabet Inc., Danaher Corp. and Baker Hughes Co. among the US borrowers contributing. The sale, managed by Deutsche Bank AG and HSBC Holdings Plc, is expected to price later today.
PepsiCo Cuts Profit Outlook as Levi Strauss D2C Growth Slows
PepsiCo lowered its profit outlook as its North American recovery takes longer than expected, sending shares lower. The company is facing higher costs in North America that are weighing on margins, and it plans to raise some prices in the coming months after cutting prices on some marquee brands earlier this year. Microsoft shares moved on news that its Xbox unit is formalizing its film and TV foray with a new division called XP to expand its franchises into other media. Levi Strauss fell after posting the slowest growth in its direct-to-consumer channels since late 2022, partly due to a marketing misstep, and it expects direct-to-consumer growth for the current quarter to rise by a mid-single digit after shifting its marketing to focus on low-rise jeans.
LEVI · Demand · Negative Levi Strauss posted its slowest direct-to-consumer growth since late 2022, partly due to a marketing misstep.
PEP · · Neutral PepsiCo plans to raise some prices in the coming months after earlier cutting prices on marquee brands.
PEP · Capital · Negative PepsiCo cut its profit outlook as its North American recovery takes longer than expected, with higher costs weighing on margins.
MSFT · Technology · Neutral Microsoft's Xbox unit is formalizing a film and TV division called XP to expand franchises into other media.
PepsiCo Cuts Full-Year Guidance as CEO Flags Beverage Business Concerns
PepsiCo cut its full-year earnings guidance, prompting a modest lift in its stock on Thursday as the market had anticipated the reduction. On the company's earnings call, CEO Ramón Laguarta said, "We don't feel good about the beverage business," a remark Yahoo Finance Executive Editor Brian Sozzi called a colossal red flag for the iconic global food and beverage company. The stock has declined steadily this year alongside other packaged food companies such as Campbell's, and the Street had expected an even deeper cut, making the actual reduction a source of relief. PepsiCo has promised deep cost cuts, with major layoffs expected at the company into year end, while healthier parts of the portfolio such as zero sugar drinks performed well in the most recent quarter. Sozzi said that to get PepsiCo shares working again, the company may need to explore a spin-off or sell-off of its snacks business and address the underperforming Quaker foods unit, and he expects earnings estimate cuts on PepsiCo over the next 24 to 48 hours.
PEP · Capital · Negative PepsiCo cut its full-year earnings guidance and CEO flagged weakness in the beverage business, with further estimate cuts expected.
PEP · Demand · Negative CEO said 'we don't feel good about the beverage business,' signaling weak consumer demand for its drinks, though zero-sugar drinks performed well.
PepsiCo and Helen of Troy Beat Q3 Estimates as Earnings Season Opens
PepsiCo and Helen of Troy both beat earnings expectations as the Q3 reporting season got underway. PepsiCo reported earnings of $2.34 per share on revenues of $25.27 billion, beating estimates by +2.18% and +1.59%, respectively; shares rose +1% on the news but remain down more than -12% year to date. Helen of Troy, the maker of OXO home products and Hydro Flasks, posted a fiscal Q2 profit of $0.79 per share against expectations of $0.51, a +54.9% positive surprise, though revenues slipped -0.12% from estimates to $440.93 million; strong guidance for the current quarter and full year sent shares up +20% in pre-market trading. Broader markets were lower, with the Dow down -399 points, the Nasdaq down -242 and the S&P 500 down -33, while renewed attacks on Saudi energy infrastructure by Iran-backed Houthis pushed WTI crude up +4.7% to $92 per barrel and Brent to $104 per barrel. Initial Jobless Claims came in at +197K, the fourth-straight week below +200K and the lowest level post-Covid, while Continuing Claims rose slightly to +1.716 million.
PepsiCo Beats Q3 Estimates With $25.27 Billion Revenue, $2.34 EPS
PepsiCo reported third-quarter revenue of $25.27 billion, up 5.6% from a year earlier and 1.59% above the Zacks Consensus Estimate of $24.88 billion, while EPS came in at $2.34 versus the $2.29 consensus for a 2.18% surprise. Within the company's reported segments, PepsiCo Beverages North America posted $7.71 billion in net revenue against a four-analyst average estimate of $7.65 billion, PepsiCo Foods North America came in at $6.5 billion versus $6.44 billion expected, EMEA revenue was $5.41 billion against $5.32 billion estimated, LatAm Foods revenue reached $3.02 billion versus $2.9 billion expected, Asia Pacific Foods revenue was $1.23 billion compared to the $1.2 billion average estimate, and the International Beverages Franchise brought in $1.4 billion versus $1.42 billion estimated. On a non-GAAP basis, core operating profit for PepsiCo Foods North America was $1.38 billion against a $1.42 billion estimate, PepsiCo Beverages North America posted $1.01 billion versus $1.11 billion expected, the International Beverages Franchise recorded $564 million against $565.29 million estimated, corporate unallocated was negative $426 million versus negative $411.96 million estimated, LatAm Foods earned $626 million against $579.89 million expected, and Asia Pacific Foods delivered $179 million versus $171.84 million estimated. Shares of PepsiCo have returned negative 9.5% over the past month compared with a positive 1.2% change for the Zacks S&P 500 composite, and the stock currently carries a Zacks Rank #4 (Sell).
PepsiCo Cuts Profit Outlook as North America Costs Mount
PepsiCo Inc. lowered its profit outlook, saying its recovery in North America is taking longer than expected. The maker of Doritos, Lay's and Gatorade now expects core constant currency earnings per share to grow between 1% and 2% this fiscal year, down from a previous forecast of growth at the low end of 4% to 6%. The company said it faces higher costs in North America in particular, and it is working to revitalize sales of its salty snacks while contending with consumers under economic pressure. In February, PepsiCo lowered prices on certain medium, grocery-store sized bags of its marquee brands, but it will be raising some prices in the coming months. Chief Executive Ramon Laguarta said in prepared remarks that the company's business in North America performed below expectations and represents a meaningful opportunity for improvement. Shares of PepsiCo have declined 14% this year through Wednesday's close, compared with a 14% increase in the S&P 500 Index.
PepsiCo is set to report third quarter earnings on Thursday before markets open, with RBC Capital Markets managing director Nik Modi telling Yahoo Finance he expects the company's challenges to persist. Modi said gas price inflation since the last quarter squeezes consumers in the convenience store channel, where Frito Lay, the majority of PepsiCo's food business, is heavily exposed, making an already tough situation tougher. He argued that PepsiCo's decisions, including plans to raise prices for Doritos and Ruffles by the end of 2026 and 2027 after cutting those prices by 15% earlier this year, are margin and earnings centric and will only make the company's problems worse by pressuring volumes. Modi said PepsiCo needs to offer more value to consumers and lacks a real anchor in protein, where consumer demand is migrating, and that earnings must come down so the company can reinvest in marketing, price gaps, innovation and possibly M&A. He added that consumer staples broadly face tough choices over the next six to 12 months, and that management teams and boards resisting those decisions by waiting it out is not a plausible scenario.
PepsiCo Set to Report Q3 Earnings Thursday With EPS Seen Flat at $2.29
PepsiCo is scheduled to report third-quarter earnings on Thursday before the opening bell, with analysts expecting earnings of $2.29 per share, flat versus the same period a year earlier, and revenue up 3.9% to $24.88 billion. Estimates for the quarter have declined slightly over the past 60 days, and the Zacks Rank #4 (Sell) stock has surpassed earnings estimates in each of the past four quarters. North American demand remains soft while pricing power is moderating, and higher input costs continue to pressure margins, though productivity savings and tariff refunds should offset part of that pressure. PepsiCo intends to increase advertising, marketing and portfolio investments, which may limit near-term margin recovery. Shares are down 7% in 2026 even as the broader market approaches new heights, and the stock is trading near a 52-week low.
PEP · Capital · Negative Q3 EPS expected flat at $2.29 with estimates cut over past 60 days and Zacks Rank #4 (Sell), signaling weak earnings momentum.
Carlsberg Adds Georgia and Armenia, Lifting PepsiCo Bottling Reach to 17 Markets
PepsiCo expanded its bottling reach as Carlsberg moved to add Georgia and Armenia to their partnership coverage, taking its PepsiCo bottling footprint to 17 markets across Eastern Europe and Central Asia. The extension comes through new Carlsberg acquisitions, deepening PepsiCo's use of regional bottlers for soft drink distribution outside its home market. PepsiCo is a global food and beverage group with a reported market value of about $171.5b, and it relies on regional partners like Carlsberg to manufacture and distribute its soft drinks in many markets outside its home base. The clearest proof point to track next is how PepsiCo breaks out performance by geography and franchise bottling in the upcoming Q3 2026 results on October 8, especially any commentary on emerging market beverages and partner led territories in Eastern Europe and Central Asia.
PEP · Demand · Positive Carlsberg's acquisitions of Georgia and Armenia expand PepsiCo's bottling footprint to 17 markets, widening distribution of its soft drinks.
0AI4.LSE · Capital · Positive Carlsberg's new acquisitions add Georgia and Armenia to its PepsiCo bottling partnership coverage, expanding its franchise territory.
Indian High Court Allows PepsiCo and Others to Sell Existing Stock Labeled 'Energy Drinks'
India's Delhi High Court ruled on the 6th that, in a lawsuit over the naming of high-caffeine beverages, PepsiCo of the United States, Monster Beverage, and the beverage division of Indian conglomerate Reliance Industries may sell already-manufactured inventory products labeled 'energy drinks.' In June, the Food Safety and Standards Authority of India (FSSAI) ordered PepsiCo and other high-caffeine beverage makers to stop using the name 'energy drinks,' and the manufacturers had sought an injunction. The Delhi High Court heard a petition filed the previous week by PepsiCo and Monster Beverage and allowed both companies to use the label, but sales are permitted only for already-manufactured inventory, and products manufactured on or after the 6th cannot carry the 'energy drinks' label. Prior to this, the court granted temporary relief to Reliance Consumer, the beverage division of Reliance, and the previous week it granted similar relief to Austria's Red Bull. This year the FSSAI has strengthened food safety measures across India, including inspections, closure of facilities, and mandatory warning labels for new ingredients. According to Reliance and PepsiCo, the labeling ban has effectively halted sales of hundreds of millions of bottles of products labeled 'energy drinks,' and seizures by state authorities have caused financial losses and affected investment plans. India's energy drink market is expected to reach 1.6 billion dollars by 2028.
MNST · Regulation · Positive Delhi High Court allowed Monster to sell existing inventory labeled 'energy drinks' after FSSAI's ban, easing the regulatory halt on sales.
PEP · Regulation · Positive Court permitted PepsiCo to sell already-manufactured inventory labeled 'energy drinks' despite the FSSAI labeling ban.
Reliance Consumer Products · Regulation · Positive Reliance Consumer was granted temporary relief to sell existing inventory labeled 'energy drinks' after the FSSAI ban.
RIGD.LSE · Regulation · Positive Reliance's beverage division received court relief allowing sale of existing 'energy drinks'-labeled inventory.
PepsiCo Sharpens Price-Pack Strategy as North America Organic Revenue Slips 0.5%
PepsiCo is sharpening its price-pack architecture to improve affordability after North America organic revenues declined 0.5% in the second quarter of 2026, with PepsiCo Foods North America posting a 2% net revenue decline on lower effective net pricing. The company is leaning on portion-control multi-packs, which generate more than $3.5 billion in annual net revenues, and its permissible portfolio, representing roughly $3 billion in annual net revenues, both of which delivered volume and net revenue growth in the quarter. The affordability push carries a near-term profitability trade-off, as North America's core operating margin contracted partly on investments in convenient-food affordability, and PepsiCo expects higher input-cost inflation in the second half. Management plans to use record productivity savings to offset those pressures and fund growth investments. Rivals are pursuing similar tactics: Coca-Cola is using revenue growth management with mini-can multi-packs in retail and single mini cans in convenience stores, while Monster Beverage is expanding lower-priced brands in EMEA, including Bang Energy, and targeting further expansion in China and India. PepsiCo shares have lost 13.6% over the past three months versus a 4% industry decline, and the stock trades at a forward price-to-earnings ratio of 14.21X against an industry average of 18.49X.
PEP · Pricing · Negative PepsiCo's North America organic revenue fell 0.5% on lower effective net pricing, with a 2% net revenue decline at PepsiCo Foods North America and margin contraction from affordability investments.
PEP · Supply · Negative PepsiCo expects higher input-cost inflation in the second half, pressuring profitability.
KO · Competition · Neutral Coca-Cola is cited as a rival using revenue growth management with mini-can multi-packs, a competitive tactic mentioned in passing.
MNST · Competition · Neutral Monster Beverage is mentioned as a rival expanding lower-priced brands in EMEA and targeting China and India, not a subject of the story.
PepsiCo, Levi Strauss and Constellation Brands Set to Report This Week
PepsiCo, Levi Strauss and Constellation Brands are all scheduled to report quarterly results this week, offering fresh reads on consumer demand. PepsiCo will release its Q3 results on Thursday, October 8th, before the market opens, after its latest quarter saw net revenue climb 6.4% YoY to $24.2 billion and organic revenue grow 2.4%, with full-year guidance reaffirmed. Levi Strauss reports Wednesday, October 7th, entering with 8% reported revenue growth and 6% organic growth in its latest quarter, adjusted EPS up 27% YoY to $0.28, and a raised full-year revenue and EPS outlook. Constellation Brands reports Tuesday, October 6th, after the market close with its fiscal Q2 results, following a quarter in which reported sales fell 3% YoY to $2.4 billion on prior wine divestitures while its Beer segment delivered 2% sales growth, and management maintained its fiscal 2027 comparable EPS outlook of $11.20-$11.90 per share. Volume trends, brand momentum and management commentary are expected to be the main focus across all three releases.
LEVI · Capital · Neutral Levi Strauss is set to report quarterly results Wednesday, with prior-quarter revenue growth and raised outlook as context; no new development stated.
PEP · Capital · Neutral PepsiCo is scheduled to report Q3 results Thursday, after prior-quarter revenue growth and reaffirmed guidance; no new development stated.
STZ · Capital · Neutral Constellation Brands reports fiscal Q2 Tuesday, following prior-quarter sales decline on wine divestitures and maintained EPS outlook; no new development stated.
Coca-Cola Outpaces PepsiCo as Wall Street Picks Its Favorite Soda Stock
Wall Street has clearly chosen Coca-Cola over PepsiCo as its favorite beverage stock this year. Coca-Cola stock has ripped 23% higher this year, making it the eighth-best performer on the Dow, while PepsiCo shares have tanked by 13% and now hover near a 52-week low. PepsiCo's earnings report on Thursday is a critical one, with the company promising stronger snacking results after price cuts and that its aggressive cost cuts will show up in profits. Several Wall Street shops, including Evercore ISI and JPMorgan, have cut their profit estimates for PepsiCo ahead of the results, as higher inflation stands to pressure any cost savings. Evercore ISI analyst Robert Ottenstein said investors are concerned by share losses in North America Beverages, with brand Pepsi flat over the third quarter versus brand Coke up 7%, and lackluster trends in PepsiCo Foods North America.
PEP · Competition · Negative PepsiCo faces share losses in North America Beverages and lackluster Foods trends, with analysts cutting profit estimates ahead of earnings.
KO · Competition · Positive Coca-Cola is Wall Street's favored soda stock, with brand Coke up 7% while Pepsi brand is flat, signaling share gains over PepsiCo.
Earnings Season Kicks Off With Constellation Brands, PepsiCo, Delta in Focus
Third quarter earnings season begins this week with results due from Constellation Brands, Levi's, PepsiCo and Delta, and Wall Street analysts are heading in with record optimism. According to new data from FactSet, 60% of S&P 500 stocks now carry a buy rating from Wall Street analysts, the highest level on record, leaving next to no margin for error if results or guidance come up short. The optimism is rooted in the earnings outlook: the S&P 500 is expected to report year-over-year earnings growth of 29.5% for the recently completed third quarter, while analysts are calling for growth of 27.6% in the fourth quarter and 32.4% for 2026. Yahoo Finance Executive Editor Brian Sozzi said he is most concerned about Constellation Brands and PepsiCo given pressured consumer wallets, and flagged Delta's outlook as at risk from soaring fuel prices even though sales trends likely stayed strong.
Oil in Focus as Hormuz Shipping Stalls, WTO Crude at $90
Oil prices remain in focus as the war in Iran has widened into a proxy fight between the Saudi-backed Yemen government and the Iran-backed Houthis, with barely any oil tankers moving through the Strait of Hormuz, though WTO spot oil prices sit at $90 per barrel and Brent crude at $102 per barrel. Trading opens a breather week between last week's jobs and PCE inflation reports and next week's unofficial start of Q3 earnings season, with pre-market futures turning lower, spot oil relatively muted at sustained higher levels, and bond yields flattish but elevated. September S&P Services PMI and ISM Services are due after the opening bell, with ISM expected to dip slightly to 55 from 55.4, both indexes still well above the 50 growth line. This week also brings August Consumer Credit on Wednesday ahead of the preliminary University of Michigan Consumer Survey for October on Friday, and Tuesday's U.S. Trade Balance ahead of August Monthly Wholesale Trade numbers on Thursday. PepsiCo reports Thursday morning with earnings growth of 0.00% year over year and revenue growth of +3.94%, while Delta Air Lines reports Friday with projected earnings growth of +14.65% and revenue growth of +6.15%; both stocks currently sit at sell-levels on the Zacks Rank.
DAL · Capital · Neutral Mentioned only as reporting Friday with projected earnings growth of +14.65% and revenue growth of +6.15%, sitting at sell-levels on the Zacks Rank; no new development.
PEP · Capital · Neutral Mentioned only as reporting Thursday with 0.00% earnings growth and +3.94% revenue growth, sitting at sell-levels on the Zacks Rank; no new development.
Q3 Earnings Season Opens as 10-Year Treasury Yield Hits 24-Year High
U.S. stocks closed higher Friday after a surprisingly weak September jobs report raised hopes that the Federal Reserve will hold interest rates steady at its October meeting, with the Dow Jones Industrial Average gaining 250 points, or 0.5%, to close at 51,176.46, the S&P 500 adding 0.7%, or 56.27 points, to 7,722.72, and the Nasdaq Composite climbing 1.2%, or 319.27 points, to 27,190.86 after hitting a record earlier in the session. For the week, the Dow fell about 1.3% and the S&P 500 slipped 0.3%, while the Nasdaq rose 0.6%. The rally faces a jump in bond yields, with the 10-year Treasury yield hitting 5.34% on Thursday, its highest level in 24 years, driven by expectations for strong growth, rising energy costs pushing up inflation, and heavier corporate debt issuance to fund AI buildouts. Earnings season kicks off this week with PepsiCo and Delta Air Lines among the first large companies to report, before major banks open the broader season the following week, and minutes from last month's Fed meeting are due Wednesday. Investors are also awaiting November 3 midterm elections, which will decide control of Congress.
US-10Y.GB · Monetary · Positive 10-year Treasury yield hit 5.34%, a 24-year high, driven by strong growth expectations, rising energy costs and heavy corporate debt issuance.
DAL · · Neutral Named as one of the first large companies to report earnings this week; no substantive development given.
PEP · · Neutral Named as one of the first large companies to report earnings this week; no substantive development given.
Carlsberg to buy two PepsiCo bottlers in Georgia and Armenia
Carlsberg A/S agreed to acquire two PepsiCo bottling businesses from Revery, adding Iberia Refreshments in Georgia and JI Pepsi Cola Bottler Armenia to its non-alcoholic beverage operations. Financial terms for the two deals were not disclosed. Once completed, Carlsberg will take responsibility for producing, selling, and distributing PepsiCo's soft drink portfolio in both countries, lifting the number of markets covered by Carlsberg's PepsiCo bottling arrangements to 17. Carlsberg plans to combine Georgia and Armenia with Azerbaijan, where it has separately agreed to become PepsiCo's bottler, into a South Caucasus operating cluster intended to support a wider beverage portfolio and shared production, sales, and distribution. PepsiCo SVP and GM of Internal Beverages Europe Natalia Filippociants said the expanded partnership is expected to help the company unlock the next phase of growth in the two markets.
0AI4.LSE · Capital · Positive Carlsberg agreed to acquire two PepsiCo bottlers in Georgia and Armenia, expanding its non-alcoholic beverage operations.
PEP · Demand · Positive Carlsberg will produce, sell and distribute PepsiCo's soft drinks in Georgia and Armenia, expanding PepsiCo's bottling reach to 17 markets and supporting growth.
Revery · Capital · Neutral Revery is selling its two PepsiCo bottling businesses in Georgia and Armenia to Carlsberg, but terms and impact are undisclosed.
Iberia Refreshments · Capital · Neutral Iberia Refreshments in Georgia is being acquired by Carlsberg from Revery, but no financial terms or standalone impact are given.
JI Pepsi Cola Bottler Armenia · Capital · Neutral JI Pepsi Cola Bottler Armenia is being acquired by Carlsberg from Revery, with no financial terms disclosed.
PepsiCo's Frito-Lay Weakness Draws Cramer's Concern as P&G Charts Slower Growth
Jim Cramer flagged PepsiCo's Frito-Lay problem on the September 28 episode of Mad Money, saying the snack business is "a tough one right now" and that the stock's 10% decline this year suggests the dividend may not act as the trampoline he once expected. PepsiCo Foods North America reported a 2% decline in second-quarter revenue, with core constant-currency operating profit at PFNA falling 8%, and Reuters reported on September 24 that the company plans to raise prices on some chip brands by a low- to mid-single-digit percentage range after cutting prices by as much as 15% on products including Lay's and Doritos in February. PepsiCo is scheduled to report third-quarter results on October 8. Procter & Gamble, which Cramer noted has "nothing to do with food," reported fiscal 2026 net sales up 3% to $87 billion with flat fourth-quarter organic sales and core EPS up 1% to $6.89, and guided fiscal 2027 organic sales growth of 1% to 3% and core EPS of $6.89 to $7.11, while expecting an approximately $1 billion after-tax headwind from higher raw materials, energy, and transportation costs. P&G is set to report first-quarter fiscal 2027 results on October 22. Hedge fund holders of PepsiCo fell to 68 in the second quarter from 72 in the first, while P&G holders rose to 83 from 78, and PepsiCo trades at a forward P/E of 14.86 versus P&G's 21.23.
PEP · Demand · Negative Frito-Lay North America Q2 revenue fell 2% and core operating profit dropped 8%, with Cramer calling the snack business 'a tough one right now'.
PEP · Pricing · Neutral PepsiCo plans to raise prices on some chip brands by low- to mid-single digits after earlier cutting Lay's and Doritos prices up to 15%.
PG · Capital · Neutral P&G reported fiscal 2026 net sales up 3% to $87B with flat Q4 organic sales and guided fiscal 2027 organic growth of 1-3%, while expecting a ~$1B after-tax cost headwind.
Earnings week ahead: PepsiCo, Delta, Constellation Brands, Levi Strauss and Tilray to report
A diverse earnings slate spanning consumer staples, beverages, travel, apparel and AI infrastructure is set for the week of October 5 to October 9, with PepsiCo, Constellation Brands, Lamb Weston, Levi Strauss and Tilray Brands offering reads on food, beverage and apparel spending while Delta Air Lines provides a key read on travel demand. Constellation Brands, the U.S. importer and marketer of Corona, Modelo Especial and Pacifico, reports fiscal Q2 FY2027 after Tuesday's close, with consensus EPS of $3.55 and revenue of $2.54B, as the stock sits near a 52-week low of $113.34. Levi Strauss reports fiscal Q3 2026 after Wednesday's close, with consensus EPS of $0.36 and revenue of $1.62B, after management guided to revenue growth of 4%-5% and adjusted EPS of $0.34-$0.36. PepsiCo reports Q3 2026 before Thursday's open, with consensus EPS of $2.30 and revenue of $24.97B, as the company plans to raise prices on select brands including Doritos and Ruffles by low-to-mid-single-digit percentages later this year or early next year, reversing price cuts of as much as 15% introduced earlier in 2026. Delta Air Lines reports Q3 2026 before Friday's open, with consensus EPS of $1.88 and revenue of $18.99B, as a dispute over its in-flight Wi-Fi strategy continues after Delta chose Amazon's LEO satellite network over SpaceX's Starlink for a rollout planned for 2028. Also reporting during the week are Saratoga Investment, Lamb Weston, RPM International, Apogee Enterprises, Tilray Brands, NOVAGOLD Resources, Helen of Troy, AngioDynamics, Richardson Electronics, Resources Connection, Penguin Solutions, Applied Digital and New Horizon Aircraft.
PEP · Pricing · Positive PepsiCo plans to raise prices on select brands like Doritos and Ruffles by low-to-mid-single digits, reversing earlier price cuts, a favorable pricing move ahead of its Q3 report.
DAL · · Neutral Delta is set to report Q3 earnings; article only previews consensus figures and notes an ongoing in-flight Wi-Fi dispute, no clear directional driver.
LEVI · · Neutral Levi Strauss is set to report Q3 earnings; article only previews consensus EPS/revenue and prior guidance, no new directional development.
STZ · · Neutral Constellation Brands is set to report fiscal Q2 earnings; article only previews consensus EPS/revenue and notes the stock near a 52-week low, no clear directional driver.
PepsiCo Appoints Johnson & Johnson CEO Joaquin Duato to Board
PepsiCo has appointed Joaquin Duato, Chairman and CEO of Johnson & Johnson, to its Board of Directors. Duato currently leads Johnson & Johnson, a major global healthcare group with a large portfolio of consumer and pharmaceutical brands. His appointment adds senior healthcare and international experience to PepsiCo's board as the business focuses on health oriented product lines. Duato's experience with complex, global operations is also relevant to PepsiCo's heavy investment in AI, ERP and supply chain integration, where execution risk has been flagged. The clearest early signal to watch is how PepsiCo's board and management talk about health oriented innovation and North America productivity in 2027 guidance and in earnings calls following Duato's December 1, 2026 start.
PEP · Capital · Positive PepsiCo appoints J&J CEO Joaquin Duato to its board, adding healthcare and global-operations expertise as it focuses on health-oriented products and AI/ERP/supply-chain execution.
J.P. Morgan Cuts PepsiCo Price Target 19% Ahead of Earnings
J.P. Morgan analyst Andrea Teixeira downgraded PepsiCo to Neutral from Overweight and cut the firm's price target by 19% to $138, arguing that earnings expectations may still need to come down. PepsiCo shares fell more than 1% Tuesday. The biggest concern remains North America, particularly the company's snack business, where changes to ingredients and packaging along with lower prices have so far failed to produce a meaningful improvement in sales at Frito-Lay North America. J.P. Morgan lowered its fiscal 2027 EPS estimate to $8.86 from $9.05 and its 2028 forecast to $9.33 from $9.57, and now expects 2.8% organic sales growth and EPS of $2.29 for the third quarter, down from previous estimates of 3.2% and $2.31. PepsiCo reports third-quarter results before the market opens Oct. 8.
Tesla Opens Nevada Semi Factory, Begins Customer Deliveries
Tesla opened its dedicated Sparks, Nevada factory and began customer deliveries of its long-delayed Semi truck, a plant designed to eventually produce 50,000 Semis annually. The truck is offered with claimed ranges of 325 miles and 500 miles for the long-range version, and early customers include PepsiCo, DHL and US Foods, while a newly announced 2,500-truck order from a shipper coalition adds to potential demand. Morgan Stanley analyst Andrew Percoco wrote in a new note that Tesla can generate roughly $12,000 to $18,000 per month from its autonomous trucking software, based on a $0.85 to $1 per mile subscription fee across 18,000 miles driven per month, compared with about $100 per month for full self-driving on consumer vehicles today. Percoco calculated that if Tesla reaches 82,000 Semis on the road by 2040, a 13.5% share of the autonomous addressable market, that would represent $17 billion of software revenue and about $7.5 billion of incremental EBIT, a 10% upside to Morgan Stanley's base case, and he noted this excludes the upfront vehicle sale and incremental charging revenue. He added that Tesla originally outlined a manufacturing target of 50,000 Semi trucks per year, so assuming 80,000 will be deployed in total over the next roughly 15 years is a conservative starting point.
TSLA · Capital · Positive Morgan Stanley's note estimates $17B software revenue and $7.5B incremental EBIT from Tesla Semi autonomous trucking, a 10% upside to base case.
TSLA · Demand · Positive Tesla opened its Nevada Semi factory, began customer deliveries, and announced a 2,500-truck order from a shipper coalition.
DHL.XETRA · Demand · Positive DHL (Deutsche Post) is named as an early customer taking delivery of Tesla Semi trucks.
PEP · Demand · Positive PepsiCo is named as an early customer taking delivery of Tesla Semi trucks.
USFD · Demand · Positive US Foods is named as an early customer taking delivery of Tesla Semi trucks.
MS · Capital · Neutral Morgan Stanley analyst note models Tesla Semi autonomous software revenue and upside, but no direct impact on Morgan Stanley itself.
Red Bull sues Indian food authorities over ban on 'energy drink' label
Austrian beverage giant Red Bull has filed a challenge with the Delhi High Court after India's food regulator banned the use of the term "energy drink" without prior warning notice. The legal challenge, dated the 25th, is the first against the measure. According to court filings, Red Bull argues the measure is affecting investment in India. In June, Indian authorities ordered manufacturers selling high-caffeine beverages as "energy drinks" to stop using the term, and also rejected industry efforts to delay regulatory intervention. India's energy drink market is expected to reach 1.6 billion dollars by 2028. Pepsi, Red Bull, Monster Beverage and Reliance, led by Indian billionaire Mukesh Ambani, have pushed back against the measure. Red Bull's Indian unit complained that the "sudden ban" on the label, without changing the standards for the product itself, "creates significant regulatory uncertainty and adversely affects existing and planned commercial investments." One Indian government official said the Food Safety and Standards Authority of India (FSSAI) plans to rebut Red Bull's claims in court. According to market research firm Euromonitor, retail sales of energy drinks in India are expanding at an annual rate of 112.6 percent, growing faster than in the United States and China. Red Bull's sales in India reached 130 million dollars in 2024, more than double the level four years earlier.
MNST · Regulation · Negative Monster Beverage is among the manufacturers that pushed back against India's ban on the 'energy drink' label, which creates regulatory uncertainty for its Indian sales.
PEP · Regulation · Negative PepsiCo is named among the companies pushing back against India's FSSAI ban on the 'energy drink' label, a regulatory measure affecting its energy-drink business.
RIGD.LSE · Regulation · Negative Reliance, led by Mukesh Ambani, is listed among the firms that pushed back against India's ban on the 'energy drink' label, creating regulatory uncertainty for its beverage operations.
PepsiCo Q2 Revenue Rises 6.4% to $24.18 Billion, Beating Estimates
PepsiCo reported second-quarter revenues of $24.18 billion, up 6.4% year on year and 0.8% above analysts' expectations, though the stock has fallen 9.8% since the results and trades at $128.50. The results came as the 13 beverages, alcohol, and tobacco stocks tracked by the report delivered a satisfactory quarter overall, with group revenues beating consensus estimates by 1% and next-quarter revenue guidance coming in 2.2% above expectations, even as share prices across the group fell an average of 10.4% since the latest earnings results. Vita Coco posted the group's best quarter, with revenues of $216.2 million, up 28.1% year on year and 3% ahead of estimates, alongside beats on EPS and gross margin estimates and the highest full-year guidance raise in the group, though its stock is down 21.1% since reporting and trades at $58.77. Celsius turned in the weakest quarter, with revenues of $817.9 million, up 10.6% year on year but 6.2% short of analysts' expectations, marked by significant misses on EBITDA and EPS estimates; its stock is down 4% since the results and trades at $27.99. Among other peers, Molson Coors reported revenues of $3.10 billion, down 3.3% year on year and in line with expectations, with its stock down 13.9% at $36.05, while Altria reported revenues of $5.36 billion, up 1.2% year on year and in line with expectations, with its stock down 8.3% at $68.69.
CELH · Capital · Negative Celsius posted the group's weakest quarter, with revenue 6.2% below estimates and significant misses on EBITDA and EPS.
COCO · Capital · Positive Vita Coco posted the group's best quarter with revenue up 28.1% and beats on EPS and gross margin, plus the highest full-year guidance raise.
PEP · Capital · Positive PepsiCo's Q2 revenue rose 6.4% to $24.18 billion, beating analysts' estimates.
MO · Capital · Neutral Altria's revenue rose 1.2% and was in line with expectations, a neutral result.
TAP · Capital · Negative Molson Coors revenue fell 3.3% year on year, in line with expectations.
Deutsche Bank cuts PepsiCo to Hold, trims price target to $138
Deutsche Bank downgraded PepsiCo to Hold from Buy on Monday and lowered its price target to $138 from $155, citing reduced confidence in the company's North American recovery. Analyst Steve Powers said many of PepsiCo's turnaround efforts in North America, including lower prices, new products, more shelf space, brand refreshes and cost savings, have produced mixed or short-lived benefits, and that both the food and beverage units there are still struggling to improve sales, market share and profitability on a lasting basis. Powers noted some problems date back to the pandemic, when PepsiCo raised snack prices too much and spent heavily on capacity and staff when growth expectations were higher, leaving the company caught between a cost structure built for higher growth and a structurally softer consumer environment. Deutsche Bank trimmed its 2026 EPS estimate to $8.55 from $8.58, in line with consensus, and cut its 2027 estimate to $8.61 from $8.88, below the consensus of $8.97. Powers said the bank does not envision a clear path to the improvement embedded in consensus given soft demand, higher costs, renewed needs for higher pricing, continued reinvestment, limited evidence of durable North American traction and growing risks to overseas momentum.
PEP · Capital · Negative Deutsche Bank downgraded PepsiCo to Hold and cut its price target to $138 from $155 on reduced confidence in the North American recovery.
PepsiCo plans to invest $1B in Colombia over the next five years, an announcement made by Colombian President Abelardo De La Espriella over the weekend. The investment will be centered on expanding production, modernizing operations, and strengthening distribution. De La Espriella said the commitment will boost employment, support more than 2,000 farmers, and strengthen Colombia's small shopkeepers. PepsiCo makes and distributes snacks and drinks in Colombia, with production plants in Funza and Guarne, and its business also buys crops from Colombian farmers and supplies small retailers. Shares of PepsiCo edged 0.2% lower in premarket trading to $128.39, against a 52-week range of $126.90 to $171.48.
PEP · Capital · Positive PepsiCo commits $1B investment in Colombia over five years to expand production, modernize operations, and strengthen distribution.
PepsiCo to Raise Prices on Chips, Sodas and Dips From Late 2026 Into 2027
PepsiCo plans to raise prices on chips, sodas, and dips from late 2026 into early 2027, with management linking the increases to higher ingredient, packaging, and logistics costs across its snacks and beverages portfolio. The planned round of low to mid single digit price moves is aimed at managing profit margins across PepsiCo's mix of products. PepsiCo, a beverages and convenient foods heavyweight with a market value of about $175.6b, sells everything from sodas to snack foods through an extensive global network, so the price decisions touch multiple product lines and customer budgets at once. The tension sits in North America, where analysts already question volume resilience and the company's dependence on legacy salty snacks, testing the thesis that productivity programs and a growing permissible portfolio can offset input cost pressure. The investment case hinges on whether PepsiCo's global reach, productivity push, and shift toward healthier products can support pricing power without permanently hurting demand in core snacks and drinks.
PEP · Pricing · Neutral PepsiCo plans low-to-mid single-digit price hikes on chips, sodas and dips from late 2026 into 2027 to offset higher ingredient, packaging and logistics costs, with margin support weighed against possible volume weakness.
Microsoft Unveils Unified Copilot With Autopilot Mode as Nadella Warns on AI Subsidies
Microsoft has launched a new version of its Copilot AI assistant that merges the consumer and workplace products into a single offering aimed at corporate customers, with three modes — chat, code, and autopilot — and roughly 30 million customers so far, CEO Satya Nadella told Yahoo Finance's Deirdre Bosa in an interview. Nadella said the autopilot mode, which connects to a user's apps, email and workflows and acts as a personal assistant, represents the next generation of enterprise automation and will roll out in the coming weeks, though he cautioned that token costs mean "once the subsidies stop for everybody" the business model must be justified by customer return on investment. On China, Nadella said it is in both countries' interests to agree on norms, including a direct notification channel between presidents in the event of a cybersecurity attack, following this week's Trump-Xi summit. Separately, Costco reported quarterly profit above Wall Street estimates with earnings per share of 695 cents, including 15 cents from $184 million in tariff refunds, while comparable sales rose 6.7%. Akamai announced a $12 billion computing deal with Anthropic, building on a $1.8 billion agreement earlier in the year, with warrants giving Anthropic the right to buy Series B shares at $113.33 each that convert into 7.7 million common shares. Tesla confirmed high-volume production of its Semi had begun at its Sparks, Nevada factory and announced a 2,500-truck order from a coalition of shipping companies including PepsiCo, which Fast Company called the largest US order for electric heavy-duty trucks.
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AKAM · Demand · Positive Akamai announced a $12 billion computing deal with Anthropic, building on an earlier $1.8 billion agreement.
COST · Capital · Positive Costco reported quarterly profit above estimates with EPS of 695 cents, including 15 cents from $184 million in tariff refunds.
MSFT · Technology · Positive Microsoft launched a unified Copilot with chat, code, and autopilot modes aimed at corporate customers.
TSLA · Demand · Positive Tesla confirmed high-volume Semi production and a 2,500-truck order from shipping companies including PepsiCo.
PEP · Demand · Positive PepsiCo is part of a coalition placing a 2,500-truck order for Tesla Semis.
Tesla starts high volume production of electric semi truck, Musk says
Tesla Inc has begun "high volume production" of its electric semi truck at a new facility in Nevada, CEO Elon Musk said Thursday, with the company targeting 50,000 units a year. The factory in Sparks, Nevada, was inaugurated during an event Thursday evening; it had begun production in late-April and is Tesla's first dedicated factory for the semi. PepsiCo and U.S. Foods are among the first customers, Tesla executives said at the event, adding that DHL was also a major customer. Musk, in a pre-recorded video, said the semi will eventually feature Tesla's autonomous driving features, that the waiting list was "already pretty significant," and that the truck made sense economically given lower costs per mile for electricity over diesel. Tesla this week won an order for 2,500 semis from a coalition of major cargo-shipping companies including Microsoft and PepsiCo, according to data from transportation nonprofit Catalyst Mobility, following an order for 500 semis from Swedish freight tech firm Einride.
TSLA · Demand · Positive Tesla began high-volume production of its electric semi with 50,000 units/year target and a significant waiting list plus new orders.
PEP · Demand · Positive PepsiCo is named as one of the first customers for Tesla's electric semi and part of a 2,500-unit order coalition.
DHL.XETRA · Demand · Positive DHL, part of Deutsche Post, is cited as a major customer of Tesla's electric semi.
Coca-Cola Posts Strongest Quarterly Volume Growth in 17 Years
Coca-Cola's sparkling soft drink business delivered 5% year-over-year volume growth for Trademark Coca-Cola in the second quarter of 2026, its strongest quarterly increase in 17 years excluding the COVID recovery period. Management credited part of the momentum to FIFA World Cup activation, while Sprite gained in Asia and the Middle East and Coca-Cola Zero Zero expanded into additional markets after encouraging European results. In North America, the relaunched Mr. Pibb posted volume growth of more than 20%, and the company is using package sizes and price points, including mini cans, to balance affordability and premiumization. PepsiCo's sparkling portfolio saw Pepsi Zero Sugar, Pepsi Wild Cherry & Cream, Mountain Dew Zero Sugar and Mug Root Beer each gain value and volume share, even as North America beverage organic volume declined 4%, while Keurig Dr Pepper's Dr Pepper Zero Sugar retail sales jumped nearly 30% and Canada Dry posted double-digit retail sales growth. Coca-Cola cautioned that second-half comparisons will become more difficult, with two-year volume growth running at about 2%, and carries a Zacks Rank #2 (Buy) with a forward price-to-earnings ratio of 25.44X versus the industry's 19.2X.
KO · Demand · Positive Trademark Coca-Cola delivered 5% volume growth, its strongest quarterly increase in 17 years, with Sprite, Coca-Cola Zero Zero, and Mr. Pibb all gaining.
PEP · Demand · Neutral PepsiCo's Pepsi Zero Sugar, Mountain Dew Zero Sugar and other brands gained value and volume share, but North America beverage organic volume declined 4%.
KDP · Demand · Positive Dr Pepper Zero Sugar retail sales jumped nearly 30% and Canada Dry posted double-digit retail sales growth, indicating strong end-customer demand for KDP brands.
PepsiCo closes 60-year-old Maryland bottling plant, cutting 143 jobs
PepsiCo has ended manufacturing and warehouse operations at its Pepsi Bottling Group plant in Cheverly, Maryland, laying off 143 workers at a facility that had operated for more than 60 years. In a letter to the Maryland Department of Labor and the Cheverly mayor, the company said the September 14 layoffs covered fleet, transport, manufacturing and warehouse operations plus other salaried employees, with 98 of those workers represented by the Teamsters Local 639 union; sales and delivery jobs were not affected. Cheverly officials told NBC4 Washington the plant was the town's highest grossing revenue generator, adding roughly $200,000 annually, and Council Member Jolene Ivey said aging infrastructure, including power and water problems, contributed to the decision. PepsiCo said the closure stemmed from changes in consumer demand, technology and its operating network, part of a broader restructuring that has shuttered or reduced operations at facilities in Cincinnati, Chicago, Harrisburg, Atlanta, Detroit, Florida, California and South Carolina since 2024. On a July earnings call, CEO Ramon Laguarta said U.S. food and beverage category performance moderated as consumer budgets tightened under rising inflationary pressures.
PEP · Supply · Negative PepsiCo closed its Cheverly bottling plant, cutting 143 jobs and reducing manufacturing/warehouse capacity as part of a broader restructuring.
PepsiCo Near 52-Week Low Draws $152.80 Target and Buy Rating
PepsiCo is trading near its 52-week low of $129.55 with a 4.31% dividend yield, and 24/7 Wall St. has set a $152.80 price target on the shares, implying 17.77% upside, with a buy rating and 90% confidence. The stock is down 6.7% year to date and 7.88% over the past month, pressured by PepsiCo Foods North America revenue declining 2% and core operating margin contracting 40 basis points in the second quarter, though international results offset with LatAm Foods up 15%, Asia Pacific Foods up 12%, EMEA up 10% and IB Franchise up 11%. Second-quarter core EPS came in at $2.20 on revenue of $24.18 billion, up 6.4% year over year, and CEO Ramon Laguarta noted the fastest volume growth since 2022. The bull case rests on international momentum, portfolio innovation and shareholder returns, with management expecting the international business to cross $40 billion this year, a $10 billion buyback authorization through 2030 and 54 consecutive years of dividend growth; the bull scenario points to $161.88 and Street consensus sits at $155. The bear case centers on the pressured U.S. consumer, prior impairments on Rockstar of $1.993 billion and Be & Cheery, and management flagging results may trend to the low end of the EPS range, but the bear scenario still lands at $141.94, above today's price, with operating cash flow of $12.087 billion in FY25 comfortably funding the dividend.
PepsiCo Named Exclusive Beverage Provider for The Great Greek Mediterranean Grill
PepsiCo has entered a partnership to serve as the exclusive beverage provider for The Great Greek Mediterranean Grill locations, covering all existing and future restaurants in the chain. The deal places PepsiCo's Aquafina, Pure Leaf, Celsius and custom lemonades alongside a fast casual Mediterranean menu aimed at health focused diners. PepsiCo, a beverage and convenient foods group with a market value of about $176.9 billion, already supplies drinks across global restaurant and retail channels, so a single fast casual chain will not reshape the business on its own, though it extends the away from home and foodservice reach the company has flagged as a higher margin opportunity. The key marker for investors will be how quickly PepsiCo beverages roll out across The Great Greek Mediterranean Grill system through 2026, and whether the chain expands into SKU offerings like energy drinks and hydration products.
PEP · Demand · Positive PepsiCo becomes exclusive beverage provider for The Great Greek Mediterranean Grill's existing and future locations, extending its away-from-home foodservice reach.
The Great Greek Mediterranean Grill · · Neutral The chain is the venue for the PepsiCo deal but no independent financial or operational impact on it is described.
Gatik CEO Gautam Narang Discusses $200 Million Series D and Driverless Truck Expansion
Gatik, the Silicon Valley-based autonomous trucking company, secured $200 million in Series D funding in late August, a round led by Qatar Investment Authority and joined by Koch Disruptive Technology, Millennium, and Cathie Wood's Ark Invest. CEO Gautam Narang said the capital will go toward scaling the company's driverless freight network, which currently operates across Pepsi's network in three markets in Texas, Arkansas, and Arizona. Gatik has over $600 million in contracted revenue, Narang said, against a total addressable opportunity of more than $300 billion. The company's dock-to-dock delivery model moves goods from customer distribution centers to retail stores using driverless trucks running 24/7 on highways and surface streets, managed through its Gatik Omni fleet platform and a human AV interface called HAVi. Narang said Gatik aims to scale to hundreds of driverless trucks by the end of this year and thousands next year, citing strong demand from commercial partners including Pepsi.
Gatik · Capital · Positive Gatik secured $200 million in Series D funding led by Qatar Investment Authority to scale its driverless freight network.
Gatik · Demand · Positive Gatik reports over $600 million in contracted revenue and strong demand from commercial partners including Pepsi.
PEP · Demand · Positive Gatik's driverless freight network operates across Pepsi's network in three markets, and Pepsi is cited as a commercial partner driving strong demand.
McDonald's CEO says more adults are buying Happy Meals as GLP-1 drugs shrink appetites
McDonald's CEO Chris Kempczinski said in a recent interview with Harvard Business Review that more adults are turning to smaller menu items, including Happy Meals, as GLP-1 weight-loss drugs like Wegovy and Ozempic shrink their appetites. About 11% of U.S. adults in 2026 take GLP-1 drugs, according to a Gallup study reported by USA Today. Kempczinski has said he does not believe GLP-1 drugs will have a material impact on McDonald's business, but the chain has been testing lighter menu options, less-sugary beverages and different portion sizes, and executives have highlighted protein-rich items such as Snack Wraps, Sausage Biscuit sandwiches and chicken McCrispy Strips as an area of strength with GLP-1 consumers. Other companies are responding too: Shake Shack rolled out its Good Fit Menu in December, General Mills and Conagra Brands now offer smaller-portion products, and PepsiCo CEO Ramon Laguarta told Yahoo Finance the company is leaning into portion control for parts of its portfolio.
PepsiCo Appoints Joaquin Duato as Independent Director
PepsiCo has appointed Johnson & Johnson chief Joaquin Duato as an independent director and member of its Audit Committee, a board change that puts governance and long-term decision making in focus. The appointment comes as PepsiCo shares have fallen 9.0% over the past 30 days and 8.8% year to date, with a 1 year total shareholder return down 4.8% and a 3 year total shareholder return down 17.5%. PepsiCo now trades near US$129.75, while analyst targets cluster around US$155 and internal fair value work points to a similar discount. The most followed narrative pegs fair value at about $200.01, framing the stock as 35.1% undervalued. PepsiCo still faces pressure if health-focused consumers accelerate away from sodas and salty snacks, or if North American food volumes stay sluggish.
PEP · Capital · Neutral PepsiCo appoints Joaquin Duato as an independent director and Audit Committee member, a governance/board change amid share underperformance and analyst fair-value discounts.
PepsiCo is cutting jobs at a US bottling plant, with 98 of the 143 workers at its Hyattsville, Maryland site set to lose their positions. CB Manufacturing, a PepsiCo subsidiary doing business as Pepsi Beverages, said in a WARN notice that it will lay off employees in its fleet, transport, manufacturing and production warehouse operations, as well as other salaried employees, at the facility. The company said its sales and delivery operations will continue without disruption, and it has a contract with Teamsters Local 639 that may provide affected employees with bidding rights for available positions. The neighbouring community of Cheverly said it was informed of the move on Tuesday when it took effect, with town administrator Dylan Galloway saying the workers are part of the community and pledging to connect affected workers with available resources. The lay-offs add to a series of changes PepsiCo has made to its US manufacturing network, including the planned permanent closure of its Rancho Cucamonga, California facility, the closure of a Frito-Lay plant in Orlando, Florida, and plans to shut a snacks plant in Liberty, New York that produces PopCorners and employs more than 200 people, as well as job cuts in Ireland in December and plans outlined in January to reduce its workforce in Spain, where around 400 jobs were reportedly at risk.
PEP · Capital · Negative PepsiCo is cutting 98 jobs at its Hyattsville, Maryland bottling plant as part of ongoing US manufacturing network reductions.
CB Manufacturing Company, Inc. · Capital · Negative CB Manufacturing, a PepsiCo subsidiary doing business as Pepsi Beverages, issued the WARN notice for the 98 layoffs at the Hyattsville facility.
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