PEP Earnings Prediction
The chart below shows how PEP performed 10 days before and after its earnings report, based on data from the past quarters. Typically, PEP sees a +0.21% change in stock price 10 days leading up to the earnings, and a +2.24% change 10 days following the report. On the earnings day itself, the stock moves by +0.28%. This data can give you a slight idea of what to expect for the next quarter's release.
PEP Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
27.78B
-0.24%
19.15%
Gross Margin
53.73%
0.45%
-3.26%
Operating Margin
12.46%
11.25%
-30.43%
Net Margin
5.52%
16.21%
-56.29%
EPS
1.11
18.09%
-47.89%
No Data Available
PEP Earnings Analysis
PepsiCo Inc Corporation (PEP.O) Earnings Conference Call
Positive
Strong Long-Term Performance: Frito Lay has shown a compound growth rate of 8% over the last four years, indicating strong long-term performance despite recent challenges.
International Business Expansion: PepsiCo's international business has reached nearly $40 billion, contributing significantly to overall growth and profitability.
Beverage Segment Margin Improvement: The beverage segment is on track to achieve mid-teens margins, reflecting improved operational efficiency and strategic focus on pricing and innovation.
Consistent Marketing Investments: PepsiCo's advertising and marketing investments are expected to remain consistent as a percentage of sales, supporting brand growth and consumer engagement.
Long-Term Sales Growth Target: The company maintains a long-term organic sales growth target of 4% to 6%, with confidence in achieving the upper end of this range through strategic investments and market opportunities.
Negative
Frito Business Volume Decline: Volumes in the Frito business decelerated sequentially, indicating a decline in consumer demand despite significant reinvestment efforts.
Cautious EPS Guidance: EPS guidance for 2025 reflects a cautious approach, with lower expected leverage compared to previous years, signaling potential challenges in achieving growth targets.
Increased Interest Expense Impact: Higher net interest expense is anticipated due to rolling over debt at higher rates, which could pressure overall profitability moving forward.
Profit vs. EPS Growth: Operating profit growth is expected to exceed EPS growth guidance, suggesting underlying operational challenges that may not translate into shareholder value.
Low Single-Digit Sales Growth: The North American market is projected to experience only low single-digit organic sales growth, reflecting a subdued consumer environment and ongoing competitive pressures.
PEP FAQs
How does PEP typically perform around its earnings report dates?
Is PepsiCo Inc (PEP) Q4 2024 Earnings Call Summary positive or negative?
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PEP Earning Call Sentiment
Earnings call transcript: PepsiCo Q4 2024 sees slight EPS beat, stock dips
PEP.O
0.34%Positive
The earnings call summary presents mixed signals: cautious revenue and EPS guidance indicate potential market concerns, while strong international growth and strategic investments in Frito Lay and acquisitions provide positive aspects. The Q&A reveals a cautious yet optimistic management approach, with some unclear responses raising uncertainty. Overall, the sentiment is balanced, leading to a neutral prediction.
