PepsiCo is currently operating in a wide 52-week range, with a high of $75.25 and a low of $43.78. PepsiCo's solid dividend (43 cents) and yield (3.22%). Low ingredient costs have been a boon to PepsiCo of late thanks to the ride down the deflationary ladder in the wake Lehman Brothers collapse. Reflation is will become a greater source of concern for food and beverage makers if they are hit concurrently with slowing consumer spending and higher ingredient costs. Margins could be impacted negatively. Yes PepsiCo's FritoLay division has built in strength that could provide a buffer to tightening margins or currency fluctuations. As of early April, PepsiCo will likely continue to trade alongside the broad market regardless of its strong balance sheet.
2010 © Better Trades | Contact Us