PEP stock verdict - Avoid
PEP
PepsiCo, Inc.
AVOIDConsumer Defensive
$128.63
Fundamentals below bar
$128.63
Heavy$99.53Buy$120.86Fair$142.19Exit$156.41
VALUE52
GROWTH7
QUALITY78
TECHNICAL—
TRUST SCORE
100High
confidence in this read — data completeness, earnings quality & coverage
Technicals: insufficient price history
PROS
- Reasonable forward P/E of 14.4× on analyst estimates
- Strong return on equity of 47.3% (TTM)
- Balance sheet holds net cash (cash exceeds total debt)
- Healthy free-cash-flow yield of 5.3%
CONS
- High leverage — debt-to-equity of 2.39
- TTM EPS fell 13.7% year-over-year
✳ Pros and cons are machine-generated from the latest fundamentals and technicals.
EARNINGS QUALITY · we check the accounting so you don't have to
✓Operating cash flow is 129% of net income — profit is backed by real cash
Analysis as of 2026-09-25 · price live, fundamentals from latest filings
Congress Trading — last 90 days
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📊 Options Flow — Put/Call Ratio
FAQ
Why is PEP rated Avoid?
PEP (PepsiCo, Inc.) is rated Avoid because the model combines fundamentals, price action, and earnings-quality checks. The current signal is Fundamentals below bar. Reasonable forward P/E of 14.4× on analyst estimates and Strong return on equity of 47.3% (TTM)
Is PEP overvalued right now?
PEP is trading at $128.63 versus an estimated fair value of $142.19. That puts the stock in avoid territory on this framework. High leverage — debt-to-equity of 2.39 and TTM EPS fell 13.7% year-over-year
What should I watch before acting on PEP?
Watch the trust score of 100, the earnings-quality checks, and any red flags. High leverage — debt-to-equity of 2.39 and TTM EPS fell 13.7% year-over-year