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PepsiCo's slow North American recovery keeps shares undervalued, UBS says, maintaining a buy rating.

Company Fundamentals
02 Oct 2026
Proactive Investors
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Bearish
PepsiCo's slow North American recovery keeps shares undervalued, UBS says, maintaining a buy rating.

UBS highlights that PepsiCo's slow recovery in North America is already reflected in its current valuation, making the stock attractive for medium-term investors. The broker maintains a buy rating despite PepsiCo's third-quarter earnings forecast of $2.28 per share, slightly below consensus. UBS notes underperformance compared to peers and cautious growth outlooks for North American foods and beverages through 2026 and 2027, with expected modest improvements and ongoing cost pressures. The company is expected to reiterate guidance but may face weaker sales growth and rising costs.

PepsiCo trades at USD 125.81 on Pluang as of Oct 03, 2026 02:31 WIB, near its 52-week low of USD 125.64, with a slight 1-day gain of 0.14%. Despite UBS highlighting a slow recovery and cautious growth outlook, Pluang investors show a strong buy sentiment with 71% of order activity favoring purchases. The stock's dividend yield stands at a notable 4.67%, supporting its appeal amid ongoing cost pressures and modest sales growth expectations.

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