PEP

$167.53

Public overview and default valuation.

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Valuation Details
Default assumptions: 10Y forecast, 9% market return, 2.5% terminal growth, 2.92% trendline growth.
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$376.69

With 20% Margin of Safety (MoS):

$301.35
79.88% upside
Capital Efficiency
Average Quarterly ROIC
3.88%
Cost of Capital (estimated)11%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.
Fundamental Score
54
NeutralWeighted across 6 signals
DCF Discount
79.9% discount to price
100
FCF Yield
7.2% trailing FCF yield
100
ROIC vs WACC
ROIC 3.9% vs WACC 11.0% (0.4x)
18
Net Debt / FCF
2.4x net debt to FCF
18
Buybacks
Share count shrinking
80
FCF CAGR (5Y)
2.1% 5Y FCF CAGR
25
Strengths: DCF Discount, FCF Yield. Concerns: ROIC vs WACC, Net Debt / FCF.
Narrative Score
80
Strong
Weighted across 6 recent drivers · Last 30 daysVs 6-Month Baseline: High (92th pct)
Trend: Improving upConfidence: 100%Updated: 3h ago
Sources: 209 (News 200 · Analyst 9)
Drivers
121 news sentiment+4.4
66 regulatory scrutiny-1.1
6 earnings beat+0.9
Downgrade headlines-0.3
3 promotions/discounting-0.2
2 upgrade headlines-0.0
Other Metrics
P/E27.9
Profit Margin8.8%
Owner Earnings$15.46b
One Dollar Premise93.00%
Debt/Equity4.49
Current Ratio0.84
PEG1.985
Free Cash Flow (in millions)
20062007200820092010201120122013201420152016201720182019202020212022202320242025
$8,152$9,364$9,445$8,924$11,701$12,283$11,193$12,483$13,365$13,338$13,444$12,963$12,697$13,881$14,853$16,241$16,018$18,960$17,825$16,502
How Intrinziq Estimates Fair Value

Intrinziq estimates PepsiCo, Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

PepsiCo, Inc.Consumer Defensive

PepsiCo, Inc. manufactures, markets, distributes, and sells various beverages and convenient foods worldwide. The company operates through seven segments: Frito-Lay North America; Quaker Foods North America; PepsiCo Beverages North America; Latin America; Europe; Africa, Middle East and South Asia; and Asia Pacific, Australia and New Zealand and China Region. It provides dips, cheese-flavored snacks, and spreads, as well as corn, potato, and tortilla chips; cereals, rice, pasta, mixes and syrups, granola bars, grits, oatmeal, rice cakes, simply granola, and side dishes; beverage concentrates, fountain syrups, and finished goods; ready-to-drink tea, coffee, and juices; dairy products; and sparkling water makers and related products. It serves wholesale and other distributors, foodservice customers, grocery stores, drug stores, convenience stores, discount/dollar stores, mass merchandisers, membership stores, hard discounters, e-commerce retailers and authorized independent bottlers, and others through a network of direct-store-delivery, customer warehouse, and distributor networks, as well as directly to consumers through e-commerce platforms and retailers. The company was founded in 1898 and is headquartered in Purchase, New York.

Last updated: Feb 06, 2026
Data sources: Financial Modeling Prep
This valuation is based on assumptions and publicly available data. It is not financial advice or a recommendation to buy or sell any security. Always do your own research before making investment decisions.