Goldman Sachs Comments On New PepsiCo Drink, Pepsi Next

According to Goldman Sachs, PepsiCo PEP management announced today at the Beverage Digest (an industry trade publication) conference that the company will be launching Pepsi Next (60% lower calorie cola) in two test markets in July. Goldman Sachs said that management believes that this product has a better taste proposition than the prior mid-calorie colas (Pepsi Edge) and offers a healthier alternative to consumers who do not want to compromise on taste. “We maintain our Attractive view on the US beverage sector. Pepsi is CL-Buy ($69.06) and KO is rated Buy ($65.12). Our estimates and price target are unchanged.” PepsiCo closed yesterday at $69.06.