What's Going On With PepsiCo Stock Today?

PepsiCo Inc PEP shares are trading higher Thursday morning after the company reported better-than-expected financial results, driven by effective net pricing increases. PepsiCo also raised its annual dividend.

What Happened: PepsiCo said fourth-quarter revenue increased 10.9% year-over-year to $28 billion, which beat consensus estimates of $26.84 billion. The company reported quarterly earnings of $1.67 per share, which beat average analyst estimates of $1.65 per share.

Operating profits for Frito-Lay North America were up 9% year-over-year, while PepsiCo Beverages in the same region jumped 13%. Quaker Foods North America segment operating profits were down 3%.

"Moving forward, we will continue to focus on driving growth and winning in the marketplace while developing advantaged capabilities to fortify our businesses for the long- term," said Ramon Laguarta, chairman and CEO of PepsiCo.

For full-year 2023, PepsiCo said it expects to deliver 6% organic revenue growth and 8% core earnings growth on a per-share basis. Full-year earnings are expected to come in at $7.20 per share versus estimates of $7.30 per share.

PepsiCo also raised its annualized dividend by 10% to $5.06 per share.

See Also: US Stocks On Recovery Course As Earnings Lend Support: Fed's Hawkish Stance May Unwind Rally In High-Value Names, Says Analyst

PEP Price Action: PepsiCo has a 52-week high of $186.84 and a 52-week low of $153.37.

The stock was up 1.78% at $174.20 at the time of publication, according to Benzinga Pro.

Photo: courtesy of PepsiCo.