PepsiCo, Inc.

PEP
Consumer DefensiveDividend King
$149.40
3.81%Undervalued

PepsiCo, Inc. (PEP) is a Consumer Defensive company that currently yields 3.81% — historically undervalued based on 10 years of dividend yield history. The Weiss valuation model places the undervaluation threshold at $145.48 and the overvaluation threshold at $205.70. PepsiCo, Inc. holds a quality score of 42/100 (Average), reflecting 9 consecutive years of dividend growth with a 89% payout ratio. The 5-year dividend CAGR stands at 6.9%.

PEP Dividend Yield History — Weiss Valuation

Underval. $145.48Overval. $205.70
Price
Undervalued band
Overvalued band

Why Now?

PepsiCo, Inc. is trading near its historical undervaluation band.

Current yield 3.8% vs historical max 3.9% (97% of maximum).

9 years of uninterrupted dividends.

Elevated payout ratio of 89%.

PEP Dividend Income Projection — DRIP Compounder

Dividend Compounder (DRIP)

$

Year 1 Income

$407

Year 10 Income

$1,191

Yield on Cost

12.8%

Total Income

$7,236

Assumes dividends reinvested at current price. Simplified model — for illustrative purposes only.

PEP Dividend Quality Score

Quality Score

42/ 100

Average

Payout Ratio0/25
Dividend Streak12/25
Growth (CAGR 5Y)15/20
Yield vs History15/15
FCF Coverage0/15

Key Metrics

Current Price$149.40
Annual Dividend$5.69
Current Yield3.81%
Yield — Max (10Y)3.91%
Yield — Min (10Y)2.77%
Undervalued Below$145.48
Overvalued Above$205.70
Payout Ratio89.32%
CAGR Dividend 5Y6.9%
CAGR Dividend 10Y
Years No Cut9y
9
consecutive years of dividend growth