PEPSICO INC. - PepsiCo, Inc. (PEP) - 02/06/2024 (GMT)

Shares in PepsiCo, Inc (symbol ‘PEP’) managed to cover some of the losses incurred in the previous quarter, although still in overall loss year over year.  The company is expected to report its earnings for the fiscal quarter ending December 2023 on Friday 9th of February, before market open. The consensus EPS is $1.72 compared to the result for the same quarter last year of $1.67.  ‘The rather negative image of the company’s performance is reflected on the financial statements as well. As of 30 September 2023, the company did not have the ability to repay its short-term liabilities with the current assets at hand, with a current ratio recording just 88%. The company's net income took a beating in the first quarter of 2023 and has struggled since to recover to higher sales figures. On the other hand the dividend yield of the beverage giant is just shy of 3% which is overly appealing to longer term investors.’ said Antreas Themistokleous, an analyst at Exness.

On the technical side, the price has been trading in a triangle formation for the last four months, with the price approaching the end of this formation in the coming sessions. So far, the boundaries of the triangle have been respected without any whipsaw outside the formation. The price has reacted to the resistance of the upper band of the Bollinger bands recently and is currently correcting to the downside, with the 38.2% of the weekly Fibonacci retracement level acting as a support. The Stochastic oscillator is recording extreme overbought levels while the 50-day moving average has recently crossed above the slower 100-day moving average, indicating that the trend might still be bullish for the time being.