Stephen Powers Is Bullish On PepsiCo
He explained that the first half of this year has shown the evidence that PepsiCo has turned a corner. The company has a lot of strength in its North American business and in international snacks business.
Powers thinks that the momentum in the North American beverage business is building through productivity efforts, which will be visible in the bottom line instead of the top line. He also believes that Nelson Peltz's efforts are going to be crucial for the performance of this stock and he sees his presence as a positive pressure on the board to keep up the performance.
PepsiCo had a good year-to-date in comparison with The Coca-Cola Company (NYSE: KO) added Powers. He believes that investors stand a better chance with Pepsi than with Coke because Pepsi is creating opportunities for itself independent of the environment in which it is operating. He thinks Coke is playing the same cards that it has been playing for years and in environment that is getting tougher it is hard to see how the stock breaks out.
Latest Ratings for PEP
|Sep 2014||Cowen & Company||Initiates Coverage on||Outperform|
|Aug 2014||Nomura||Initiates Coverage on||Reduce|
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.