Here's How Much PepsiCo Stock Is Expected to Move After Earnings

PepsiCo is scheduled to post its latest quarterly results ahead of the opening bell Thursday. The food and beverage giant’s stock could undergo a sizable swing to finish the week. Based on current options pricing, PepsiCo (PEP) shares are seen moving as much as 4% in either direction by the end of the week. A move of that size from Monday’s close of $143.29 could see shares rise to nearly $149, their highest point in over a month, or fall to below $138, near their lowest point of the year. Pepsi shares fell slightly Monday on a solid day for stocks broadly, with the Dow closing at a new record high. PepsiCo and fellow household names like Delta Air Lines and Levi Strauss are each set to report earnings this week, kicking off the second-quarter earnings season and providing fresh insights on how American consumers fared in the second quarter. Through Monday, Pepsi shares were down about 16% from their February highs as worries about the Iran war stoking inflation have fueled concerns that consumers are getting more selective with their grocery budgets. Analysts from UBS and Bank of America recently trimmed their price targets to $172 and $164, respectively, from $186 and $173, citing concerns with recent sales trends in Pepsi’s North American snack foods business. The UBS analysts said it is “not surprising that Pepsi shares have been under considerable pressure” in the last few months as sales seemed pressured in May and June.