Buy PepsiCo Shares: Before Investing Read Here
Published: 1 January 2021 by Valentina
Although Coca Cola is certainly more famous, PepsiCo has in reality a turnover almost double that of its historical rival. Does this mean that buying PepsiCo shares is a good investment?
You will find this out by reading our guide. OnlineTradingCourse.net is the leading site for the investment analysis, which offers realistic and impartial forecasts. We will analyze this company in a very thorough manner.
Let’s start with necessary steps to buy PepsiCo shares safely:
- Choose a CFD Broker that offers a safe and commission-free platform.
- Practice on the Demo account.
- Make a small deposit and start investing on the real market.
The analyzes carried out leave us no doubt: eToro is the best CFD Broker where to buy PepsiCo shares safely and without paying commissions, but it is not the only one:
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PepsiCo shares: Real-time listing and price
PepsiCo: General information
Pepsi was born from an idea of the pharmacist Caleb Bradham, who coined the name “Pepsi-Cola” back in 1898 and registered the Pepsi-Cola Company in 1902.
PepsiCo, Inc. is currently an American giant that produces and distributes food and beverages. The headquarters of this multinational is in Harrison, New York and was formed in 1965 with the merger of Pepsi-Cola Company and Frito-Lay, Inc.
PepsiCo has since pushed its boundaries with both the popular sugary drink and other snacks and drinks. In 1998, the company acquired Tropicana Products and in 2001 it added the Gatorade brand.
PepsiCo’s products are distributed in over 200 countries around the world making this multinational the second largest food and beverage company in the world after Nestlè and before its eternal rival Coca-Cola.
PepsiCo Inc. is listed on the New York Stock Exchange and is part of the NASDAQ, S&P 500 and some other world-class stock indices.
How to buy PepsiCo shares
We all know this is a giant company, but how do you buy PepsiCo shares?
It is actually simpler than you might think: You can invest directly online using a CFD Broker that has these characteristics:
- It must offer CFDs, contracts that allow you to trade on any stock both up and down (short selling).
- You don’t have to pay commissions
- It must have at least one license issued by FCA or CySEC
To buy PepsiCo shares (or sell them) on one of the platforms offered by these online brokers, you have to:
- Buy the PepsiCo CFDs to make money if the stock goes up.
- Sell the PepsiCo CFDs to make money if the stock goes down.
When the price reaches the desired quotation, the operation is closed and any net profit is collected, without commissions.
Where to buy PepsiCo shares
Now we need to choose the best CFD brokers. In order to do it, we need to evaluate the platform, the services offered, the support provided, and the assistance for the investors.
OnlineTradingCourse.net has already done these analyzes and has chosen the best platforms where to buy PepsiCo shares: eToro, ForexTB and Trade.com.
Here is a brief description of these brokers and their trading platforms.
eToro: Security and speed
eToro is the CFD Broker par excellence, the market leader, and its reliability is confirmed by FCA and by millions of users who use its trading platform every day.
Here’s what the PepsiCo title looks like in the eToro platform:
To buy PepsiCo shares (or sell them), you have to click on “Invest”, decide whether to Buy or Sell the stock, and how much to invest in the operation.
Its fame comes not only from the intuitive platform but also from a revolutionary patent called Copy Trading.
This system allows you to copy the market transactions of the best investors in the world (chosen directly on eToro), in a fully automated manner and at no additional cost.
To use Copy Trading you have to follow these steps:
- Register on eToro
- In the section “people”, you can choose the traders to copy based on the performance.
- With a click, Copy Trading will copy exactly the same operations of the chosen traders in your account.
- At this point, you will get the same returns as these trading experts (of course, in proportion to your investment), without doing anything else.
Here are some of the best eToro Traders (which can be copied):
Both Copy Trading as well as traditional trading can also be tested on a free Demo account, without taking real risks.
For more details you can read our full eToro review.
ForexTB: Operational support
ForexTB has distinguished itself in the world of trading intermediaries thanks to its operational support and its training courses.
The security of ForexTB is guaranteed by CySEC, which allows it to offer its services throughout Europe and the UK.
Traders are not all the same and ForexTB tries to meet their needs by offering two trading platforms, both free:
- The web platform is easy to use and can be entered from any browser without downloading any software.
- Metatrader 4 is more technical and full of professional indicators and meets the needs of the more experienced traders.
Below, you can see the PepsiCo CFD on the ForexTB web platform:
To buy PepsiCo shares (or sell them) simply click on Sell or Buy and decide how much money to invest in the operation.
ForexTB’s famous trading support is based on the Free Trading Signals which are sent to all investors. These indications are very precise and are successful 70% of the time, an excellent support for online trading.
ForexTB tries to help above all novice traders and for this reason, it has created for free a Trading Course considered among the best in its category. This ebook summarizes the basics of online trading and allows you to learn technical analysis in a simple way and with practical examples.
Trade.com: Free training
Trade.com is an online brokers very appreciated especially by novice traders.
Its trading platform is very professional, full of high quality tools and indicators. Safety is guaranteed by the FCA license.
Here’s what the PepsiCo CFD looks like in the Trade.com trading platform:
To buy (or sell) PepsiCo shares you have to click on Buy (buy) or Sell (sell) and decide how much to invest in the operation.
Trade.com relies heavily on training, which is necessary to improve the performance of its users. The notions of technical analysis are the basis of a good profit in trading and this Broker has created a very complete trading course, a pdf that can be downloaded for free using the link below:
To open a real account with Trade.com you need at least 100 Euros, an amount lower than the average. However, to get started there is always the totally free and unlimited Demo account.
PepsiCo business model
Thanks to the business model of PepsiCo, sales have been almost unchanged compared to the same period a year ago.
The huge quantity and variety of snacks and drinks that this multinational distributes has not suffered major damage due to the pandemic; indeed, in some sectors, the turnover has seen growth, balanced by the declines of some products closely related to catering.
In the numbers below, you can see a summary of PepsiCo’s turnover.
- Revenue: $ 67.16 billion
- Net profit: $ 7.353 billion
- Total Net Worth: $ 14.87 billion
- Market capitalization: $ 188 billion
- Number of employees: 267,000
Is buying PepsiCo shares worth it?
While some consumers may hesitate to buy an expensive shirt or a new car when the economy is so unstable and income is falling, no one stops eating and drinking.
A cold drink or snack remains a part of most people’s habits and PepsiCo benefits from it.
Is this enough to say that buying PepsiCo shares is worthwhile? Maybe not, but to give you an idea of the historical performance of this multinational, here is the graph of the stock:
The upward trend is truly amazing, during an economic crisis there are some slight slips but then the recovery is strong. The stock will resume its upward race making PepsiCo a profitable investment.
Companies ranging from Carnival to Boeing to Marriott International have cut dividends; PepsiCo didn’t.
Today, its market cap is $ 188 billion and the total return to shareholders is very positive, which is truly incredible given the uncertain period.
PepsiCo’s competitors are obviously the great international food and beverage giants, but no one is currently able to reach the leadership position achieved by PepsiCo (except, as said, Nestlè)
PepsiCo Shares forecasts
Restaurant and bar closures have penalized the performance of PepsiCo’s beverages, but snacks went up by 4% over the same period.
This trend is ideal for PepsiCo, which does not falter in the slightest during this crisis.
The only limit that PepsiCo is trying to remedy is the excess sugar in its drinks and snacks, which are not in line with the health-conscious streak that is beginning to spread on a global scale.
The PepsiCo stock price quickly recovered from the slump seen in March 2020 and is now looking to make new rising highs.
To provide you with a clearer forecast on the future performance of this stock, here are the analyzes of the major international investment banks:
- BidaskClub has upgraded the PepsiCo stock from a “sell” rating to a “buy” rating.
- Morgan Stanley has reaffirmed a “buy” rating on PepsiCo shares.
- SunTrust Banks raised PepsiCo’s stock target from $ 125.00 to $ 130.00 and gave the company a “pending” rating.
- Jefferies Financial Group raised PepsiCo’s target share price from $ 130.00 to $ 135.00 and gave the company a “pending” rating.
PepsiCo shares: Target price
Leading Wall Street analysts have issued bullish valuations for PepsiCo, especially over the longer term. Their twelve-month average target price is $ 142.87, predicting that the stock could possibly rise by 7.26% within a year.
After a careful analysis of the company, the business model, and the turnover, we were able to provide you with a global view of the performance of this stock.
Buying Pepsi shares still seems like an excellent investment despite the difficult time the economy is going through, but it is necessary to focus on the long term.
If you are a novice trader, it is better to start from a Demo account, after having practiced, you can make the minimum deposit required by the Broker and move on to trading with real money, which certainly offers great satisfaction.
Here are the official links of the free Demo accounts offered by the best trading platforms:
- Practice the eToro Demo account for free by clicking here
- Register for free on ForexTB and access the Demo account from this link
- Access the Trade.com Demo account for free from this link
Yes, the company is solid but to optimize the strategy it is preferable to read our guide in full.
To buy PepsiCo shares safely it is preferable to use CFD Brokers.
PepsiCo’s 12 Month Target Price is $ 142.87 per share.
The best platform to invest in PepsiCo is that of eToro, safe and without commissions.