Credit: Shutterstock photoPepsiCo, Inc. ( PEP ), one of the world's most recognizable names in the food and beverage industry, released their earnings report this morning, revealing positive news for the company and its investors. PEP beat on earnings, as our Zacks Consensus Estimate predicted EPS of $1.23, while the company actually posted an impressive EPS of $1.32 (also read Pepsi Going Strong ).
The soft beverage giant also beat revenue expectations. With sales of $15.92 billion it slightly topped our estimate of $15.81 billion. The market reacted to the news in premarket trading , opening over 2% higher since yesterday's close, and investors all over social media have been weighing in on Pepsi's latest numbers.
Positive reactions to early morning jump
Long term PEP investors were happy to see a solid report:
Although PEP was impressive before opening, the buzz didn't last long. As of now, share prices have fallen back down and are close to yesterday's close. Some on social media were quick to point out the short-lived hype:
Bottom Line
The regression back to yesterday's close is a bit more consistent with Pepsi's current Zacks Rank #4 (Buy). However, solid EPS and revenue growth could mean positive long term potential for the company, and this news could very well affect future earnings estimates. Check back soon to see if analysts start revising PEP's earnings estimates upwards. If the company has even more room to grow, we could see movement in their Zacks Rank and continued success in the market.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
