Filed under: Rumors, PepsiCo (PEP), China, Newsletters, Bargain stocks, Eastern Europe, Stocks to Buy
“Things are going well at PepsiCo (NYSE: PEP), in fact, very well,” says Tom Slee, a contributing analyst with Internet Wealth Builder who sees strong operating results, defensive characteristics for a volatile market, and an increasing focus on healthier products.
Second-quarter earnings, he notes, jumped a 17%, to 94c a share, up from 80c in 2006. Analysts were looking for 89c at most. According to Slee, “There was progress across the board.”
Indeed, he observes, “All the operating divisions beat expectations and as a result Pepsi has increased 2007 earnings guidance to at least $3.35 a share. We should see $3.80 or more in 2008.”
The advisor says, “This is an excellent stock to own in these volatile markets.” He continues, “Everything points to continued earnings and cash flow growth in the U.S. soft drinks industry.”
He points out that history shows that people keep buying these beverages even during economic downturns. So, he says, Pepsi is likely to be unaffected by any fallout from the housing slump.”
Continue reading PepsiCo (PEP): Portfolio ‘pop’
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