NEW YORK — Dec. 23, 2025 (After Market Close) — PepsiCo, Inc. (NASDAQ: PEP) ended Tuesday in the red even as the broader market pushed higher, a reminder that investors are still sorting out what PepsiCo’s activist-influenced “value + productivity” reset means for 2026—and how much near-term uncertainty to price in before the next earnings update.
PEP finished the regular session at $143.68, down 2.29%, lagging a risk-on day in U.S. equities that saw the S&P 500 rise and hover near record territory. MarketWatch
In after-hours trading, shares were essentially flat near $143.70 shortly after the closing bell—suggesting no major new headline hit the tape late Tuesday. Zacks
Below is what investors should know tonight—and what to keep an eye on before the market opens Wednesday, Dec. 24, 2025 (Christmas Eve).
PepsiCo stock price after the bell: the key numbers investors are watching
PepsiCo’s move on Tuesday was notable mainly because it came during a strong session for the broader market.
Here are the headline stats from the day:
- Close: $143.68 (down ~2.3%) MarketWatch
- Day range: roughly $143.6 to $147.5 StockAnalysis
- Volume: about 7.2 million shares StockAnalysis
- 52-week range:$127.60 to $160.15 (PEP is closer to the lower half of its yearly band) Nasdaq
- After-hours (early read): around $143.70, basically unchanged from the close Zacks
From a trader’s perspective, Tuesday also reset some obvious near-term reference points:
- The ~$143.6 area is now an immediate “line in the sand” after the day’s low. StockAnalysis
- The mid-to-high $147s becomes the first area bulls will want to reclaim, since that’s where the stock opened/peaked earlier in the session.
Why PepsiCo fell today while the market rose
There wasn’t a single definitive PepsiCo-specific headline late Tuesday that clearly “explains” a 2%+ drop. Instead, the move fits a pattern investors have seen throughout 2025: PEP trading like a “show-me” consumer-staples name during risk-on rallies—especially when investors favor growth and cyclicals.
A few forces likely contributed:
1) Staples underperformance in a “Santa rally” style tape
Market commentary this week has highlighted that stocks are moving with a seasonal, sentiment-driven tone as the year winds down—while some defensive sectors lag. Barron’s
2) Macro data is sending mixed signals for consumer demand
On the one hand, economic growth data released Tuesday showed strong Q3 GDP, reinforcing the idea that the economy held up better than feared. Reuters
On the other hand, consumer confidence weakened in December, with households still calling out inflation, policy uncertainty, and job-market concerns—factors that can matter for packaged-food and beverage volumes. Reuters
3) PepsiCo is still “in transition” after its Elliott-driven reset
Even supportive investors often treat transitions as a near-term overhang: cost cuts, SKU reductions, and price-pack changes can help margins, but they also raise execution questions (and can create uneven quarterly optics). PepsiCo has been very explicit that it is acting with urgency—yet some initiatives are multi-year in nature. PepsiCo
The PepsiCo storyline investors keep coming back to: Elliott, cost cuts, and a 2026 “growth algorithm”
A big part of the current PEP narrative is still the company’s response to activist investor Elliott and the broader effort to strengthen North America performance.
Over the last few weeks, coverage has focused on PepsiCo’s plans to:
- Reduce operating costs and simplify operations
- Cut nearly 20% of SKUs in the U.S. by early next year
- Emphasize “value” via price-pack architecture and affordability tiers
- Push innovation around “permissible” and functional products (simpler ingredients, more protein/fiber, etc.) PepsiCo
This is not just talk—PepsiCo says it has already closed three manufacturing plants and shut several lines, and it intends to drive a record year of productivity savings in 2026. PepsiCo
PepsiCo’s 2026 forecast: what the company is telling Wall Street
For investors looking beyond day-to-day price swings, PepsiCo’s own preliminary 2026 outlook is one of the most important reference points right now.
From PepsiCo’s December guidance update, the company expects:
- Organic revenue growth:2% to 4% in 2026 PepsiCo
- Reported net revenue growth: implied 4% to 6%, helped by acquisitions/divestitures and FX assumptions PepsiCo
- Core EPS growth: about 5% to 7% in 2026 (or 7% to 9% excluding impacts tied to global minimum tax regulations) PepsiCo
- Margin expansion goal: at least 100 bps of core operating margin expansion in aggregate over the next three fiscal years PepsiCo
- Dividend posture: PepsiCo reiterated its intent to pay and increase annual dividends, noting 53 consecutive years of increases (subject to board approval). PepsiCo
The “headline” for long-term holders: PepsiCo is trying to convince the market that 2026 is a pivot year—one where productivity savings + better value execution can coexist with renewed marketing and innovation investment.
Analyst forecasts and price targets: where Wall Street stands right now
Recent analyst updates have painted a split but not bearish picture: some firms see a reset that can lift returns in 2026, while others remain cautious on the speed of any North America rebound.
Notable recent moves include:
- Citi: raised its price target to $170 from $165, maintaining a Buy rating. Yahoo Finance
- Barclays: lifted its target to $144 from $142, keeping an Equal Weight stance. Yahoo Finance
- JPMorgan: upgraded PepsiCo to Overweight (from Neutral) with a $164 target, pointing to an “accelerated agenda” around innovation, marketing, and productivity. Yahoo Finance
The takeaway: targets span from the mid-$140s (more cautious, “wait-and-see”) to the mid/high-$160s and $170 (more optimistic on execution).
Legal risk on the radar: the PepsiCo–Walmart price-fixing class action
Another overhang investors continue to monitor is litigation tied to PepsiCo’s pricing relationships with retailers.
A proposed class action filed in federal court accuses PepsiCo and Walmart of conduct that allegedly inflated consumer prices for Pepsi soft drinks over a long period; Pepsi has denied wrongdoing in related matters referenced in coverage. Reuters
This isn’t necessarily a “tomorrow morning” catalyst unless there’s a new filing or court development—but it’s part of the background risk that can weigh on sentiment, especially when the stock is already struggling to show clean acceleration in North America.
(Separately, at least one plaintiff law firm publicly announced a newly filed antitrust class action on Dec. 23.) Grabar Law Office
What to know before the market opens tomorrow: Dec. 24 is an early-close session
1) The U.S. stock market has a holiday schedule twist
Wednesday, Dec. 24, 2025 (Christmas Eve) is a shortened trading day:
- NYSE and Nasdaq close early at 1:00 p.m. ET Intercontinental Exchange
- Markets are closed on Dec. 25 and reopen Friday, Dec. 26 MarketWatch
This matters for PEP because shortened sessions typically mean:
- Thinner liquidity
- Potentially wider bid-ask spreads
- More price sensitivity to even small news items
2) Markets remain open despite federal office closures
Even with federal government office closures announced for Dec. 24 and Dec. 26, major U.S. exchanges said they’re sticking with the planned trading calendar (early close Dec. 24; regular session Dec. 26). Reuters
3) Watch the morning macro calendar for tone-setting headlines
Market calendars highlight initial jobless claims at 8:30 a.m. ET on Dec. 24 as one of the key scheduled releases. MarketWatch
Even if PepsiCo-specific news is quiet, early macro headlines can move the “defensive vs. risk-on” factor trade—and that can spill into consumer staples like PEP.
A practical “PEP checklist” for Wednesday’s open
If you’re watching PepsiCo stock into the Dec. 24 open, here’s what tends to matter most:
- Any fresh Elliott / cost-cut / restructuring headlines
PepsiCo has already laid out the framework; investors react most to concrete updates on execution, pricing architecture, and North America traction. PepsiCo - Litigation developments (if any hit premarket wires)
Anything new tied to the Walmart-related allegations can move the stock quickly in a thin session. Reuters - Sector tape: staples vs. tech
If the market continues leaning “risk-on,” staples can lag even without negative PepsiCo news. Barron’s - Key levels from today’s session
- Support focus: ~$143.6
- Resistance focus: ~$147–$148, then $150 (psychological and recent trading area) StockAnalysis
- Next fundamental milestone: earnings date is set
PepsiCo said it will report Q4 and full-year 2025 results on Tuesday, Feb. 3, 2026, including a Q&A session for analysts. PepsiCo
Bottom line
PepsiCo stock fell about 2.3% on Dec. 23 and was basically unchanged after-hours, leaving investors with a familiar setup: a defensive blue chip in the middle of a high-visibility operational reset, heading into a holiday-shortened session on Dec. 24. MarketWatch
For the next few weeks, PEP’s direction will likely hinge less on day-to-day market noise and more on whether investors gain confidence that PepsiCo can execute its 2026 plan—improving value, simplifying the portfolio, and delivering productivity savings—without sacrificing brand momentum. PepsiCo
