New York, Feb 15, 2026, 15:46 EST — Market closed
Shares of PepsiCo Inc (PEP) slipped 0.8% to close at $165.94 on Friday. The stock moved between $165.00 and $167.88 through the session, with volume around 9.3 million shares.
That sends the stock into a holiday-shortened stretch, with NYSE trading dark on Monday for Washington’s Birthday and picking back up Tuesday. Fewer sessions often mean lighter volume, so any macro news could hit harder. (New York Stock Exchange)
PepsiCo’s immediate focus comes back to its February 3 update. Management stuck with its 2026 targets, raised the annual dividend to $5.92 per share from $5.69—kicking in with the expected June payout—and rolled out a fresh buyback plan that could reach up to $10 billion by February 28, 2030. For 2026, PepsiCo still sees organic revenue climbing 2% to 4% (excluding FX and acquisitions) and core EPS growing 4% to 6% on a constant-currency basis. Total cash returns to shareholders for this year? Roughly $8.9 billion, by the company’s count. CEO Ramon Laguarta called the moves an effort to “offer sharper value” with customers getting more price-conscious. (PepsiCo Investors)
Despite softening U.S. inflation easing bond yields, Friday saw weakness persist. January CPI increased 2.4% from a year earlier, coming in under the 2.5% consensus. The Dow edged up 0.10%, the S&P 500 managed a 0.05% gain for the day, according to Reuters. (Reuters)
Phil Orlando, chief market strategist at Federated Hermes, summed it up after the numbers dropped: “The inflation report is better than expected.” He called it “good news for the Fed”—just as investors weigh when rate cuts might actually happen, and how quickly. (Reuters)
Investors watching PepsiCo are trying to figure out how aggressively the company can lean into “value” offerings before profit margins get squeezed. On Feb. 3, PepsiCo announced it would drop U.S. prices on key snack lines—think Lay’s, Doritos—by up to 15% following consumer resistance to previous hikes. The company also highlighted portion-control snacks, noting the uptick in GLP-1 weight-loss drug usage. (Reuters)
During the earnings call, Laguarta pointed to “the biggest friction” among certain shoppers: affordability remains a sticking point, especially for low- and middle-income buyers. CFO Steve Schmitt chimed in: “we’re playing offense here,” saying the North America investment plan is “manageable” and has already been factored into guidance.
Peers finished the session with mixed results. Coca-Cola slipped 0.4%. The Consumer Staples Select Sector SPDR Fund (XLP), on the other hand, closed about 0.3% higher.
The board at PepsiCo declared a quarterly dividend of $1.4225 per share, with payment set for March 31 to shareholders on record as of March 6. (PepsiCo)
But the focus on affordability isn’t risk-free. Should cheaper shelf prices fall flat in boosting volume, PepsiCo might sacrifice margin without much to show for it—particularly if rivals roll out their own deals and retailers push for extra incentives to keep products on shelves.
Rate-watchers are looking to Wednesday, when the Federal Reserve drops minutes from its Jan. 27-28 meeting. That release hits at 2:00 p.m. ET on Feb. 18. (federalreserve.gov)
