Barclays Sees Defensive Appeal in PepsiCo (PEP) but Flags 2026 Risks

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On January 16, Barclays raised PepsiCo, Inc. (NASDAQ:PEP) terms people to $148 from $144 and kept an Equal Weight standing connected the stock. The steadfast updated terms targets crossed the user staples radical arsenic portion of its Q4 net preview. Barclays said the caller “enthusiasm” astir PepsiCo shares reflects “a formation to safety.” At the aforesaid time, the expert said the steadfast remains acrophobic astir company- and sector-level fundamentals. Barclays besides warned that lipid and currency headwinds could amusement up successful 2026, according to the probe note.

In a abstracted development, a January 21 Reuters study said Engie has secured a 10-year statement to proviso biomethane for PepsiCo UK. Engie described it arsenic the archetypal woody of this benignant betwixt a biomethane shaper and a nutrient manufacture institution successful Britain.

Under the agreement, PepsiCo UK volition acquisition 60 gigawatt hours of biomethane each twelvemonth from Engie’s recently built anaerobic digestion works successful Northern England. The installation is expected to commencement operating successful the 2nd fractional of 2027. Engie said it volition present renewable state equivalent to the yearly depletion of astir 5,000 households.

Britain’s Department for Energy Security valued the concern astatine £70 cardinal ($94 million).

PepsiCo, Inc. (NASDAQ:PEP) is simply a planetary nutrient and beverage institution that manufactures, markets, and sells a ample portfolio of snacks, drinks, and meal items, including large brands.

While we admit the imaginable of PEP arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None.