Pepsi Shares Face Headwinds from Weight-Loss Drug Trend

PepsiCo, the beverage and snack food titan headquartered in Purchase, New York, is confronting an emerging market challenge that few had anticipated: the rising popularity of weight-loss medications. Although the firm continues to deliver reliable dividend payments, market analysts are growing skeptical about its growth trajectory, leading to downward revisions in their forecasts. The central question for investors is whether Pepsi can successfully navigate this new landscape or if it faces a period of sustained pressure.

For investors focused on income, PepsiCo recently announced encouraging news. The board has authorized a 5% increase in the quarterly dividend, raising it to $1.4225 per share. This adjustment translates into a yield of approximately 3.9%, maintaining the Read more...