PepsiCo, Inc. (symbol ‘PEP’) share price declined by around 6% in the third quarter of the month. The company’s earnings report for the fiscal quarter ending September 2023 is expected to be released on Tuesday 10th of October, before market open. The consensus EPS is $2.18, up from $1.97 in the same quarter last year.
‘As of 30/06/2023 the company’s financials are not looking great with the current ratio being at just 89% which means that the company has no ability to repay its short term liabilities with the current assets currently in possession. Also the long term debt makes up around 46% of the total liabilities of the company meaning that the company is mostly operating on debt rather than income generated funds. On the other hand the dividend yield is above 2.60% making the share of the beverage giant relatively attractive to long term investors. ’ said Antreas Themistokleous, trading specialist at Exness.
Technical analysis shows that the price is trading at a rather interesting area on the chart consisting of the 78.6% of the weekly Fibonacci retracement and the lower band of the Bollinger bands, Both of these technical indicators could act as a support on the price and cause some minor correction to the upside in the near short term. If this scenario plays out then it is possible to see some resistance around the $180 area which is made up of the psychological resistance of the round number, the previous high of late August and is also just above the 61.8% of the weekly Fibonacci retracement.
‘As of 30/06/2023 the company’s financials are not looking great with the current ratio being at just 89% which means that the company has no ability to repay its short term liabilities with the current assets currently in possession. Also the long term debt makes up around 46% of the total liabilities of the company meaning that the company is mostly operating on debt rather than income generated funds. On the other hand the dividend yield is above 2.60% making the share of the beverage giant relatively attractive to long term investors. ’ said Antreas Themistokleous, trading specialist at Exness.
Technical analysis shows that the price is trading at a rather interesting area on the chart consisting of the 78.6% of the weekly Fibonacci retracement and the lower band of the Bollinger bands, Both of these technical indicators could act as a support on the price and cause some minor correction to the upside in the near short term. If this scenario plays out then it is possible to see some resistance around the $180 area which is made up of the psychological resistance of the round number, the previous high of late August and is also just above the 61.8% of the weekly Fibonacci retracement.