PepsiCo, Inc. (symbol ‘PEP’) share price has gained back all the losses incurred in the first quarter of the year and is currently trading at a slight profit. The company’s earnings report for the fiscal quarter ending March 2023 is set to be released on Tuesday 25th of April, before market open. The consensus EPS for the quarter is
1
,37 compared to the same quarter last year of
1
,29. ‘ The company’s share has been trading in a steady uptrend since early March with the technical indicators further supporting this notion of strong bulls. On the other hand the current ratio is not looking very nice since it is at 80% showing that the company does not have the ability to repay its short term liabilities with the current assets that are currently in possession.’ said Antreas Themistokleous at Exness. ‘The dividend yield however of over 2.5% and the payout ratio of more than 70% make the share price of the beverage giant an attractive addition to investors portfolios’
From the technical analysis perspective the price has been trading in strong bullish momentum testing the upper band of the Bollinger bands for a period of two weeks. This shows that there was high volatility in the market while at the same time the 50 SMA is on the move to cross above the 100 SMA in the coming sessions further validating the bullish trend in the market.
Although the overall movement for the price is bullish there are still some signs of a correction since the Stochastic oscillator has been recording overbought levels for the past month. In such a case we might see some support around the
182
price area which consists of the 20 day moving average and the 78.6% of the weekly Fibonacci retracement level.