Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, March 13, 2020

Article Excerpt

PEPSICO INC., $127.45, Nasdaq symbol PEP, remains a high-quality hold for your portfolio. The company is the world’s second-largest soft-drink maker after Coca-Cola. Its other brands include Frito-Lay snack foods, Gatorade sports drinks, Tropicana fruit juices and Quaker Oats cereals. PepsiCo continues to use acquisitions to cut its reliance on slowing sales of soft drinks. This week, it agreed to buy Rockstar Energy Beverages. That privately held firm makes energy drinks that feature high levels of caffeine. It also makes sugar-free and low-calorie drinks. PepsiCo will pay $3.85 billion for Rockstar. To put that in context, it earned $7.78 billion, or $5.53 a share, in 2019. The company plans to use its vast distribution networks to expand the international availability of Rockstar products; it already distributes Rockstar drinks in North America. However, constantly relying on acquisitions to fuel growth increases the risk to investors. PepsiCo recent coverage: March 2020 issue Hotline for December 6, 2019 TEGNA INC., $17.01, New York symbol TGNA, is still a buy. The company…