PepsiCo Inc Profit Margin
Data as of August 04, 2026
Profit Margin (TTM)
10.8%
Revenue (TTM)
$96.61B
Sector
Beverages
Ticker
PEP
How It's Calculated
What This Means
PepsiCo Inc's profit margin of 10.8% is solid for many industries, though norms vary widely in Beverages.
About PepsiCo Inc
PepsiCo Inc (PEP) operates in the Beverages sector, specifically in Beverages. With a market capitalization of about $190.48B, it ranks as a large-cap stock — a major established company.
Shares recently traded near $139.63, within a 52-week range of $133.73 to $171.48 (-18.6% from the high, +4.4% from the low). Beta of 0.37 indicates relatively lower volatility versus the market.
Trailing profit margin is about 10.8%, signaling a solid profit margin for its industry.
Understanding This Metric
Profit margin connects income-statement quality to valuation. For PepsiCo Inc, trailing margin summarizes how much revenue converts to net profit after costs. In Beverages, margins differ by business model — software and services often run higher margins than capital-intensive industries. Track margin trends across quarters; a stable or improving margin can support earnings durability, while sharp declines may warrant deeper review of guidance and competition.
Using This Number in Practice
At about 10.8% trailing profit margin, PepsiCo Inc (PEP) is in a range often seen among mature operators in its industry. For large revenue bases, even a one-point margin move can shift earnings materially, so trend matters as much as the spot reading.
When comparing PEP to alternatives, combine margin with return on equity, revenue growth, and valuation. Use our margin calculator for scenario work, and browse the PEP metrics hub plus sector peers in the comparison section above.
Sector Comparison
Among Beverages names on our S&P 100 coverage, PepsiCo Inc's profit margin of 10.8% can be compared with peers such as KO (28.6%), KDP (10.8%). Sector context helps interpretation, but each company's growth profile and balance sheet differ — use multiple metrics before drawing conclusions. View all Beverages stocks.
Key Takeaways
- PEP is grouped in the Beverages sector for peer comparisons.
- Recent beta of 0.37 suggests lower-than-market price sensitivity.
- Trailing profit margin of 10.8% provides context for how much earnings support the headline multiple.
Related Tools & Guides
Explore calculators and guides connected to this metric, or view all metrics for PEP.
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Frequently Asked Questions
What is PEP's profit margin?
Trailing profit margin measures net income as a percent of revenue. PepsiCo Inc's margin is about 10.8% on this snapshot — higher margins often support stronger valuation multiples in Beverages.
Is 10.8% strong for Beverages?
Peers in Beverages such as KO (28.6%), KDP (10.8%) help benchmark PEP's 10.8%. Margins vary by sub-industry and accounting cycle.
How often is profit margin updated?
Margins update after quarterly earnings; price-only fields refresh on trading days. Data as of August 04, 2026.
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