8 Best Consumer Staples Stocks To Buy Right Now

5. PepsiCo, Inc. (NASDAQ:PEP)  

Number of Hedge Fund Investors: 65

PepsiCo, Inc. (NASDAQ:PEP) is a global leader in the food and beverage industry, known for its popular soft drinks, snacks, and packaged foods. The company owns well-known brands like Pepsi, Mountain Dew, Lays, and Quaker. PepsiCo, Inc. (NASDAQ:PEP) operates in more than 200 countries.

PepsiCo, Inc. (NASDAQ:PEP) is well-positioned to capitalize on its dual strength in both the snacks and beverages sectors, giving it a significant advantage in the marketplace. The company’s ability to create bundled offerings or cross-promotions by leveraging its broad portfolio can help boost overall sales. Additionally, the company’s diversified product lineup enhances its bargaining power with suppliers and retailers, allowing it to negotiate more favorable terms and achieve economies of scale. With a strong global presence and well-established distribution networks, PepsiCo, Inc. (NASDAQ:PEP) is set to continue fueling long-term growth, supported by its robust research and development capabilities that allow for continuous innovation in its product offerings.

PepsiCo, Inc. (NASDAQ:PEP) is also embracing digitalization to improve operational efficiency and streamline its supply chain. Furthermore, the company is targeting long-term growth opportunities through evolving consumer habits, especially with Gen Z consumers who are shifting snacking patterns. By staying attuned to these changes, the company is in a prime position to capture a larger share of the snacking market.

From a financial perspective, PepsiCo, Inc. (NASDAQ:PEP) has consistently demonstrated its ability to navigate cost pressures through strategic price increases. The company’s strong pricing power has allowed it to grow revenues even with minor declines in organic volume, which has, in turn, bolstered earnings and cash flow.

This steady cash generation not only supports the company’s operations but also underpins its long-standing commitment to returning value to shareholders through dividends and share buybacks. PepsiCo, Inc. (NASDAQ:PEP) has raised its dividend for over 50 consecutive years and provides a reliable income stream to investors.