Pepsi’s North America business is weighing it down
PepsiCo shares fell Tuesday morning after it reported sales that missed Wall Street estimates and gave investors a weak outlook for 2025.
The company reported $27.8 billion, slightly below what analysts polled by FactSet were expecting, sending the stock down more than 2% at market open. PepsiCo also said it expects to see a low single-digit increase in organic revenue for 2025.
The company’s disappointing sales were largely attributed to its lack of growth stateside, particularly in its Quaker Foods sector, which has seen a decline in organic growth for five straight quarters. Quaker Foods is still reeling from a December 2023 recall on some of its granola bars and cereals, the company said. Its Frito Lay sector has also seen a decline in organic growth for two straight quarters.
