PEP - PepsiCo Inc.

Example of pricing power but note that by 2026 they cut prices, so ceiling reached.

High gas prices and inflation hurting consumer snack purchases; CEO noted Iran war impact; stock fell 3.2% and is testing key support; expecting breakdown over next couple weeks.

Example of strong pricing power – raised prices 17% post-COVID with margin improvement and no customer loss.

Cited as a dividend-focused stock that doesn't grow and won't help compound wealth; host explicitly says investors will lose patience with it

A $15.32 million bullish call debit spread was placed targeting $44.68 million profit by September 18, 2026. Value stocks like Pepsi have been holding up well. CEO instituted 15% price cuts on Frito-Lay brands to win back consumers. Earnings on July 16th will provide an update. If market rotates out of tech, Pepsi could benefit.

Same reasoning as Coca-Cola — overvalued safe-haven staple, price appreciation is valuation-driven not fundamentals-driven

Rohan discusses Pepsi's acquisition of Poppi for $2B+ and their strategy of buying future brands. He notes Pepsi Zero is crushing it and that Poppi fits into their soda lineup. This is factual commentary, not an investment recommendation.

Used as an example of a dividend aristocrat with a 3.7-3.8% yield to compare against Apple's low yield. Illustrates that $1.3M invested would generate $50K/year in dividends.

Pepsi is stabilizing and forming a base at key $150 support. It was up 2.47% on the day. If it breaks above today's high of day around $158.50 at market open tomorrow, watch for a move similar to Friday's breakout. Perceived as a value stock providing consistency in volatile markets.

Host notes Pepsi is doing fairly well relative to peers, but does not give a strong recommendation. Neutral-to-positive.