Cola-maker Pepsi today reached a new all-time high of $74.96 in the wake of reaffirming its positive fiscal 2007 earnings outlook.
The maker of such products as Aquafina, Gatorade, Lipton Iced Tea, SoBe, Mug Root Beer, Starbucks Frappuccino, Tropicana, and the loveable carbonated classics like Pepsi, Mountain Dew (my favorite), and Sierra Mist, today announced a 2007 earnings outlook consisting of a minimum $3.39 a share with core earnings of at least $3.35 a share. Analysts on average predict earnings of $3.38 a share.
Technically speaking, the equity has been on a steady incline for months. Since being on par with Dow component Coca-Cola in 2004, shares of Pepsi have bested its competitor by an average of 15 points ever since.
Though the equity has mounted Coke for more than 3 years running, analysts polled by Zacks find the duo as practically mirroring one another. Both PEP and KO currently hold 5 strong buy ratings, with PEP having 3 buy and hold ratings and KO having 4 buy and hold ratings; neither cola-maker hold sell or strong sell ratings. Despite Pepsi muscling past Coke, though, the former holds a Zacks rating of 3, while the latter holds a better rating of 2.
In light of the good tidings, as of 2:45 p.m. Eastern time, shares of PEP today have tallied more than 2%. Coca-Cola shares haven't done too shabbily today, either, posting a 0.75% (yawn) gain.