How PepsiCo Can Finally Break Out to New Highs on Earnings


PepsiCo  (PEP) – Get Report has done well this week, jumping more than 3% as investors gear up for earnings.

The company will report its quarterly results on Thursday before the stock market opens. The stock has reclaimed and held several key levels this week.

However, PepsiCo is among the group of stocks that’s been unable to make new highs amid this run. While the S&P 500 has hit new highs, PepsiCo remains stubbornly below resistance.

On the plus side, it’s handily beating its biggest peer, Coca-Cola  (KO) – Get Report.

For the year, PepsiCo has risen 1%, besting Coca-Cola’s 11% decline. While the two have similar performances over the last six months, PepsiCo is just 6.2% off its highs vs. down 18% for Coca-Cola.

The stock’s reaction was relatively muted to its last earnings beat, but bulls are hoping to get more of PepsiCo this time around. Can PepsiCo make new highs on earnings? 

PepsiCo is a holding in Jim Cramer’s Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells PEP? Learn more now.

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