PEP vs. STZ: PepsiCo vs. Constellation Brands Stock Comparison
How do PepsiCo (PEP) and Constellation Brands (STZ) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
PepsiCo (PEP) and Constellation Brands (STZ) both belong to the Beverages industry, though PEP is classified under Soft Drinks & Non-alcoholic Beverages while STZ falls under Distillers & Vintners.
| Profile Item | PEP | STZ |
|---|---|---|
| Name | PepsiCo, Inc. | Constellation Brands Inc. Class A |
| Country/Region | United States | United States |
| GICS Sector | Consumer Staples | Consumer Staples |
| GICS Industry Group | Food, Beverage & Tobacco | Food, Beverage & Tobacco |
| GICS Industry | Beverages | Beverages |
| GICS Sub-Industry | Soft Drinks & Non-alcoholic Beverages | Distillers & Vintners |
| Market Capitalization | 192.61 billion USD | 24.02 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | NYSE |
| Listing Date | June 1, 1972 | March 17, 1992 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | PEP | STZ |
|---|---|---|
| Total Return (1Y) | 4.03% | 17.39% |
| Total Return (3Y, Annualized) | -1.40% | -13.22% |
| Total Return (5Y, Annualized) | 0.55% | -6.25% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | PEP | STZ |
|---|---|---|
| Volatility (1Y, Annualized) | 21.68% | 32.11% |
| Beta (5Y) | 0.30 | 0.37 |
| Max Drawdown (5Y) | -30.32% | -56.05% |
| Avg. Volume (3M) | 8.86M | 2.28M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | PEP | STZ |
|---|---|---|
| Sharpe Ratio (1Y) | -0.01 | 0.41 |
| Sortino Ratio (1Y) | -0.02 | 0.61 |
Profitability
ROE (TTM)
Both companies show strong equity returns, but PepsiCo (PEP) at 52.19% is the standout with ROE above its industry range; Constellation Brands (STZ) at 24.02% also sits in the top quartile.
PEP
Food, Beverage & Tobacco industry group
52.19%
- PEP
- 52.19%
- Max
- 32.02%
- Q3
- 16.61%
- Median
- 10.05%
- Q1
- 4.10%
- Min
- -10.50%
STZ
Food, Beverage & Tobacco industry group
24.02%
- Max
- 32.02%
- STZ
- 24.02%
- Q3
- 16.61%
- Median
- 10.05%
- Q1
- 4.10%
- Min
- -10.50%
Net Margin (TTM)
Constellation Brands (STZ) at 20.90% retains a top-quartile share of revenue as profit, ahead of PepsiCo (PEP) at 11.09%, which keeps about the industry-typical share.
PEP
Food, Beverage & Tobacco industry group
11.09%
- Max
- 24.83%
- Q3
- 11.22%
- PEP
- 11.09%
- Median
- 5.94%
- Q1
- 2.05%
- Min
- -11.49%
STZ
Food, Beverage & Tobacco industry group
20.90%
- Max
- 24.83%
- STZ
- 20.90%
- Q3
- 11.22%
- Median
- 5.94%
- Q1
- 2.05%
- Min
- -11.49%
Operating Margin (TTM)
Constellation Brands (STZ) at 33.58% operates in the top operating margin quartile, ahead of PepsiCo (PEP) at 16.88%, which runs around its industry’s norm.
PEP
Food, Beverage & Tobacco industry group
16.88%
- Max
- 34.91%
- Q3
- 17.57%
- PEP
- 16.88%
- Median
- 11.06%
- Q1
- 4.15%
- Min
- -15.06%
STZ
Food, Beverage & Tobacco industry group
33.58%
- Max
- 34.91%
- STZ
- 33.58%
- Q3
- 17.57%
- Median
- 11.06%
- Q1
- 4.15%
- Min
- -15.06%
Profitability Metrics
| Metric | PEP | STZ |
|---|---|---|
| ROE (TTM) | 52.19% | 24.02% |
| ROA (TTM) | 9.02% | 8.68% |
| Net Margin (TTM) | 11.09% | 20.90% |
| Operating Margin (TTM) | 16.88% | 33.58% |
| Gross Margin (TTM) | 54.33% | 52.77% |
Growth
Revenue Growth
PepsiCo (PEP) at 2.25% is around its peer norm for revenue growth, while Constellation Brands (STZ) at -10.48% drops into the bottom quartile, signaling weaker demand or pricing momentum.
EPS Growth
Only one side can be read here: PepsiCo (PEP) reports EPS growth of -13.67%, ranked against its industry; Constellation Brands (STZ) has no EPS growth figure this period.
Growth Metrics
| Metric | PEP | STZ |
|---|---|---|
| Revenue Growth (YoY) | 2.25% | -10.48% |
| Revenue Growth (3Y CAGR) | 2.83% | -1.12% |
| EPS Growth (YoY) | -13.67% | -- |
| EPS Growth (3Y CAGR) | -2.23% | -- |
Financial Strength
Current Ratio (MRQ)
Both PepsiCo (PEP) at 0.94 and Constellation Brands (STZ) at 1.00 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
PEP
Food, Beverage & Tobacco industry group
0.94
- Max
- 4.01
- Q3
- 2.35
- Median
- 1.53
- Q1
- 1.02
- PEP
- 0.94
- Min
- 0.33
STZ
Food, Beverage & Tobacco industry group
1.00
- Max
- 4.01
- Q3
- 2.35
- Median
- 1.53
- Q1
- 1.02
- STZ
- 1.00
- Min
- 0.33
Debt / Equity (MRQ)
Both balance sheets lean debt-heavy versus peers, but PEP is more stretched: Constellation Brands (STZ) at 1.16 sits in the higher-leverage quartile and PepsiCo (PEP) at 2.31 is above its industry benchmark range.
PEP
Food, Beverage & Tobacco industry group
2.31
- PEP
- 2.31
- Max
- 2.19
- Q3
- 1.11
- Median
- 0.68
- Q1
- 0.33
- Min
- 0.00
STZ
Food, Beverage & Tobacco industry group
1.16
- Max
- 2.19
- STZ
- 1.16
- Q3
- 1.11
- Median
- 0.68
- Q1
- 0.33
- Min
- 0.00
Financial Strength Metrics
| Metric | PEP | STZ |
|---|---|---|
| Current Ratio (MRQ) | 0.94 | 1.00 |
| Debt / Equity (MRQ) | 2.31 | 1.16 |
| Net Debt / EBITDA | 2.12 | 2.98 |
Dividends
Dividend Yield (TTM)
PepsiCo (PEP) at 4.07% delivers top-quartile income for its industry, while Constellation Brands (STZ) at 2.84% pays a more typical yield — both are credible income propositions, PEP the richer one.
PEP
Food, Beverage & Tobacco industry group
4.07%
- Max
- 9.38%
- PEP
- 4.07%
- Q3
- 3.77%
- Median
- 1.76%
- Q1
- 0.00%
- Min
- 0.00%
STZ
Food, Beverage & Tobacco industry group
2.84%
- Max
- 9.38%
- Q3
- 3.77%
- STZ
- 2.84%
- Median
- 1.76%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both PepsiCo (PEP) at 73.02% and Constellation Brands (STZ) at 36.71% keep payout ratio within their industries’ typical mid-ranges — dividend policies that share earnings without consuming too much of them.
PEP
Food, Beverage & Tobacco industry group
73.02%
- Max
- 199.19%
- Q3
- 81.03%
- PEP
- 73.02%
- Median
- 41.52%
- Q1
- 0.00%
- Min
- 0.00%
STZ
Food, Beverage & Tobacco industry group
36.71%
- Max
- 199.19%
- Q3
- 81.03%
- Median
- 41.52%
- STZ
- 36.71%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | PEP | STZ |
|---|---|---|
| Dividend Yield (TTM) | 4.07% | 2.84% |
| Dividend Payout Ratio (TTM) | 73.02% | 36.71% |
Valuation
P/E Ratio (TTM)
Constellation Brands (STZ) at 12.71 sits in the cheaper P/E ratio quartile, while PepsiCo (PEP) at 17.78 is closer to its industry’s usual earnings multiple — a discount for STZ, though growth and earnings durability still matter.
PEP
Food, Beverage & Tobacco industry group
17.78
- Max
- 52.52
- Q3
- 30.78
- Median
- 18.76
- PEP
- 17.78
- Q1
- 12.77
- Min
- 4.72
STZ
Food, Beverage & Tobacco industry group
12.71
- Max
- 52.52
- Q3
- 30.78
- Median
- 18.76
- Q1
- 12.77
- STZ
- 12.71
- Min
- 4.72
P/S Ratio (TTM)
PepsiCo (PEP) at 1.96 is priced about in line with its industry on P/S ratio, while Constellation Brands (STZ) at 2.61 sits in the pricier quartile — STZ costs more per dollar of sales.
PEP
Food, Beverage & Tobacco industry group
1.96
- Max
- 4.64
- Q3
- 2.27
- PEP
- 1.96
- Median
- 1.17
- Q1
- 0.52
- Min
- 0.00
STZ
Food, Beverage & Tobacco industry group
2.61
- Max
- 4.64
- STZ
- 2.61
- Q3
- 2.27
- Median
- 1.17
- Q1
- 0.52
- Min
- 0.00
P/B Ratio (MRQ)
Constellation Brands (STZ) at 2.81 sits near its industry’s typical P/B ratio, while PepsiCo (PEP) at 8.65 prices above its benchmark range — PEP looks rich relative to book.
PEP
Food, Beverage & Tobacco industry group
8.65
- PEP
- 8.65
- Max
- 6.35
- Q3
- 3.07
- Median
- 1.58
- Q1
- 0.82
- Min
- 0.00
STZ
Food, Beverage & Tobacco industry group
2.81
- Max
- 6.35
- Q3
- 3.07
- STZ
- 2.81
- Median
- 1.58
- Q1
- 0.82
- Min
- 0.00
Valuation Metrics
| Metric | PEP | STZ |
|---|---|---|
| P/E Ratio (TTM) | 17.78 | 12.71 |
| P/S Ratio (TTM) | 1.96 | 2.61 |
| P/B Ratio (MRQ) | 8.65 | 2.81 |
| Free Cash Flow Yield (TTM) | 4.70% | 4.66% |