PEP vs. WMT: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at PEP and WMT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | PEP | WMT |
|---|---|---|
| Company Name | PepsiCo, Inc. | Walmart Inc. |
| Country | United States | United States |
| GICS Sector | Consumer Staples | Consumer Staples |
| GICS Industry | Beverages | Consumer Staples Distribution & Retail |
| Market Capitalization | 206.36 billion USD | 818.55 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | June 1, 1972 | August 25, 1972 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of PEP and WMT by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | PEP | WMT |
|---|---|---|
| 5-Day Price Return | 1.42% | 1.71% |
| 13-Week Price Return | 14.37% | 4.54% |
| 26-Week Price Return | 4.25% | -2.36% |
| 52-Week Price Return | -13.28% | 39.13% |
| Month-to-Date Return | 9.29% | 4.68% |
| Year-to-Date Return | -0.87% | 13.53% |
| 10-Day Avg. Volume | 7.72M | 14.69M |
| 3-Month Avg. Volume | 9.19M | 16.64M |
| 3-Month Volatility | 24.06% | 16.57% |
| Beta | 0.47 | 0.67 |
Profitability
Return on Equity (TTM)
PEP
40.65%
Beverages Industry
- Max
- 49.46%
- Q3
- 24.91%
- Median
- 11.13%
- Q1
- 5.27%
- Min
- -5.93%
In the upper quartile for the Beverages industry, PEP’s Return on Equity of 40.65% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
WMT
21.67%
Consumer Staples Distribution & Retail Industry
- Max
- 34.20%
- Q3
- 21.61%
- Median
- 13.70%
- Q1
- 5.18%
- Min
- -9.87%
In the upper quartile for the Consumer Staples Distribution & Retail industry, WMT’s Return on Equity of 21.67% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
PEP
8.23%
Beverages Industry
- Max
- 21.86%
- Q3
- 12.24%
- Median
- 8.70%
- Q1
- 5.33%
- Min
- -4.40%
PEP’s Net Profit Margin of 8.23% is aligned with the median group of its peers in the Beverages industry. This indicates its ability to convert revenue into profit is typical for the sector.
WMT
2.75%
Consumer Staples Distribution & Retail Industry
- Max
- 7.16%
- Q3
- 3.87%
- Median
- 2.44%
- Q1
- 1.65%
- Min
- -0.70%
WMT’s Net Profit Margin of 2.75% is aligned with the median group of its peers in the Consumer Staples Distribution & Retail industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
PEP
11.11%
Beverages Industry
- Max
- 29.32%
- Q3
- 18.25%
- Median
- 13.42%
- Q1
- 10.58%
- Min
- 0.71%
PEP’s Operating Profit Margin of 11.11% is around the midpoint for the Beverages industry, indicating that its efficiency in managing core business operations is typical for the sector.
WMT
4.33%
Consumer Staples Distribution & Retail Industry
- Max
- 9.42%
- Q3
- 5.29%
- Median
- 4.03%
- Q1
- 2.22%
- Min
- -1.85%
WMT’s Operating Profit Margin of 4.33% is around the midpoint for the Consumer Staples Distribution & Retail industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | PEP | WMT |
|---|---|---|
| Return on Equity (TTM) | 40.65% | 21.67% |
| Return on Assets (TTM) | 7.42% | 7.23% |
| Net Profit Margin (TTM) | 8.23% | 2.75% |
| Operating Profit Margin (TTM) | 11.11% | 4.33% |
| Gross Profit Margin (TTM) | 54.92% | 24.88% |
Financial Strength
Current Ratio (MRQ)
PEP
0.78
Beverages Industry
- Max
- 3.38
- Q3
- 1.97
- Median
- 1.21
- Q1
- 0.86
- Min
- 0.53
PEP’s Current Ratio of 0.78 falls into the lower quartile for the Beverages industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
WMT
0.78
Consumer Staples Distribution & Retail Industry
- Max
- 1.80
- Q3
- 1.25
- Median
- 0.97
- Q1
- 0.82
- Min
- 0.52
WMT’s Current Ratio of 0.78 falls into the lower quartile for the Consumer Staples Distribution & Retail industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
PEP
2.79
Beverages Industry
- Max
- 2.11
- Q3
- 1.23
- Median
- 0.79
- Q1
- 0.32
- Min
- 0.00
With a Debt-to-Equity Ratio of 2.79, PEP operates with exceptionally high leverage compared to the Beverages industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
WMT
0.63
Consumer Staples Distribution & Retail Industry
- Max
- 3.44
- Q3
- 1.56
- Median
- 1.00
- Q1
- 0.30
- Min
- 0.00
WMT’s Debt-to-Equity Ratio of 0.63 is typical for the Consumer Staples Distribution & Retail industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
PEP
13.98
Beverages Industry
- Max
- 78.96
- Q3
- 40.67
- Median
- 9.62
- Q1
- 3.59
- Min
- 0.81
PEP’s Interest Coverage Ratio of 13.98 is positioned comfortably within the norm for the Beverages industry, indicating a standard and healthy capacity to cover its interest payments.
WMT
12.72
Consumer Staples Distribution & Retail Industry
- Max
- 24.36
- Q3
- 14.71
- Median
- 6.25
- Q1
- 3.16
- Min
- -10.70
WMT’s Interest Coverage Ratio of 12.72 is positioned comfortably within the norm for the Consumer Staples Distribution & Retail industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | PEP | WMT |
|---|---|---|
| Current Ratio (MRQ) | 0.78 | 0.78 |
| Quick Ratio (MRQ) | 0.56 | 0.18 |
| Debt-to-Equity Ratio (MRQ) | 2.79 | 0.63 |
| Interest Coverage Ratio (TTM) | 13.98 | 12.72 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
PEP
3.64%
Beverages Industry
- Max
- 6.93%
- Q3
- 4.51%
- Median
- 3.09%
- Q1
- 2.03%
- Min
- 0.00%
PEP’s Dividend Yield of 3.64% is consistent with its peers in the Beverages industry, providing a dividend return that is standard for its sector.
WMT
0.87%
Consumer Staples Distribution & Retail Industry
- Max
- 6.63%
- Q3
- 3.17%
- Median
- 1.35%
- Q1
- 0.00%
- Min
- 0.00%
WMT’s Dividend Yield of 0.87% is consistent with its peers in the Consumer Staples Distribution & Retail industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
PEP
98.89%
Beverages Industry
- Max
- 143.36%
- Q3
- 99.22%
- Median
- 67.03%
- Q1
- 40.31%
- Min
- 0.00%
PEP’s Dividend Payout Ratio of 98.89% is within the typical range for the Beverages industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
WMT
36.65%
Consumer Staples Distribution & Retail Industry
- Max
- 163.46%
- Q3
- 90.34%
- Median
- 52.13%
- Q1
- 20.46%
- Min
- 0.00%
WMT’s Dividend Payout Ratio of 36.65% is within the typical range for the Consumer Staples Distribution & Retail industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | PEP | WMT |
|---|---|---|
| Dividend Yield (TTM) | 3.64% | 0.87% |
| Dividend Payout Ratio (TTM) | 98.89% | 36.65% |
Valuation
Price-to-Earnings Ratio (TTM)
PEP
27.16
Beverages Industry
- Max
- 41.48
- Q3
- 28.35
- Median
- 19.09
- Q1
- 15.36
- Min
- 3.14
PEP’s P/E Ratio of 27.16 is within the middle range for the Beverages industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
WMT
42.33
Consumer Staples Distribution & Retail Industry
- Max
- 49.92
- Q3
- 31.34
- Median
- 23.38
- Q1
- 17.55
- Min
- 6.19
A P/E Ratio of 42.33 places WMT in the upper quartile for the Consumer Staples Distribution & Retail industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Price-to-Sales Ratio (TTM)
PEP
2.24
Beverages Industry
- Max
- 3.90
- Q3
- 2.38
- Median
- 1.54
- Q1
- 0.84
- Min
- 0.41
PEP’s P/S Ratio of 2.24 aligns with the market consensus for the Beverages industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
WMT
1.16
Consumer Staples Distribution & Retail Industry
- Max
- 1.88
- Q3
- 1.00
- Median
- 0.55
- Q1
- 0.40
- Min
- 0.06
WMT’s P/S Ratio of 1.16 is in the upper echelon for the Consumer Staples Distribution & Retail industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
Price-to-Book Ratio (MRQ)
PEP
9.77
Beverages Industry
- Max
- 6.29
- Q3
- 3.58
- Median
- 2.19
- Q1
- 1.68
- Min
- 0.91
At 9.77, PEP’s P/B Ratio is at an extreme premium to the Beverages industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
WMT
9.29
Consumer Staples Distribution & Retail Industry
- Max
- 9.74
- Q3
- 4.99
- Median
- 2.88
- Q1
- 1.77
- Min
- 0.46
WMT’s P/B Ratio of 9.29 is in the upper tier for the Consumer Staples Distribution & Retail industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | PEP | WMT |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 27.16 | 42.33 |
| Price-to-Sales Ratio (TTM) | 2.24 | 1.16 |
| Price-to-Book Ratio (MRQ) | 9.77 | 9.29 |
| Price-to-Free Cash Flow Ratio (TTM) | 23.74 | 58.95 |