PepsiCo, Inc. (PEP) vs The Procter & Gamble Company (PG)
PEP leads on 9 of 17 compared metrics, though PG is the cheaper stock.
A side-by-side comparison of PepsiCo, Inc. and The Procter & Gamble Company across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 13, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).
PEP
PepsiCo, Inc.
$144.27Consumer Defensive
PG
The Procter & Gamble Company
$149.61Consumer Defensive
Total return — PEP vs PG
growth of $100 · last 30yPEP +330.7%PG +575.4%PG compounded faster
PEP PG
PEP vs PG: by the numbers
- •PG is the larger company ($348.38B vs $197.21B market cap).
- •PG trades at the lower earnings multiple (21.87 vs 22.65 P/E).
- •PG converts more revenue to profit (19.22% vs 9.16% net margin).
- •PEP grew revenue faster over the past five years (6.00% vs 2.98% CAGR).
- •PEP pays the higher dividend yield (3.98% vs 2.85%).
Which is better, PEP or PG?
Metric tally: PEP 9 · PG 8It depends on what you're optimizing for:
ValuePG(lower P/E)
GrowthPEP(faster 5Y revenue CAGR)
IncomePEP(higher dividend yield)
QualityPG(higher ROIC)
Valuation
| Metric | PEP | PG |
|---|---|---|
| P/E ratio | 22.65 | 21.87● |
| Forward P/E | 15.81● | 21.17 |
| P/S ratio | 2.07● | 4.17 |
| P/B ratio | 9.25 | 6.63● |
| PEG ratio | 9.44 | 3.09● |
| EV / EBITDA | 15.92● | 16.61 |
| FCF yield | 4.47%● | 4.16% |
Profitability
| Metric | PEP | PG |
|---|---|---|
| Gross margin | 54.06%● | 50.33% |
| Operating margin | 14.79% | 23.24%● |
| Net margin | 9.16% | 19.22%● |
| ROE | 40.89%● | 30.58% |
| ROIC | 13.29% | 16.47%● |
Dividends
| Metric | PEP | PG |
|---|---|---|
| Dividend yield | 3.98%● | 2.85% |
| Payout ratio | 95.32% | 63.85% |
Growth (annualized)
| Metric | PEP | PG |
|---|---|---|
| Revenue CAGR (5Y) | 6.00%● | 2.98% |
| EPS CAGR (5Y) | 2.40% | 5.39%● |
| FCF CAGR (5Y) | 6.62%● | -1.64% |
| Total return CAGR (5Y) | 2.72% | 4.73%● |
Frequently asked
- Which is better, PEP or PG?
- It depends on your goal. value: PG (lower P/E); growth: PEP (faster 5Y revenue CAGR); income: PEP (higher dividend yield); quality: PG (higher ROIC). Across all compared metrics, PEP leads 9 to 8.
- Is PEP or PG cheaper?
- On trailing earnings, PG is cheaper: PEP trades at a 22.65 P/E and PG at 21.87.
- Which has grown faster, PEP or PG?
- Over the past five years, PEP grew revenue faster — PEP at a 6.00% CAGR versus PG at 2.98%.
- Does PEP or PG pay a bigger dividend?
- PEP yields 3.98% and PG yields 2.85% based on trailing dividends and the latest price.
- Is PEP or PG more profitable?
- PG runs the higher net margin — PEP at 9.16% versus PG at 19.22%.
- Which has been the better investment, PEP or PG?
- Over the past 10-year, PG delivered the higher annualized total return — PEP at 6.61% versus PG at 8.98%. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
PepsiCo P/E ratioProcter & Gamble P/E ratioPepsiCo dividend yieldProcter & Gamble dividend yieldPepsiCo ROEProcter & Gamble ROEPepsiCo operating marginProcter & Gamble operating marginPepsiCo revenue growthProcter & Gamble revenue growthPepsiCo free cash flowProcter & Gamble free cash flow
PepsiCo & Procter & Gamble appear in these rankings
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Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 13, 2026.