PepsiCo, Inc. (PEP) vs Target Corporation (TGT)

PEP leads on 10 of 16 compared metrics, though TGT is the cheaper stock.

A side-by-side comparison of PepsiCo, Inc. and Target Corporation 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).

Total return — PEP vs TGT

growth of $100 · last 30y
PEP +330.7%TGT +1389.3%TGT compounded faster
01k2k3kStart $100200120062011201620212026$431$1,489
PEP TGT

PEP vs TGT: by the numbers

  • PEP is the larger company ($197.21B vs $61.42B market cap).
  • TGT trades at the lower earnings multiple (17.86 vs 22.65 P/E).
  • PEP converts more revenue to profit (9.16% vs 3.24% net margin).
  • PEP grew revenue faster over the past five years (6.00% vs 1.62% CAGR).
  • PEP pays the higher dividend yield (3.98% vs 3.37%).

Which is better, PEP or TGT?

Metric tally: PEP 10 · TGT 6

It depends on what you're optimizing for:

ValueTGT(lower P/E)
GrowthPEP(faster 5Y revenue CAGR)
IncomePEP(higher dividend yield)
QualityPEP(higher ROIC)

Valuation

MetricPEPTGT
P/E ratio22.6517.86
Forward P/E15.8115.09
P/S ratio2.070.58
P/B ratio9.253.76
PEG ratio9.44
EV / EBITDA15.927.81
FCF yield4.47%6.75%

Profitability

MetricPEPTGT
Gross margin54.06%28.14%
Operating margin14.79%4.49%
Net margin9.16%3.24%
ROE40.89%21.04%
ROIC13.29%9.76%

Dividends

MetricPEPTGT
Dividend yield3.98%3.37%
Payout ratio95.32%55.88%

Growth (annualized)

MetricPEPTGT
Revenue CAGR (5Y)6.00%1.62%
EPS CAGR (5Y)2.40%-1.34%
FCF CAGR (5Y)6.62%-12.12%
Total return CAGR (5Y)2.72%-7.66%

Frequently asked

Which is better, PEP or TGT?
It depends on your goal. value: TGT (lower P/E); growth: PEP (faster 5Y revenue CAGR); income: PEP (higher dividend yield); quality: PEP (higher ROIC). Across all compared metrics, PEP leads 10 to 6.
Is PEP or TGT cheaper?
On trailing earnings, TGT is cheaper: PEP trades at a 22.65 P/E and TGT at 17.86.
Which has grown faster, PEP or TGT?
Over the past five years, PEP grew revenue faster — PEP at a 6.00% CAGR versus TGT at 1.62%.
Does PEP or TGT pay a bigger dividend?
PEP yields 3.98% and TGT yields 3.37% based on trailing dividends and the latest price.
Is PEP or TGT more profitable?
PEP runs the higher net margin — PEP at 9.16% versus TGT at 3.24%.
Which has been the better investment, PEP or TGT?
Over the past 10-year, TGT delivered the higher annualized total return — PEP at 6.61% versus TGT at 10.33%. Past performance doesn't predict future results.

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.