PepsiCo, Inc. (PEP) Return on Equity (ROE): 40.89%
Is PepsiCo, Inc.’s return on equity (ROE) high or low?
PepsiCo, Inc.'s return on equity (ROE) of 40.89% is 17% below its 5-year average of 49.15%, near the low end of its 5-year range (40.38%–53.09%).
The return on equity (ROE) for PepsiCo, Inc. (PEP) is 40.89% as of Wednesday, June 10, 2026. It is below its 12-month average by 12.51% (46.73%).
PEP Return on Equity (ROE) Chart
PEP Average Return on Equity (ROE) Chart
PEP Current vs Average Return on Equity (ROE) Chart
PEP Return on Equity (ROE) Metrics
RETURN ON EQUITY (ROE)
40.89%
RETURN ON EQUITY (ROE) AVG TTM
46.73%
RETURN ON EQUITY (ROE) AVG 3Y
48.62%
RETURN ON EQUITY (ROE) AVG 5Y
49.15%
RETURN ON EQUITY (ROE) AVG 10Y
52.54%
RETURN ON EQUITY (ROE) AVG 15Y
45.74%
RETURN ON EQUITY (ROE) AVG 20Y
43.22%
CURRENT VS TTM AVG
-12.51%
CURRENT VS 3Y AVG
-15.89%
CURRENT VS 5Y AVG
-16.80%
CURRENT VS 10Y AVG
-22.17%
CURRENT VS 15Y AVG
-10.61%
CURRENT VS 20Y AVG
-5.38%
PEP Competitors' Return on Equity (ROE)
| NAME | MARKET CAP | RETURN ON EQUITY (ROE) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| PepsiCo, Inc. (PEP) | $196.99B | 40.89% | 46.73% | 48.62% | 49.15% |
| Anheuser-Busch InBev SA/NV (BUD) | $157.86B | 13.99% | 7.66% | 7.49% | 6.47% |
| Altria Group, Inc. (MO) | $121.70B | -198.37% | -350.84% | -269.11% | -178.87% |
| Monster Beverage Corporation (MNST) | $88.90B | 23.28% | 24.20% | 21.30% | 22.25% |
| Colgate-Palmolive Company (CL) | $71.39B | 1439.31% | 2655.45% | 1533.43% | 1142.02% |
| Target Corporation (TGT) | $57.99B | 21.04% | 25.41% | 27.21% | 32.10% |
| The Procter & Gamble Company (PG) | $347.85B | 30.58% | 30.15% | 30.82% | 30.35% |
| Keurig Dr Pepper Inc. (KDP) | $43.78B | 7.25% | 7.04% | 7.08% | 7.07% |
| The Kroger Co. (KR) | $39.49B | 17.14% | 24.66% | 22.65% | 21.56% |
| Sysco Corporation (SYY) | $37.68B | 75.58% | 102.50% | 97.85% | 85.04% |
Return Analysis
ROE
40.9%
ROA
7.9%
PepsiCo, Inc. Return on Equity (ROE) Formula & Definition
ROE = Net Income / Total Shareholders' Equity
Return on equity measures how efficiently a company generates profit from shareholders' equity. Higher ROE indicates better capital efficiency.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
PepsiCo, Inc. Return on Equity (ROE) FAQ
- What is the return on equity (ROE) for PepsiCo, Inc. (PEP)?
- The return on equity (ROE) for PEP stock is 40.89%.
- Is PepsiCo, Inc.'s return on equity (ROE) high or low?
- PepsiCo, Inc.'s return on equity (ROE) of 40.89% is 17% below its 5-year average of 49.15%, near the low end of its 5-year range (40.38%–53.09%).
- What is the TTM average return on equity (ROE) for PepsiCo, Inc. (PEP)?
- The TTM average return on equity (ROE) for PEP stock is 46.73%.
- What is the 3Y average return on equity (ROE) for PepsiCo, Inc. (PEP)?
- The 3Y average return on equity (ROE) for PEP stock is 48.62%.
- What is the 5Y average return on equity (ROE) for PepsiCo, Inc. (PEP)?
- The 5Y average return on equity (ROE) for PEP stock is 49.15%.
- What is the 10Y average return on equity (ROE) for PepsiCo, Inc. (PEP)?
- The 10Y average return on equity (ROE) for PEP stock is 52.54%.
- What is the 15Y average return on equity (ROE) for PepsiCo, Inc. (PEP)?
- The 15Y average return on equity (ROE) for PEP stock is 45.74%.
- What is the 20Y average return on equity (ROE) for PepsiCo, Inc. (PEP)?
- The 20Y average return on equity (ROE) for PEP stock is 43.22%.
PepsiCo, Inc. Return on Equity (ROE) History
| DATE | RETURN ON EQUITY (ROE) |
|---|---|
| 2025-12-27 | 40.38% |
| 2024-12-31 | 53.09% |
| 2023-12-31 | 49.04% |
| 2022-12-31 | 51.96% |
| 2021-12-31 | 47.48% |
| 2020-12-31 | 52.92% |
| 2019-12-31 | 49.47% |
| 2018-12-31 | 86.20% |
| 2017-12-31 | 44.60% |
| 2016-12-31 | 57.04% |
| 2015-12-31 | 45.73% |
| 2014-12-31 | 37.35% |
| 2013-12-31 | 27.76% |
| 2012-12-31 | 27.71% |
| 2011-12-31 | 31.29% |
| 2010-12-31 | 29.86% |
| 2009-12-31 | 35.38% |
| 2008-12-31 | 42.47% |
| 2007-12-31 | 32.83% |
| 2006-12-31 | 36.52% |
| 2005-12-31 | 28.48% |
| 2004-12-31 | 31.03% |
| 2003-12-31 | 29.99% |
| 2002-12-31 | 32.27% |
| 2001-12-31 | 27.75% |
| 2000-12-31 | 33.44% |
| 1999-12-31 | 36.40% |
| 1998-12-31 | 31.14% |
| 1997-12-31 | 30.88% |
| 1996-12-31 | 17.35% |
Related Metrics
About PepsiCo, Inc.
PepsiCo, Inc. is a global enterprise that creates, promotes, and supplies a diverse array of drinks and easy-to-prepare food items across the globe. Its operations are structured into seven primary divisions: Frito-Lay North America, Quaker Foods North America, PepsiCo Beverages North America, Latin America, Europe, Africa/Middle East/South Asia, and the Asia Pacific, Australia, New Zealand, and China Region. The company's extensive product catalog encompasses popular snack foods like various dips, cheese snacks, spreads, and a range of chips (including corn, potato, and tortilla varieties). Its pantry staples feature cereals, rice, pasta, baking mixes, beverage syrups, granola bars, grits, oatmeal, rice cakes, and ready-made side dishes. In the beverage sector, PepsiCo offers concentrated syrups, fountain beverages, pre-packaged drinks, ready-to-consume teas, coffees, fruit juices, dairy-based items, and home carbonation systems with associated goods. PepsiCo reaches its broad clientele, which includes wholesale partners, food service providers, various retail outlets like supermarkets, pharmacies, convenience shops, discount stores, large-format retailers, membership-based stores, hard discount retailers, online merchants, and approved independent bottlers. This widespread distribution is achieved via direct store delivery, customer warehouse systems, and comprehensive distributor networks, along with direct sales to consumers through digital commerce channels and retail partners. Established in 1898, the corporation maintains its principal office in Purchase, New York.
- Sector
- Consumer Defensive
- Industry
- Beverages - Non-Alcoholic
- CEO
- Ramon Luis Laguarta