Basis: Trailing twelve months (TTM). Source: stored company filings and market data; unavailable inputs remain N/A.
The yield on cost (YOC) is 4.25%.
YIELD ON COST (YOC)
4.25%
PEP now pays $5.81 per share a year. Measured against the price it actually traded at back then, a long-term holder is earning:
| If you bought | Price then | Yield on cost today |
|---|---|---|
| 10 years ago(2016-09-13) | $104.59 | 5.56% |
| 5 years ago(2021-09-09) | $155.73 | 3.73% |
| 3 years ago(2023-09-12) | $178.27 | 3.26% |
| 1 year ago(2025-09-04) | $146.89 | 3.96% |
| Buying today(at $137.14) | $137.14 | 4.25% |
Projection: starting from today's 4.25% yield, assuming the dividend keeps compounding at 7.2% a year — the recent growth rate of its annual payout. Boards set dividends each year, so actual figures will differ.
Today
4.25%
In 3 years
5.24%
In 5 years
6.03%
In 10 years
8.56%
Try your own purchase price, dividend and growth rate for PepsiCo, Inc. (PEP).
Starting Yield
4.24%
Ending YOC
11.57%
Year 15 Dividend
$15.87
Cum. Dividends Recd.
$155.28
| Year | Projected Div. / Share | YoY Dividend Hike | Yield on Cost (YOC) | Total Dividends Recd. |
|---|---|---|---|---|
| Initial | $5.81 | N/A | 4.24% | $0.00 |
| Year 1 | $6.21 | +6.93% | 4.53% | $6.21 |
| Year 2 | $6.64 | +6.93% | 4.84% | $12.86 |
| Year 3 | $7.10 | +6.93% | 5.18% | $19.96 |
| Year 4 | $7.60 | +6.93% | 5.54% | $27.56 |
| Year 5 | $8.12 | +6.93% | 5.92% | $35.68 |
| Year 6 | $8.69 | +6.93% | 6.33% | $44.36 |
| Year 7 | $9.29 | +6.93% | 6.77% | $53.65 |
| Year 8 | $9.93 | +6.93% | 7.24% | $63.58 |
| Year 9 | $10.62 | +6.93% | 7.74% | $74.20 |
| Year 10 | $11.35 | +6.93% | 8.28% | $85.55 |
| Year 11 | $12.14 | +6.93% | 8.85% | $97.69 |
| Year 12 | $12.98 | +6.93% | 9.47% | $110.68 |
| Year 13 | $13.88 | +6.93% | 10.12% | $124.56 |
| Year 14 | $14.84 | +6.93% | 10.82% | $139.40 |
| Year 15 | $15.87 | +6.93% | 11.57% | $155.28 |
Yield on cost is the dividend yield measured against your original purchase price, not today's price. As a company raises its dividend, the yield on what you actually paid keeps rising even when the market yield holds steady.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
