Pepsi Poised To Pop?

By Staff of Seasonax

Seasons, Patterns & Cycles • Feb 8, 2024 at 6:15 AM EST

Pepsi's share price is mildly positive over this earnings period with a 0.86% return, but there is a distinct dip around the end of February, with a sharp seasonal pick-up from mid-March to early May.

Beverages, Bottles, Shelf, Cans, Coke, Cola

Image Source: Pixabay

Will Pepsi’s (PEP) earnings be hit by the Middle East crisis? In the Middle East and beyond, into Pakistan, large multinational brands like Pepsi and Coca-Cola have faced boycotts due to the ongoing impact of the Israel-Hamas conflict. To be seen to be supporting some major US brands is a social stigma to some and this has resulted in a drop in sales.

The question is to what extent have those sales been hit and how will Pepsi’s earnings fare on Friday before the US opens? Typically the share price is mildly positive over this earnings period with a 0.86% return, but there is a distinct dip around the end of February, with a sharp seasonal pick-up from mid-March to early May.

The major trade risk here is that Pepsi’s earnings surprised to the downside and/or the share price does not follow its typical seasonal pattern this year.

Video Length: 00:01:33

More By This Author:

Is Oil Poised To Surge?
February Is PayPal’s Weakest Month
The S&P 500 Reaction To Fed Meetings Over The Last 5 Years

Disclaimer:

Past results and past seasonal patterns are no indication of future performance, in particular, future market trends. seasonax GmbH neither recommends nor approves of any particular financial instrument, group of securities, segment of industry, analysis interval or any particular idea, approach, strategy or attitude nor provides consulting nor brokerage nor asset management services. seasonax GmbH hereby excludes any explicit or implied trading recommendation, in particular, any promise, implication or guarantee that profits are earned and losses excluded, provided, however, that in case of doubt, these terms shall be interpreted in abroad sense. Any information provided by seasonax GmbH or on this website or any other kind of data media shall not be construed as any kind of guarantee, warranty or representation, in particular as set forth in a prospectus. Any user is solely responsible for the results or the trading strategy that is created, developed or applied. Indicators, trading strategies and functions provided by seasonax GmbH or on this website or any other kind of data media may contain logical or other errors leading to unexpected results, faulty trading signals and/or substantial losses. seasonax GmbH neither warrants nor guarantees the accuracy, completeness, quality, adequacy or content of the information provided by it or on this website or any other kind of data media. Any user is obligated to comply with any applicable capital market rules of the applicable jurisdiction. All published content and images on this website or any other kind of data media are protected by copyright. Any duplication, processing, distribution or any form of utilisation beyond the scope of copyright law shall require the prior written consent of the author or authors in question. Futures and forex trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones’ financial security or lifestyle. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results. Testimonials appearing on this website may not be representative of other clients or customers and is not a guarantee of future performance or success.

STOCKS IN THIS ARTICLE

Comments

Back to all articles