PepsiCo (XTER:PEP) Margin of Safety % (DCF Earnings Based): -45.63% (As of Jun. 24, 2026)


XTER:PEP PepsiCo Inc XTER:PEP
86 GF Score
Price €124.24
GF Value €151.19
Valuation Modestly Undervalued
! 2 Warning Signs
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What is PepsiCo Margin of Safety % (DCF Earnings Based)?

PepsiCo XTER:PEP +0.23% 86 Margin of Safety % (DCF Earnings Based) is -45.63% as of Jun. 24, 2026. GuruFocus rates XTER:PEP with a GF Score™ of 86/100 and a GF Value™ of €151.19 (Modestly Undervalued). The stock has 2 warning signs investors should review.

Margin of Safety % (DCF Earnings Based) = (Intrinsic Value: DCF (Earnings Based) - Current Price) / Intrinsic Value: DCF (Earnings Based).

Note: Discounted Earnings model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's Predictability Rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

As of today (2026-06-24), PepsiCo's Predictability Rank is 4.5-Stars. PepsiCo's intrinsic value calculated from the Discounted Earnings model is €85.31 and current share price is €124.24. Consequently,

PepsiCo's Margin of Safety % (DCF Earnings Based) using Discounted Earnings model is -45.63%.

XTER:PEP vs MNST, KO, KDP: Margin of Safety % (DCF Earnings Based) Comparison

For the Beverages - Non-Alcoholic subindustry, PepsiCo's Margin of Safety % (DCF Earnings Based), along with its competitors' market caps and Margin of Safety % (DCF Earnings Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

PepsiCo Margin of Safety % (DCF Earnings Based) vs Beverages - Non-Alcoholic Industry

For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, PepsiCo's Margin of Safety % (DCF Earnings Based) distribution charts can be found below:

* The bar in red indicates where PepsiCo's Margin of Safety % (DCF Earnings Based) falls into.


XTER:PEP
86GF Score
PepsiCo Inc XTER:PEP
Margin of Safety % (DCF Earnings Based) is just one metric. See GF Score™, valuation, warning signs, and more.
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PepsiCo Margin of Safety % (DCF Earnings Based) Calculation

PepsiCo's Margin of Safety % (DCF Earnings Based) for today is calculated as

Margin of Safety % (DCF Earnings Based)=(Intrinsic Value: DCF (Earnings Based)-Current Price)/Intrinsic Value: DCF (Earnings Based)
=(85.31-124.24)/85.31
=-45.63 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The intrinsic value is calculated from the Discounted Earnings model with default parameters. The calculation method is the same as Discounted Cash Flow model except earnings are used in the calculation instead of free cash flow.

What does a Margin of Safety % (DCF Earnings Based) of -45.63% mean?
PepsiCo (XTER:PEP) has a Margin of Safety % (DCF Earnings Based) of -45.63% as of Jun. 24, 2026. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on PepsiCo.
Is PepsiCo's Margin of Safety % (DCF Earnings Based) too high?
PepsiCo's current Margin of Safety % (DCF Earnings Based) is -45.63%. Overall, PepsiCo has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does PepsiCo's Margin of Safety % (DCF Earnings Based) compare to MNST and KO?
PepsiCo's Margin of Safety % (DCF Earnings Based) of -45.63% can be compared against companies in the Beverages - Non-Alcoholic industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Margin of Safety % (DCF Earnings Based) for a Beverages - Non-Alcoholic company?
A good Margin of Safety % (DCF Earnings Based) depends on the Beverages - Non-Alcoholic industry context. However, Margin of Safety % (DCF Earnings Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Margin of Safety % (DCF Earnings Based) mean?
A high Margin of Safety % (DCF Earnings Based) can signal that a stock is expensive relative to its fundamentals. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on PepsiCo. PepsiCo's current Margin of Safety % (DCF Earnings Based) is -45.63%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PepsiCo stock overvalued right now?
Based on GuruFocus' analysis, PepsiCo (XTER:PEP) is currently considered Modestly Undervalued. The stock's GF Value™ is €151.19, compared to a current price of €124.24 — trading 17.8% below its estimated fair value. The current Margin of Safety % (DCF Earnings Based) is -45.63%. PepsiCo's overall GF Score™ is 86/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Margin of Safety % (DCF Earnings Based) calculated?
Margin of Safety % (DCF Earnings Based) is calculated from a company's financial statements. For PepsiCo (XTER:PEP), the current Margin of Safety % (DCF Earnings Based) is -45.63% as of Jun. 24, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is PepsiCo (XTER:PEP) Overvalued in 2026?

Based on GuruFocus' analysis, PepsiCo stock appears to be undervalued. The current stock price of €124.24 is trading 17.8% below its estimated GF Value™ of €151.19. GuruFocus considers PepsiCo to be Modestly Undervalued.

Key valuation signals for XTER:PEP:

  • Margin of Safety % (DCF Earnings Based): -45.63%
  • GF Value™: €151.19 vs. price of €124.24 (17.8% below fair value)
  • GF Score™: 86/100 with 2 warning signs

No single metric tells the full story. See the XTER:PEP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

PepsiCo Business Description

Address 700 Anderson Hill Road, Purchase, NY, USA, 10577
PepsiCo is a global leader in snacks and beverages, owning well-known household brands including Pepsi, Mountain Dew, Gatorade, Lay's, Cheetos, and Doritos, among others. The company dominates the global savory snacks market and also ranks as the second-largest beverage provider in the world (behind Coca-Cola) with diversified exposure to carbonated soft drinks, or CSD, as well as water, sports, and energy drink offerings. Convenience foods account for approximately 58% of its total revenue, with beverages making up the rest. Pepsi owns the bulk of its manufacturing and distribution capacity in the US, but uses bottlers overseas for beverages. International markets made up 41% of total sales and 46% of operating profits before corporate expenses in 2025.
86GF Score

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Margin of Safety % (DCF Earnings Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€124.24
Price
€151.19
GF Value