PepsiCo (XSWX:PEP) ROCE %: 17.25% (As of Mar. 2026)


XSWX:PEP PepsiCo Inc XSWX:PEP
90 GF Score
Price CHF115.00
GF Value CHF139.75
! 2 Warning Signs
View Full Analysis

What is PepsiCo ROCE %?

PepsiCo XSWX:PEP 90 ROCE % is 17.25% as of Mar. 2026. GuruFocus rates XSWX:PEP with a GF Score™ of 90/100 and a GF Value™ of CHF139.75. The stock has 2 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. PepsiCo's annualized ROCE % for the quarter that ended in Mar. 2026 was 17.25%.

PepsiCo  (XSWX:PEP) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

PepsiCo ROCE % Related Terms

PepsiCo ROCE % Historical Data

* Premium members only.

The historical data trend for PepsiCo's ROCE % can be seen below:

* 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.

PepsiCo ROCE % Chart

PepsiCo Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.54 17.80 17.57 19.10 15.09

PepsiCo Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 15.02 10.08 19.77 17.82 17.25
XSWX:PEP
90GF Score
PepsiCo Inc XSWX:PEP
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

PepsiCo ROCE % Calculation

PepsiCo's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=9056.769/( ( (88684.777 - 28117.498) + (85586.263 - 26109.632) )/ 2 )
=9056.769/( (60567.279+59476.631)/ 2 )
=9056.769/60021.955
=15.09 %

PepsiCo's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=10301.032/( ( (85586.263 - 26109.632) + (87111.596 - 27143.742) )/ 2 )
=10301.032/( ( 59476.631 + 59967.854 )/ 2 )
=10301.032/59722.2425
=17.25 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 17.25% mean?
PepsiCo (XSWX:PEP) has a ROCE % of 17.25% as of Mar. 2026.
Is PepsiCo's ROCE % too high?
PepsiCo's current ROCE % is 17.25%. The Beverages - Non-Alcoholic industry median ROCE % is 12.40. PepsiCo's value of 17.25% is 39.2% above this industry median. Overall, PepsiCo has a GF Score™ of 90/100, reflecting its overall financial health beyond just this single metric.
How does PepsiCo's ROCE % compare to MNST and KO?
PepsiCo's ROCE % of 17.25% can be compared against companies in the Beverages - Non-Alcoholic industry. The industry median ROCE % is 12.40. PepsiCo's value of 17.25% is 39.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Beverages - Non-Alcoholic company?
The median ROCE % among Beverages - Non-Alcoholic companies is 12.40, based on 114 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. PepsiCo's current ROCE % of 17.25% is 39.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Beverages - Non-Alcoholic industry, the median ROCE % is 12.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PepsiCo's current ROCE % is 17.25%. 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?
PepsiCo (XSWX:PEP) has a current ROCE % of 17.25%. The stock's GF Value™ is CHF139.75, compared to a current price of CHF115.00 — trading 17.7% below its estimated fair value. The current ROCE % is 17.25% and 39.2% above the Beverages - Non-Alcoholic industry median of 12.40. PepsiCo's overall GF Score™ is 90/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For PepsiCo (XSWX:PEP), the current ROCE % is 17.25% as of Mar. 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 (XSWX:PEP) Overvalued in 2026?

Based on GuruFocus' analysis, PepsiCo stock appears to be undervalued. The current stock price of CHF115.00 is trading 17.7% below its estimated GF Value™ of CHF139.75.

Key valuation signals for XSWX:PEP:

  • ROCE %: 17.25%
  • GF Value™: CHF139.75 vs. price of CHF115.00 (17.7% below fair value)
  • GF Score™: 90/100 with 2 warning signs
  • Industry Position: 39.2% above the Beverages - Non-Alcoholic median

No single metric tells the full story. See the XSWX: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.
90GF Score

Get the complete analysis for XSWX:PEP

ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF115.00
Price
CHF139.75
GF Value