What is the Stock Symbol for Pepsi?

Pepsi-Cola is a cola, produced by PepsiCo of Purchase, New York. In the United States, it's second to Coca Cola in popularity. In addition to its flagship cola brand, the company also is involved in a wide range of beverages (both carbonated and non-carbonated), snack and other foods. The stock of its parent company, PepsiCo is traded on the NYSE under the stock symbol PEP. In addition to its parent company, The Pepsi Bottling Group is a separate corporate entity, traded under the symbol PBG.

History

Although Pepsi the soft drink dates back to the 19th century, the entity now known as PepsiCo wasn't incorporated until 1965. At that time, The Pepsi Cola Company merged with Frito Lay, resulting in today's PepsiCo. The acquisition of Tropicana in 1997 allowed it to compete in the non-carbonated beverage market, and its takeover of SoBe gave Pepsi instant traction in the energy drink market.

Significance

Pepsi has been a leader in the beverage market for many years. However, its lineage has been tattered by its association with other industries, namely the fast food market. However, the most high profile of these (KFC, Taco Bell and Pizza Hut) have since been spun off, allowing PepsiCo to concentrate on its core competencies, namely the beverage and snack food market.

Identification

Pepsi has been identified with Pepsi-Cola, a cola that is considered a bit sweeter than its main rival, Coke. Pepsi's red, white and blue logo has achieved icon status in the consumer world. Just like Coke's proliferation of spin-off brands, Pepsi has launched Diet Pepsi, Pepsi Max and Pepsi Lime, among many others. Pepsi has also experienced several public brand failures, namely Pepsi Edge, Pepsi Blue and Crystal Pepsi. Despite the high-profile reference to Pepsi Free in the 1985 film "Back To The Future," the brand vanished from the shelves shortly thereafter.

Warning

While sales of soda have remained flat in the United States for several years, the demand for PepsiCo's products has been growing overseas, particularly in developing nations. However, PepsiCo has a large stake in the energy drink market, and has partnered with established brands to produce successful products (Starbuck's Frappuccino, Lipton Bottled Ice Tea, etc.). As with every other stock, past performance is no guarantee of future results.

Expert Insight

Pepsi has always been Number 2 to Coca Cola, both in sales and image. The "cola wars" of the 1980s became one of the most iconic moments in that decade's pop culture: Certainly the tie-in with The Jacksons in 1984 (and the ensuing disaster that led to Michael Jackson's hair being lit on fire), along with the "New Coke" boondoggle have brought Pepsi to the forefront of cultural status, but Pepsi has still failed to top Coke in the worldwide cola market.

Resources

• PepsiCo