It's hard to believe, but it's that time again…
PepsiCo Inc. (NASDAQ: PEP) is already out of the gate with strong numbers on the back of snack and beverage sales, especially in higher-growth beverage categories; I mean energy drinks like Mountain Dew Game Fuel, and Bubly sparkling water.
That said, this upcoming batch of quarterly reports is widely expected to be a downer, with the average decline in earnings coming in at 2.6% according to FactSet data.
If that's where the scorecard finishes, it'll be the second straight quarter of declines year over year. By comparison, the average estimated earnings decline was just 0.5%, so this is potentially a big deal.
I say "potentially" because mainstream analysts had the same sort of doom and gloom in mind last quarter, and the numbers were stronger than most folks expected – as was the S&P 500.
Anybody betting on a decline got left on the proverbial bench, caught flatfooted by a market that ran away from them.
About the Author
Keith is a seasoned market analyst and professional trader with more than 37 years of global experience. He is one of very few experts to correctly see both the dot.bomb crisis and the ongoing financial crisis coming ahead of time - and one of even fewer to help millions of investors around the world successfully navigate them both. Forbes hailed him as a "Market Visionary." He is a regular on FOX Business News and Yahoo! Finance, and his observations have been featured in Bloomberg, The Wall Street Journal, WIRED, and MarketWatch. Keith previously led The Money Map Report, Money Map's flagship newsletter, as Chief Investment Strategist, from 20007 to 2020. Keith holds a BS in management and finance from Skidmore College and an MS in international finance (with a focus on Japanese business science) from Chaminade University. He regularly travels the world in search of investment opportunities others don't yet see or understand.