Intrinsic Valuation of: PEP
Free Cash Flow Average and Growth over past 5Y Key Statistics
Year FCF FCF (FCF/Revenue)
2020 - - EPS (FY) 6 Market Cap $204B
2021 - - (-) P/E Ratio 23 Total Asset $107B
2022 $6B - (-) Net Income $8B Total Debt $42B
2023 $8B 41.4% (33.5%) EBITDA $16B Total Liab $87B
2024 $7B -9.3% (-9.7%) Opr Margin 14.36 Debt/Equity 2.06
2025 $8B 6.7% (4.4%) PreTax Margin 13.17 BV/Share -10
5Y Average FCF $7B 6.9% (9.4%)
Overall Market Assumptions:
Assumptions: P/E for No-Growth Company: 7.0
Perpetual Growth Rate (g): 2.48% Historical US Bond Yield: 4.40%
Discount Rate (WACC): 7.00% Current US Bond Yield: 3.48%
Forcasting Future Free Cash Flow for next 6Y Modified Benjamin Graham's Intrinsic Value
Year FCF Projection (6.9%)
2026 $8B MBG Intrinsic Value $57
2027 $8B
2028 $9B
2029 $9B
2030 $10B
2031 $10B
Terminal Value $224B Net Worth/Share $15
DCF Valuation DCF Valuation "What If" Scenario Table
Enterprise Value $192B Growth Rate
(+) Cash & Cash Equivalents $9B $116 1.5% 2.0% 2.5% 3.0% 3.5%
(-) Total Debt $42B WACC 6.5% 108 119 134 152 177
Equity Value $159B 7.1% 93 102 112 126 143
Shares Outstanding 1,366,768,315 7.8% 81 88 96 106 118
8.4% 71 77 83 91 100
DCF Intrinsic Value $116 9.0% 63 68 73 79 86
Analyzed by QuantJuice (2025)