PepsiCo (PEP) shares have drifted near 52-week lows around $138–$139, pushing the dividend yield above 4.2% after the company raised its annual payout 4% to $5.92 per share in June 2026. That yield is roughly three times the S&P 500 average, but the elevation is largely a mathematical consequence of a stock price that has declined about 10% over the past five years.
The board declared the quarterly dividend of $1.48 per share on July 17, 2026, marking the 54th consecutive annual increase and extending PepsiCo's status as a Dividend King. At the current annualized rate of $5.92, an investor would need approximately 3,378 shares to generate $20,000 in yearly dividend income — a position valued near $468,000 at recent prices.
Beneath the yield, the business tells a story of two geographies. International segments are carrying the load: Europe, Middle East and Africa core operating profit rose 29% in the first quarter, while Asia Pacific Foods advanced 35%. In contrast, North America food sales fell 2% organically in the second quarter and beverage volume grew just 1%, both trailing expectations. CEO Ramon Laguarta attributed the tempered results to U.S. consumer budgets tightening.