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Consumer DefensiveBeverages - Non-Alcoholic

PEP Dividend Calculator: Project PepsiCo Dividend Income

PepsiCo combines a global beverage business with Frito-Lay's snack portfolio — a mix that has supported more than five decades of annual dividend increases and a yield that typically runs above Coca-Cola's.

The payout consumes a large share of earnings, and the company carries meaningful debt, so income growth depends on continued pricing power in snacks and drinks. Long-term holders treat PEP as a core staples position with a rising income stream.

Use this calculator to project PEP income from a lump sum or monthly contributions, with or without reinvestment, or solve backwards from a target.

Run PEP in the calculatorCompare dividend ETFs

Data as of September 27, 2026 · Sources: Yahoo Finance and company filings.

Share price
$128.63
Dividend yield (TTM)
4.60%
TTM dividend / share
$5.80
Distribution frequency
Quarterly
Payout ratio
75%
Market cap
$175.7B
How much PEP do you need for your income goal?

Capital required at the current 4.60% yield, before taxes and before accounting for future dividend growth or reinvestment.

Monthly incomeAnnual incomeCapital requiredApprox. shares
$500/month$6.0K$130.4K1,015
$1,000/month$12.0K$260.9K2,029
$2,000/month$24.0K$521.7K4,057
$3,000/month$36.0K$782.6K6,085
$5,000/month$60.0K$1.3M10,141
$10,000/month$120.0K$2.6M20,281

Estimates only. Yield, share price, and distributions change over time. Use the full calculator to model monthly contributions, dividend growth, taxes, and reinvestment.

How long to reach your PEP income goal?

Years until projected dividend income first reaches each target, starting from zero with every distribution reinvested. Assumes today's 4.60% yield and dividend growth consistent with the fund's record; taxes and withdrawals are excluded.

Monthly contribution$500/month$1,000/month$2,000/month$5,000/month
$250/month14 yr17 yr20 yr24 yr
$500/month10 yr14 yr17 yr21 yr
$1,000/month7 yr10 yr14 yr18 yr

Projections assume a constant yield, dividend growth consistent with the holding's recent record, no price changes beyond its recent trend, and full reinvestment. Actual results will differ. Dividend income is shown before taxes.

Who PEP is for
  • Investors who want a long dividend-increase record with a yield above KO's
  • Consumer-staples core holdings in income portfolios
  • Taxable accounts, since distributions are generally qualified
  • Investors building a rising income stream over decades
Trade-offs to understand
  • High payout ratio and meaningful debt load
  • Snack and beverage demand faces changing consumer preferences
  • Quarterly distributions only

About Pepsico, Inc.

PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through six segments: PepsiCo Foods North America; PepsiCo Beverages North America; International Beverages Franchise; Europe, Middle East and Africa; Latin America Foods; and Asia Pacific Foods. It offers cereals, chips, dips, granola bars, oatmeal, pasta, rice, and syrups and mixes; refrigerated dips and spreads; beverage concentrates, fountain syrups, and finished goods; and ready-to-drink tea and coffee products. The company also provides SodaStream sparkling water makers and related products, as well as various dairy products under the Agusha, Chudo, and Domik v Derevne brands. It serves wholesale and other distributors, foodservice customers, grocery stores, drug stores, convenience stores, discount/dollar stores, mass merchandisers, membership stores, hard discounters, e-commerce retailers and authorized independent bottlers, and others through a network of direct-store-delivery, customer warehouse, and distributor networks, as well as directly to consumers through e-commerce platforms and retailers. PepsiCo, Inc. was founded in 1898 and is based in Purchase, New York.

PEP key facts
MetricValue
CompanyPepsico, Inc.
SectorConsumer Defensive
IndustryBeverages - Non-Alcoholic
TickerPEP
Share price$128.63
Dividend yield (TTM)4.60%
Annual dividend / share$5.92
TTM distributions / share$5.80
Payout ratio75%
Distribution frequencyQuarterly
Market cap$175.7B

Figures are the latest available and change with price and company reporting. The payout ratio is omitted when reported earnings distort it above 120% — common for REITs and companies with large one-off charges. Historical performance is not a forecast.

PEP dividend history and payout schedule
TTM / share
$5.80
Yield (TTM)
4.60%
Annual growth
6.8%
Pays in
March, June, September, December
Payment datePer share
September 4, 2026$1.48
June 5, 2026$1.48
March 6, 2026$1.42
December 5, 2025$1.42
September 5, 2025$1.42
June 6, 2025$1.42
March 7, 2025$1.36
December 6, 2024$1.36

Annual growth compares the latest twelve months of distributions with the twelve months ending four years earlier and is not a forecast. Past distributions can be reduced or suspended.

PEP frequently asked questions

PEP yields about 4.60% per year on a trailing basis at $128.63 per share. Its yield generally runs above Coca-Cola's while remaining below high-yield sectors like tobacco.

At a 4.60% yield, $12,000 per year takes roughly $260.9K, or about 2,029 shares at $128.63. Contributions and annual dividend increases reduce the required capital over time.

PepsiCo distributes quarterly, recently in March, June, September, December. The trailing twelve-month distribution totals about $5.80 per share. Reinvestment is available automatically at most brokers.

Comparing the latest twelve months of distributions with the twelve months ending four years earlier, PEP's per-share payout has grown at roughly 6.8% per year. Increases are declared annually and are not guaranteed.

PepsiCo has increased its dividend for more than 50 consecutive years, supported by Frito-Lay margins and global beverage cash flow. The payout ratio is high and debt is significant, so sustained earnings pressure would slow increases rather than protect them automatically.

Both are consumer-staples dividend stalwarts. PEP typically offers the higher yield, helped by its snack business; KO typically offers the longer increase streak and a lower payout ratio. Compare their live numbers side by side before choosing.

Investing $500 a month with all distributions reinvested, PEP's projected dividend income reaches $1,000 a month in about 14 years. By then you would have contributed roughly $84.0K and the projected portfolio value would be about $143.9K. This assumes today's 4.60% yield and the growth assumptions shown in the calculator, with no taxes or withdrawals — projections, not guarantees.
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Disclaimer: This page is for educational purposes only and is not financial, investment, or tax advice. Data is sourced from Yahoo Finance and company filings and may be delayed or contain errors. Dividends are not guaranteed and can be reduced or suspended. Past performance is not indicative of future results. Always consult a qualified advisor before making investment decisions.