PepsiCo (PEP -2.97%) has satiated consumers' bellies for more than a century. But, recently, the company has left shareholders craving more. With increased competition and loss of market share, many investors wonder if this global snack food and beverage giant is simply fizzling out. Are more bland results ahead for PepsiCo?
Below is an excerpt from our brand-new premium research report, which highlights PepsiCo's leadership. It's just a taste of one section, but we hope you find it useful.
Leadership
Since October 2006, Indra Nooyi has presided as CEO, a role to which she brings a great deal of company experience. For 18 years, she rose through the ranks at PepsiCo, holding various leadership roles in strategic planning and corporate strategy. Nooyi has navigated the company amid a volatile global macroeconomic backdrop. In her tenure as CEO, she has commanded increased investments in emerging markets, overseen bottler acquisitions, and returned 30% to shareholders.
In 2011, Nooyi received approximately $17 million in total compensation, representing 0.03% of the company's gross revenues that year. By comparison, this is in line with what Coca-Cola (KO 0.15%), Dr Pepper Snapple (DPS), and Diageo (DEO -1.15%) CEOs received -- nearly 0.06%, 0.02%, and 0.02% of their companies' respective gross revenues that same year. Nooyi's performance incentives are tied to the company's growth in revenues, operating profit, earnings per share, cash flow, and return on invested capital. In 2011, revenues grew 15%, and operating profit also expanded. From 2010 to 2011, Nooyi's total annual compensation rose nearly 6%. During this time, shareholders saw a 4% total return.
Looking for more help?
That was just a small morsel of our new premium report on PepsiCo. If you're trying to figure out whether the company is a buy or sell, this brand-new premium report is an indispensable resource for investors seeking more information. Also, the report comes with updated quarterly guidance, so you'll stay in the know. To get started, simply click here.
