PepsiCo IncPepsiCo reported steady revenue growth and strong free cash flow, making it the preferred pick over Molson Coors.
PepsiCo and Molson Coors Beverage present contrasting investment cases for 2026. PepsiCo reported fiscal 2025 revenue of approximately $93.9 billion, up nearly 2.3% year-over-year, with net income of about $8.2 billion, down from $9.6 billion the prior year, and generated close to $7.7 billion in free cash flow. Molson Coors saw revenue decline roughly 4% to nearly $11.1 billion, swung to a net loss of approximately $2.1 billion from a profit of over $1.1 billion in fiscal 2024, yet produced nearly $1.1 billion in free cash flow and carries a lower debt-to-equity ratio of close to 0.6x versus PepsiCo's approximately 2.5x. Molson Coors trades at a forward P/E of 8.1x and a P/S ratio of 0.7x, compared to PepsiCo's 16.6x and 2.1x, and offers a higher forward dividend yield of 4.95% against PepsiCo's 4.15%. Despite Molson Coors' cheaper valuation and higher yield, PepsiCo's steady growth and snack-food dominance make it the preferred pick.
PepsiCo IncPepsiCo reported steady revenue growth and strong free cash flow, making it the preferred pick over Molson Coors.
Molson Coors Brewing Co Class BMolson Coors saw revenue decline and swung to a net loss, making it the less preferred pick.
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