Peter Lynch's formula is:
PepsiCo Fair Value
= Earnings Growth Rate x TTM EPS
PepsiCo Fair Value
= 5.00 x 6.68
PepsiCo Fair Value
= 33.40
The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.
| Historical Earnings | ||||||
| 2019-12-28 | 2020-12-26 | 2021-12-25 | 2022-12-31 | 2023-12-30 | 5Y Avg | |
| Net income | 7,314.00 | 7,120.00 | 7,618.00 | 8,910.00 | 9,074.00 | 8,007.20 |
| YoY growth | -41.56% | -2.65% | 6.99% | 16.96% | 1.84% | -3.68% |
