Diageo (DEO) vs PepsiCo (PEP)
Head-to-head comparison of performance, valuation, growth, profitability and dividends. Prices delayed 15 minutes; data as of Oct 8, 2026.
Summary
Diageo (DEO) has outperformed PepsiCo (PEP) over the past year, losing 11.6% versus a loss of 12.1%. Over five years, PEP leads with a -22.1% price change compared with -57.5% for DEO. PepsiCo is the larger company by market cap ($169.02 billion vs $47.12 billion), about 3.6 times the size.
On valuation, Diageo trades at a lower forward P/E (11.8x vs 13.9x for PepsiCo). PepsiCo offers the higher dividend yield (4.65% vs 0.59%). Diageo converts more of its revenue into profit, with a net margin of 9.1% versus 8.8%.
Summary generated from market data by MetaCap's automated system. Methodology
Relative performance
Percent change in share price from the first common trading day shown; excludes dividends.
Head-to-head
| Metric | DEO | PEP |
|---|---|---|
| Share price | $84.73 | $123.73 |
| Market cap | $47.12B | $169.02B |
| 1-day change | -0.06% | -1.58% |
| YTD return | -1.79% | -13.79% |
| 1-year return | -11.65% | -12.12% |
| 5-year return | -57.48% | -22.09% |
| P/E ratio (TTM) | 27.07 | 16.48 |
| Forward P/E | 11.79 | 13.89 |
| EPS (TTM) | $3.13 | $7.51 |
| Dividend yield | 0.59% | 4.65% |
| Annual dividend | $0.50 | $5.75 |
| Revenue (latest FY) | $27.96B | $93.92B |
| Revenue growth (YoY) | +0.26% | +2.25% |
| Net income (latest FY) | $2.54B | $8.24B |
| Gross margin | 43.53% | 54.15% |
| Operating margin | 15.50% | 12.24% |
| Net margin | 9.08% | 8.77% |
| 52-week high | $102.74 | $171.48 |
| 52-week low | $72.45 | $123.47 |
| Distance from 52-week high | -17.53% | -27.85% |
| Analyst consensus | strong_buy | hold |
| Avg. price target upside | +26.96% | +20.13% |
| Average volume | 1.07M | 8.15M |
| Shares outstanding | 556.15M | 1.37B |
| Employees | 27,972 | 306,000 |
| Sector | Consumer Staples | Consumer Defensive |
| Industry | Beverages (Production/Distribution) | Beverages - Non-Alcoholic |
Highlighted cells mark the higher value for growth, returns, margins and yield, and the lower value for P/E ratios. Highlighting is a mechanical comparison, not a recommendation.
Key differences
- PepsiCo is about 3.6 times larger than Diageo by market value ($169.02B vs $47.12B).
- Diageo trades at a higher earnings multiple (27.1x vs 16.5x trailing P/E).
- PepsiCo offers a meaningfully higher dividend yield (4.65% vs 0.59%).
- The two companies sit in different sectors: Diageo in Consumer Staples and PepsiCo in Consumer Defensive.
About Diageo
DEO stock →Diageo plc, together with its subsidiaries, engages in the production, marketing, and distribution of alcoholic beverages in North America, Europe, the Asia Pacific, Latin America and Caribbean, and Africa. It offers beer, scotch, gin, vodka, rum, liqueur, raki, wine, cachaça, tequila, brandy, and Chinese white spirit beverages, as well as Irish, Canadian, Chinese US, and Indian whisky.
Consumer Staples · Beverages (Production/Distribution) · 27,972 employees
About PepsiCo
PEP stock →PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide.
Consumer Defensive · Beverages - Non-Alcoholic · 306,000 employees
DEO vs PEP FAQ
Which is bigger, Diageo or PepsiCo?
PepsiCo (PEP) is larger, with a market capitalization of $169.02B compared with $47.12B for Diageo (DEO).
Which stock has performed better over the past year, DEO or PEP?
DEO returned -11.65% over the past 12 months, compared with -12.12% for PEP (price return, excluding dividends). Past performance does not predict future results.
Which has the lower P/E ratio, DEO or PEP?
PEP has the lower trailing P/E at 16.5, versus 27.1 for DEO. A lower P/E is not by itself a sign of a better investment; it can reflect slower expected growth or higher risk.
Which pays a higher dividend, Diageo or PepsiCo?
PepsiCo has the higher yield at 4.65%, compared with 0.59% for Diageo.
Are Diageo and PepsiCo in the same industry?
No. Diageo is in the Consumer Staples sector, while PepsiCo is in Consumer Defensive.