TD Cowen downgrades PepsiCo to 'hold', cuts PT on pressured volumes
** Brokerage TD Cowen downgrades PepsiCo PEP.O to "hold" from "buy," citing continued volume pressure from price elasticity
** Believe price increases have widened the gap in consumer preferences between the strong Coca-Cola KO.N and Keurig Dr Pepper KDP.O brands and the PepsiCo products - brokerage
** Adds, co's plan to offer 20% bonus bags for brands like Tostitos and Ruffles, along with bonus multi-packs for value seekers in Q4, is too limited to boost volume trends significantly
** Believes with consumers returning to in-office work arrangement, the duration of the negative snacking cycle will persist longer than management expects
** Cuts PT to $183 from $190, says volume declines across PEP's carbonated beverages will continue creating further pressure on sales
** Brokerage Barclays also cuts PT to $183 from $186
** Nine of 23 brokerages rate the stock "buy" or "higher", 13 "hold" and one "sell"; their median PT is $183 - LSEG
** Up to last close, stock up nearly 2% YTD
Reporting by Anuja Bharat Mistry in Bengaluru
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