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Compare Stocks › DE vs PEP

Deere & Company (DE) vs PepsiCo, Inc. (PEP)

DE
Deere & Company
$567.58
VS
PEP
PepsiCo, Inc.
$152.74

Rewards

DE
  • ★Free cash flow has grown at a 52.5% CAGR over the past 4 years, demonstrating strong earnings power growth.
  • ★Dividend yield of 1.14% with a consistent or growing payout over the past 4 years.
PEP
  • ★PepsiCo, Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • ★PepsiCo, Inc. scores 88/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
  • ★Free cash flow has grown at a 11.0% CAGR over the past 4 years, demonstrating strong earnings power growth.

Risks

DE
  • ⚠FCF yield of 2.7% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
  • ⚠Trailing P/E of 32.0x is 80% above the historical average of 17.8x — the stock trades at a premium to its own history.
  • ⚠High leverage (2.40x debt/equity) combined with thin interest coverage (-1.0x) poses financial risk.
PEP
  • ⚠High leverage (2.58x debt/equity) combined with thin interest coverage (-1.0x) poses financial risk.
  • ⚠Insiders have sold $4.7M worth of stock in the past 3 months — significant insider liquidation.

Key Valuation Metrics

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DE
PEP
Valuation
$4.20B
Free Cash Flow
$8.23B
2.74%
FCF Yield
3.94%
32.05
Trailing P/E
25.46
24.54
Forward P/E
16.73
Quality & Moat
3.82%
ROIC
14.19%
19.07%
ROE
40.10%
26.25%
Gross Margin
54.46%
N/A
PEG Ratio
0.38
Balance Sheet Safety
2.40
Debt / Equity
2.58
N/A
Interest Coverage
N/A
6.74
Net Debt / EBITDA
2.39
1.14%
Dividend Yield
3.73%
DE: 1Ties: 1PEP: 9
DEPEP

Historical Fundamentals

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DE

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

PEP

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

$1 Retained Earnings Test

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DE
$-0.13
created per $1 retained over 3 years
Market Cap Declined
Σ Retained
$17.54B
Δ Market Cap
$-2.23B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
PEP
$-9.83
created per $1 retained over 3 years
Market Cap Declined
Σ Retained
$5.34B
Δ Market Cap
$-52.53B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

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DE
46.2% Margin of Safety
Price is 46.2% below estimated fair value
Current Price: $567.58
Fair Value: $1054.97
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
PEP
81.1% Overvalued
Price is 81.1% above estimated fair value
Current Price: $152.74
Fair Value: $84.35
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

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DE

What growth rate is the market pricing in at $568?

+17.8%
Market-Implied Owner Earnings Growth
Standard FCF implies +20.3%

The market implies +17.8% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +20.3%, reflecting heavy growth investment.

PEP

What growth rate is the market pricing in at $153?

+13.5%
Market-Implied Owner Earnings Growth
Standard FCF implies +13.5%

The market implies +13.5% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +13.5%, reflecting heavy growth investment.

Economic Moat Score

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DE
50/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None

Narrow moat with margin stability as the key competitive advantage. Improving revenue predictability would strengthen the moat.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
PEP
88/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat with strength across all dimensions. Revenue Predictability is the standout factor.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

Forensic Accounting

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DE
-2.52
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
PEP
-2.57
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

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DE
Insiders 0.2%Institutions 83.1%Retail & Other 16.7%
No. of Institutional Holders3,146
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
PEP
Insiders 0.2%Institutions 79.9%Retail & Other 19.9%
No. of Institutional Holders4,357
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

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DE
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
PEP
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

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DE
2
Sells (3M)
3
Sells (12M)
Total value (12M): $32.47M
REED CORY J.
Officer
$6.12M
@ $510.00 · 2026-01-14
MAY JOHN C. II
Chief Executive Officer
$20.80M
@ $501.49 · 2026-01-08
MAY JOHN C. II
Chief Executive Officer
$5.55M
@ $500.08 · 2025-11-25
KALATHUR RAJESH
Chief Technology Officer
$12.30M
@ $500.61 · 2025-02-18
REED CORY J.
Officer
$5.05M
@ $377.63 · 2024-06-24
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
PEP
1
Sells (3M)
1
Sells (12M)
Total value (12M): $4.68M
LAGUARTA RAMON L
Chief Executive Officer
$4.68M
@ $167.39 · 2026-03-02
GALLAGHER MARIE T
Officer
$3.99M
@ $159.55 · 2025-03-04
FLAVELL DAVID JAMES
General Counsel
$1.04M
@ $150.90 · 2025-03-03
LAGUARTA RAMON L
Chief Executive Officer
$7.74M
@ $154.90 · 2025-03-03
KRISHNAN RAMKUMAR
Chief Executive Officer
$1.50M
@ $150.97 · 2025-03-03
WILLIAMS STEVEN C
Officer
$2.71M
@ $150.89 · 2025-03-03
SANTILLI PAULA ALEJANDRA
Officer
$1.18M
@ $151.89 · 2025-02-27
FLAVELL DAVID JAMES
General Counsel
$1.19M
@ $179.86 · 2024-05-10
KRISHNAN RAMKUMAR
Officer
$1.00M
@ $178.00 · 2024-05-09
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

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DE
FearGreed
😐Neutral(44/100)

"Market is pricing this stock without strong emotion in either direction"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
PEP
FearGreed
😐Neutral(50/100)

"Market is pricing this stock without strong emotion in either direction"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

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DE
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Neutral (44)
PEP
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Neutral (50)
View DE Full AnalysisView PEP Full Analysis