10:43 AM EDT, 09/30/2024 (MT Newswires) -- PepsiCo ( PEP ) is expected to face "persistent weakness" in its North America snacks and beverages businesses in 2024 and 2025, BofA Securities said Monday.

The beverage and snacks company is now expected to report 2024 earnings of $8 per share on revenue of $92.52 billion, compared with previous expectations of $8.10 and $93.84 billion, respectively, according to BofA. The firm now pegs 2025 EPS at $8.45 on revenue of $95.35 billion versus its previous range of $8.62 and $97.30 billion, respectively.

"We lower FY24/FY25E estimates reflecting persistent weakness in North America Snacks and Beverages given consumption trends at the category level and market share losses," BofA analyst Bryan Spillane said in a note to clients. "If weakness continues, it will raise the question for potentially larger actions including restructuring, portfolio review, and/or beverage franchising."

BofA cut its price objective on the PepsiCo ( PEP ) stock to $185 from $190 while reiterating its buy rating.

Price: 170.05, Change: +0.05, Percent Change: +0.03