JPMorgan analyst Andrea Teixeira downgraded PepsiCo to Neutral from Overweight and cut her price target 19% to $138 from $170, as she warned that earnings expectations may require further reductions amid continued weakness in North America. PepsiCo shares fell more than 1% Tuesday. Teixeira said ingredient and packaging changes and lower prices have yet to generate a meaningful sales improvement at Frito-Lay North America, while a recovery at PepsiCo Foods North America appears increasingly dependent on broader economic conditions rather than company-specific initiatives. JPMorgan lowered its 2027 and 2028 EPS forecasts to $8.86 and $9.33, respectively, and cut its third-quarter organic sales-growth forecast to 2.8% and EPS estimate to $2.29. International markets have performed better, aided by favorable weather and the FIFA World Cup, but Teixeira views those benefits as temporary. PepsiCo trades at roughly 15 times earnings, broadly in line with peers, providing some valuation support ahead of third-quarter results due before markets open on October 8.