Pepsi Challange

My pick this quarter is Pepsi Co (PEP).  As you know, Pepsi is global giant in the beverage industry; what you may not know is that they are also a major player in the snack food industry (Frito-Lay) and oatmeal (Quaker) - unlike Coke that is strictly beverages.  This is where I think Pepsi has a big advantage over Coke.   Frito-Lay controls nearly two thirds of the U.S. snack market and dominates Latin America with a 60% market share in Brazil (developing market).  It leads in the United Kingdom (46% market share) and within continental Europe it has a decent 31% market share. I like the potential for expansion snack food in these developing markets like Latin America, where people aren't as health conscious as we are.  For the health nuts here in the USA, Quaker will be putting out healthy snack options.  On the beverage side, I think there is potential for growth in the energy drink business, which has become a huge segment in the beverage market overall and people expect it keep growing.  Pepsi has 22 billion-dollar brand products and it has doubled in ten years. Of these 22 billion-dollar brands most are either number one or number two in their respective category.  They also pay a nice a dividend (2.7%) and have solid financials.  I like PEP as a long term play.  The stock is trading at its 52 week high, so there is potential for a pull back, however I think over the long term this stock will continue to grow.