The food and beverage company Pepsi (NASDAQ: PEP) is set to announce its third-quarter financial results on Tuesday, October 05. The company is expected to post quarterly earnings of $1.73 per share and revenues are expected to be $19.3 billion.
Pepsi has shown annual earnings growth of 5.28% over the last five years. While the investors remain concerned about how rising COVID-19 cases impacted third-quarter earnings.
Technically the overall momentum remains bearish from the last 4 weeks since it was rejected and wicked from the upper descending trendline. However, the Pepsi shares have gained more than 6% this year.
Pepsi stock closed slightly lower on Monday. In the short term, if the bearish momentum continues the next downside levels to watch $148 and then $140. On the flip side, the stock needs to find strong buyers near the downside descending trendline and take out the $160 resistance, thus invalidating the trendline pattern. The move above the $160 will drive the stock up to the next upside level of $170/75.