Stock Comparison
MDLZ vs PEP: Which Is the Better Pick in 2026?
A head-to-head comparison of Mondelez International, Inc. and PepsiCo, Inc. covering yield, cost, risk, and income potential.
Data updated August 24, 2026
Best for
- MDLZInvestors who want direct ownership of the underlying business, with no fund wrapper or management fee.
- PEPInvestors who want higher current income (4.01% vs 3.12% for MDLZ).
Visual comparison
Key metrics
Projected income on $10K
Projections assume the current yield and share price remain constant. Actual results will vary.
Total returns
MDLZ has outpaced PEP over the trailing twelve months, posting a 5.57% total return against -2.07%. The lead holds up over 10 years too: MDLZ has compounded at 6.58% a year, against 5.98% for PEP. Figures are total returns: price change plus every distribution reinvested.
| Symbol | YTD | 1Y | 3Y | 5Y | 10Y | Since Jun 2001 | Volatility | Sharpe | Sortino | Max drawdown |
|---|---|---|---|---|---|---|---|---|---|---|
| MDLZ | 22.19% | 5.57% | -0.20% | 2.99% | 6.58% | 5.55% | 21.1% | -0.22 | -0.31 | -29.0% |
| PEP | 1.78% | -2.07% | -3.79% | 0.99% | 5.98% | 7.52% | 20.0% | -0.42 | -0.59 | -27.5% |
Total return with all distributions reinvested on the ex-dividend date, split-adjusted, as of August 21, 2026. YTD and 1Y are cumulative; longer windows are annualized. “Since Jun 2001” measures every fund from June 13, 2001 — the youngest fund's first trading day — so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.
Side-by-side snapshot
| Metric |  MDLZ |  PEP |
|---|---|---|
| Full name | Mondelez International, Inc. | PepsiCo, Inc. |
| Issuer | — | — |
| Last Close | $64.45 as of August 24, 2026 | $143.48 as of August 24, 2026 |
| Distribution yield | 3.12% | 4.01% |
| Distribution Safety Score™ | 99 | 99 |
| Expense ratio | — | — |
| AUM | — | — |
| Distribution frequency | Quarterly | Quarterly |
| Underlying index | — | — |
| Objective | Manufactures, markets, and sells snack food and beverage products worldwide including Oreo, Ritz, Cadbury, and Toblerone brands. | Manufactures, markets, distributes, and sells beverages and convenient foods worldwide under brands including Pepsi, Lay's, Gatorade, and Quaker. |
| Asset class | Equity | Equity |
| Inception date | N/A | N/A |
| Beta | 0.404 | 0.361 |
| Last dividend | $0.5000 | $1.4800 |
| Ex-dividend date | 09/30/2026 | 09/04/2026 |
Bottom lineChoose MDLZ if you want direct ownership of the underlying business, with no fund wrapper or management fee. Choose PEP if you want higher current income (4.01% vs 3.12% for MDLZ).
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Quick verdict
MDLZ (Mondelez International, Inc.) and PEP (PepsiCo, Inc.) are both quarterly-pay dividend-paying stocks, but they take different approaches.
PEP offers the higher yield at 4.01% vs 3.12% for MDLZ. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.
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Deep dive
Yield & income
On a $10,000 investment, MDLZ would generate roughly $26.00/month, while PEP would produce $33.42/month, at current distribution rates. Both pay quarterly distributions.
Strategy & risk
MDLZ is a stock built around snack foods exposure, while PEP is a stock built around beverages & snacks exposure. Beta is 0.404 for MDLZ and 0.361 for PEP — effectively similar market sensitivity.
Security details
MDLZ (Mondelez International, Inc.) is a stock. PEP (PepsiCo, Inc.) is a stock.
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Frequently asked questions
What is the current distribution yield for MDLZ and PEP?
MDLZ currently distributes 3.12% and PEP 4.01%, based on fund data updated August 2026. Distribution yield moves with both the payout and the share price, so check the as-of date before relying on either figure.
Is MDLZ or PEP better for dividend income?
It depends on your goals. PEP currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.
What is the difference between MDLZ and PEP?
MDLZ (Mondelez International, Inc.) is a stock built around snack foods exposure, while PEP (PepsiCo, Inc.) is a stock built around beverages & snacks exposure. They are issued by — and — respectively.
Can I hold both MDLZ and PEP?
Yes — nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.
Is MDLZ or PEP safer?
By Dividend Vision's Distribution Safety Score — a rules-based 0–100 estimate of how resilient a distribution looks, where higher is safer — they are effectively tied: MDLZ scores 99, PEP scores 99. Neither has a clear safety edge on that measure. No score makes an investment risk-free — treat this as a screening signal, not a guarantee.
How much income does $10,000 in MDLZ vs PEP generate?
At current rates, $10,000 in MDLZ would generate roughly $26.00 per month ($312.00 annually). The same in PEP would produce about $33.42 per month ($401.00 annually).
Which has performed better historically, MDLZ or PEP?
MDLZ has outpaced PEP over the trailing twelve months, posting a 5.57% total return against -2.07%. The lead holds up over 10 years too: MDLZ has compounded at 6.58% a year, against 5.98% for PEP. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.
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MDLZ vs PEP — at a glance
Generated August 15, 2026.
Figures quoted in this analysis are from its generation date and may lag the live snapshot table above, which always shows the latest data.
Overview
MDLZ and PEP are dividend-paying consumer staples stocks in the packaged food and beverage space. MDLZ focuses primarily on snack foods—cookies, crackers, and confectionery—while PEP operates a broader portfolio spanning beverages, salty snacks, and convenient foods. The key distinction is portfolio breadth: PEP's dual exposure to beverages and snacks provides more diversified revenue streams than MDLZ's concentration in snacking.
How they differ
PEP yields 88 basis points more than MDLZ at 4.10% versus 3.22%, reflecting both a higher absolute stock price ($140.79 vs. $63.61) and PEP's larger, more mature cash-generation capacity. MDLZ carries higher systematic risk, with a beta of 0.404 compared to PEP's 0.361, meaning MDLZ typically swings more in line with broader market moves—though both remain relatively stable relative to the overall market. PEP has a much longer public history, listed since 1972, whereas MDLZ traces its roots to a 2001 spinoff from Kraft Foods; this longevity reflects PEP's established dividend infrastructure and track record of distribution growth across economic cycles.
Who each is best for
MDLZ: Fits investors seeking equity exposure to global snacking trends with moderate dividend income and lower-than-market volatility, particularly those comfortable with exposure concentrated in a single product category.
PEP: Designed for income-focused investors who prioritize a higher current yield alongside broad exposure to both beverages and snacks, and who value a longer dividend-growth history and lower systematic risk.
Key risks to know
- Commodity cost volatility. Both stocks depend on commodity input prices (cocoa, grains, sugar) that can compress margins. MDLZ's snack-only mix leaves less room to offset ingredient cost spikes with pricing power compared to PEP's diversified portfolio.
- Category-specific demand shifts. MDLZ's concentrated exposure to snacking leaves it more vulnerable to sustained consumer preference shifts toward healthier categories or private-label alternatives than PEP faces with its beverages and snacks split.
- Currency headwinds. Both derive significant international revenue; MDLZ's global footprint and lower beta may amplify foreign exchange sensitivity relative to its domestic revenue base.
- Dividend sustainability in downturns. PEP's higher distribution rate (4.10%) leaves less margin for error if earnings decline sharply; MDLZ's lower yield provides more cushion, though both are lower-risk than higher-yielding peers.
Bottom line
If you want a higher current yield with diversified revenue sources and lower volatility, PEP's 4.10% distribution and beverage-plus-snacks mix appeal; if you prefer lower systematic risk specifically within snacking and are comfortable with a smaller income stream, MDLZ offers a cleaner exposure. Both trade with relatively low betas and quarterly distributions, so the choice hinges on yield preference and product-category conviction. Past performance doesn't guarantee future results.
AI-generated analysis for educational purposes only. Verify important details independently; past performance does not guarantee future results.
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