Frito-Lay North America is the most valuable divisions for PepsiCo, forming almost 40% of the company’s valuation, as per our estimates. This division is also the most profitable for PepsiCo, with the operating margin at 30.5% through the first three quarters of 2016, compared to only 18.3% margin for the overall company during the same period. Accompanying the strong growth for the Frito-Lay North America division for PepsiCo is the North America Beverages division. PepsiCo has had a sound 2016 on the back of continual growth for its snacks division and non-carbonated drinks, especially in North America. Strengthening international growth coupled with the solid performance in North America snacks and beverages could help PepsiCo achieve its targeted adjusted EPS growth of 10% for 2016 — an estimate it raised twice during the year.

Source: Forbes January 17, 2017 19:26 UTC