High-Yield Nasdaq-100 Stocks: A Deep Dive into PepsiCo, Comcast, and Kraft Heinz

Analyzing High-Yield Nasdaq-100 Stocks: A Closer Look at PepsiCo, Comcast, and Kraft Heinz

In an ever-shifting economic landscape, investors are constantly seeking stable and rewarding investment opportunities. Stocks like PepsiCo (PEP), Comcast (CMCSA), and Kraft Heinz (KHC) stand out as particularly appealing options, currently yielding north of 4%. These are substantial payouts in any environment, but they become even more noteworthy as the Federal Reserve begins to consider interest rate reductions. These three companies represent the highest-yielding investments within the Nasdaq-100, a collection of the 100 largest non-financial companies listed on the Nasdaq Composite. While the Nasdaq-100 is heavily weighted towards technology stocks, these well-known consumer brands offer a different investment profile.

PepsiCo (PEP)

PepsiCo's stock has experienced a decline of nearly 20% over the past year, reflecting headwinds in the broader beverage sector. However, PepsiCo demonstrates resilience and adaptability that goes beyond the negative perceptions associated with traditional sugary drinks. Despite declining consumption of sugary carbonated beverages, PepsiCo has managed to achieve consistent revenue growth for eight consecutive years. Even with revenue slightly decreasing in three of the last four quarters, analysts predict a strong rebound in the second half of the year, potentially driving revenue higher for the ninth consecutive year. This growth can be attributed to PepsiCo's ability to diversify its product offerings to meet changing consumer preferences. The acquisition of SodaStream in 2018 allowed the company to capitalize on the growing trend of at-home sparkling beverage creation. Furthermore, the company increased its stake in an energy drink company that has seen its shares soar in 2025. PepsiCo is already a market leader across a wide range of beverage categories, as well as salty snacks and oatmeal. As the stock price has decreased, the dividend yield has increased, making PepsiCo an attractive option for potential investors. The company also increased its quarterly dividend by 5% earlier this year, extending its impressive streak of 53 consecutive years of dividend increases. With a forward payout ratio of 65%, PepsiCo presents a sound financial proposition. The stock is trading at less than 17 times next year's projected earnings, which isn't the lowest multiple on this list, but it represents a good value compared to many of the high-flying stocks of the year.

Comcast (CMCSA)

If you are looking for high yields coupled with low price-to-earnings (P/E) ratios, you may want to consider Comcast. The company offers a 4.2% dividend and is trading at only 7 times this year's earnings. However, there are some caveats to consider. As a highly leveraged company, the multiple nearly doubles if you consider its enterprise value of $209 billion instead of its market capitalization of $117 billion. Furthermore, the company faces challenges in two of its primary cash-generating businesses. Comcast has been experiencing a decline in its cable television subscriber base for years. Now, even its previously stable broadband connectivity business is facing headwinds. This is a significant concern, as these two segments generated 64% of Comcast's revenue and 83% of its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) in 2024. Comcast's prospects look brighter as a content creator. NBC Universal makes it a powerful force in media networks, streaming services, and theme parks. The company is also committed to returning value to its shareholders. It's not just the high dividend yield, trading at a historical high. Comcast spent $8.6 billion on stock buybacks last year. With bidding wars erupting this summer for media companies, content is king. I am optimistic about Comcast's ability to rebound after a 22% decline over the past year.

Kraft Heinz (KHC)

With a yield exceeding 6%, Kraft Heinz is the most generous dividend payer among the Nasdaq-100 companies. However, this situation might not last for long. This isn't necessarily a commentary on the sustainability of the dividend itself. Kraft Heinz announced this month that it plans to split its business into two separate entities. The company that supplies grocery stores with well-known brands beyond Kraft and Heinz, including Jell-O, Oscar Mayer, and Ore-Ida, will divide into one public company for its refrigerated products and another for its shelf-stable items. It is important to note that Warren Buffett played a key role in the initial merger of these two companies. Berkshire Hathaway holds a 27.5% stake in Kraft Heinz. Buffett is reportedly unhappy with the planned separation, and it is easy to understand why. If the two companies struggled together, how will they thrive without the economies of scale they currently enjoy? Analysts project that Kraft Heinz will rebound next year, earning enough to cover its quarterly dividend payments. It remains to be seen how the dividends will be structured after the company splits into two, but there may be an opportunity here. The shares are down 24% over the past year for a company (or soon to be two companies) with iconic brands in an otherwise buoyant market.