Investment "Logic"

Back on April 30 (yeah, I'm way behind), Pepsico announced their first quarter financial earnings for 2018.  Earnings came in at $0.96, beating consensus by three cents and sales were $12.56B also ahead of analyst expectations of $12.35B.  Finally, organic growth came in line with company guidance at 2.3%.  In all, the quarter was solid.  Maybe not perfect, but definitely solid. As has been the case for a couple quarters already, North American Beverages (NAB) under performed the overall company.  There were operating and raw material inflation costs as well as some one-time bonus impacts.  That said, NAB did improve performance quarter over quarter for the third quarter in a row.  Guidance has been that this is the path they're on and that it will continue, so I see that as a positive at this point.  There are worries among the analyst community about competition and pricing wars, particularly in the sports drink section, but management seems to have the facts to back up

Today I increased my position in Pepsico by 25% at a price of $97.25.  While I haven't had a chance to complete my homework and post my review on the company's first quarter results, I do know the company beat expectations and provided a solid set of results for the quarter.  The one thing that I noted to like, in particular, was the fact that North American Beverages (NAB) didn't do as bad as analysts expected.  While there is some concern on all of the China and Tariff talks impacting the stock and the fact that the company is seeing more competition against the 10-year treasury, we've now seen the stock drop roughly 21% from its 52 week highs.  This selloff is getting to be over done and any good news could sent the stock higher.  If the stock drops to $92.75 we'll see the stock yielding 4% and that's far from typical for this consistent player.  I do have more room in my position and cash levels to take advantage of more down side - and I do see potentia

Back on April 20, Honeywell announced the results of their first quarter operations.  Results were strong, with earnings coming in a $1.95 and sales coming in at $10.4B - both of which were beats against expectations of $1.90 and $10.02B respectively.  Organic sales also beat guidance of 2% - 4%, by resulting in 5% along with 40 basis points of margin expansion and $1B of cash flow.  Additionally, the company spent $1.4B in share repurchases ($950M) and dividends since there weren't ideal investment opportunities to go after.  Growth was led by the aerospace division with 8% organic growth along with 6% organic growth from the Safety and Productivity solutions division.  Home and Business Technologies and Performance Materials and Technologies grew 2% and 3% organically, respectively.   Results were strong enough that the company raised EPS guidance to a range of $7.85 - $8.05, raising both the lower and upper ends.  They anticipate organic growth of 3%-5% and the sales of t