NEW YORK (TheStreet) -- Shares of PepsiCo (PEP) - Get Report were advancing late Friday morning as analysts were positive on the stock after the company's solid 2016 third quarter results yesterday.

BMO Capital Markets upped its price target to $120 from $116 on shares of the Purchase, NY-based food and beverage company. The firm also reiterated its "outperform" rating.

"PEP reported 3Q16 core EPS of $1.40, $0.08 ahead of our and consensus estimates, as solid revenue growth, particularly in Frito-Lay North America and North American beverages, drove favorable operating leverage. PEP's earnings momentum is poised to continue, reflecting broad-based sales growth, further SG&A leverage, and greater visibility to cost savings," BMO wrote in an analyst note.

Deutsche Bank maintained a "buy" rating and $120 price target on the stock after the quarterly report.

"While boring to some, company is executing on its model of balanced top and bottom line growth, reinvesting excess upside in innovation, capabilities and marketing to create a virtuous cycle of mid-single digit organic growth, margin expansion, advertising reinvestment and high single to low double-digit EPS growth," the firm wrote in a note this morning.

Deutsche Bank sees a near-term path to positive revisions with substantial earnings flexibility enabled by more than $1 billion of annual productivity savings.

Jefferies reduced its price target to $122 from $124, but maintained its "buy" rating on PepsiCo shares.

"We continue to recommend PEP following a strong 3Q, which included 'signs of improvement' in EMs (+8% in qtr), strength at Frito-Lay North America, as well as upside in North American beverages," the firm said.

"PEP is well positioned to deliver on its 4% guide for the year and we see ~2-3 points of potential upside to PEP's upwardly revised FY16 EPS guide," Jefferies added.

The firm also noted that PepsiCo remains a core holding.

(PepsiCo is held in Jim Cramer's charitable trust Action Alerts PLUS. See all of his holding with a free trialhere.)

Separately, TheStreet Ratings Team has a "Buy" rating with a score of A on the stock.

The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, notable return on equity, expanding profit margins and good cash flow from operations.

The team believes its strengths outweigh the fact that the company has had generally high debt management risk by most measures that were evaluated.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: PEP

Image placeholder title