Costs for plastic bottles and fuel to transport beverages have risen as oil prices heated up this year. Oil prices affect the price of polyethylene terephthalate, or PET, the plastic used by beverage companies to make soda bottles. Coke, Pepsi, Dr Pepper Snapple ( DPS) and other beverage makers cannot hedge the prices they pay for PET because the material is not traded like other commodities.


Over the last three months, Coke shares have fallen less than 3%, while Pepsi lost around 11.5%. Dr Pepper Snapple's stock is lower by around 5.3% in the same period.

Pepsi shares were 1.4% lower at $61 in trading Tuesday ahead of Wednesday's earnings report.


-- Written by Miriam Marcus Reimer in New York.

>To contact the writer of this article, click here: Miriam Reimer.

>To follow the writer on Twitter, go to @miriamsmarket.

READERS ALSO LIKE:







>>See our new stock quote page.
Disclosure: TheStreet's editorial policy prohibits staff editors and reporters from holding positions in any individual stocks.

If you liked this article you might like

Natural Alternatives to Sports Drinks - Buying Guide

Uber's New Brand Chief Says the iPhone X Costs Too Much Money

Uber's New Brand Chief: Why I Took the Job and What I'm Going to Do Now

Coca-Cola Is Inching Closer to Monster Beverage Takeover

Hurricane Irma Sends People Panicking to Buy Bottled Water