NEW YORK (TheStreet) -- PepsiCo (PEP - Get Report) shares are down 1.32% to $96 in early market trading on Thursday after the food and beverage company reported its first quarter earnings results before the opening bell today.

The Purchase, NY-based company beat analysts first quarter earnings expectations, earning $1.22 billion, or 83 cents per diluted share which topped Thomson Reuters I/B/E/S consensus estimates of 79 cents per share. Revenue for the period declined 3.2% to $12.22 billion, but also beat analysts' $12.18 billion expectations for the quarter.

However, the company, which generates about 30% of its revenue outside of North America, said that currency headwinds caused by a strengthening dollar would hurt its revenue by 10% and its earnings by about 11%.

For the just concluded quarter, the company reported a 3.1% increase in revenue from its Frito-Lay snack business to $3.32 billion while beverage revenues remained relatively flat at $4.43 billion.

Jim Cramer, manager of the Action Alerts PLUS Charitable Trust Portfolio, is upbeat about the company's prospects had this to say about Pepsi's quarterly report.

This is just another consistent terrific quarter from Pepsico and I think any weakness is a buy, plain and simple. What fabulous gross margins!

TheStreet Ratings team rates PEPSICO INC as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:

"We rate PEPSICO INC (PEP) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its notable return on equity, good cash flow from operations, expanding profit margins and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

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