William Pecoriello | First TeamWilliam Pecoriello Morgan Stanley Second Team Robert van Brugge, Sanford C. Bernstein Third Team John Faucher, JPMorgan Runners-Up Michael Branca, Lehman; Bryan Spillane, BofA |
| William Pecoriello, 42, of Morgan Stanley leads this sector for a fifth consecutive year, thanks to his deep industry contacts, “must-read research” and detailed survey work, investors say. Pecoriello upgraded Coca-Cola Co. in February, at $46.33, on the Atlanta-based soft-drink maker’s improving global market share and cost-cutting programs. Through mid-September the stock had bubbled up 21.7 percent, to $56.40, while the sector gained 11.0 percent. Pecoriello “is data- and fact-based and is quite attuned to the industry nuances of manufacturer-distributor-retailer dynamics, as well as market share estimates,” observes one impressed buy-sider. Robert van Brugge of Sanford C. Bernstein rises one notch to second. “He does real research — he digs deep and keeps on digging,” says one client, citing the analyst’s extensive coverage of PepsiCo over the past year. Van Brugge’s most recent PepsiCo recommendation: An April upgrade to outperform, based on his view that analysts and investors were overstating concerns about weakness in the Purchase, New York–based soft-drink manufacturer’s Gatorade brand. By mid-September, PepsiCo’s shares had outperformed the sector by 2.1 percentage points. After two years in second, John Faucher slips to third, but the JPMorgan Securities analyst continues to win praise for his combination of “excellent relationships with management teams and superb analytical and modeling skills,” according to one client. Also a fan of PepsiCo, Faucher urged investors in January to buy on the dip after the stock, then at $61.74, dropped in response to fears that rising costs of corn syrup would squeeze margins. By mid-September, PepsiCo had risen 12.7 percent. | |
