Here's Your Winner In The War On Sodas

There's long been a debate between whether Coke or Pepsi tastes better.

And while I suppose that comes down to everyone's individual taste, Wall Street seems to believe that Pepsi's stock tastes better. Over the past decade, not only has PepsiCo, Inc. (PEP) performed well, more than tripling in price, but it's been steadily outperforming its biggest soft drink competitor, Coca Cola Co (KO):

Enter PepsiCo Inc (PEP):

I circled the recent relative strength in blue, which shows that PEP has been dominating KO over the past 3 months. Given its longer-term relative uptrend, I'd assume that PEP is once again flexing its muscle and will continue to outperform its rival. Not shown on the above weekly chart is PEP's excellent AD line on its daily chart. This suggests that early morning weakness is also a nice opportunity for short-term traders to capitalize, riding strength into many afternoon closes.

Happy Trading! Tom Bowley Chief Market Strategist EarningsBeats.com Better Timing. Better Trades.