Given today's choppy, consolidating markets, if your portfolio does not contain a consumer products defensive stock, consider adding PepsiCo (NYSE: PEP).

Pepsi has all the ingredients for a reasonably safe consumer play: a leading primary brand, product diversification, established market positions, a wide geographical footprint, marketing savvy, and cost discipline.

Pepsi has a large snack operation, but the major business model here is, of course, beverages, led by Pepsi Cola, which vies with Coke (NYSE: KO) for global cola supremacy. Operating in about 200 countries, look for PEP international market share to increase in 2007-2009. The company is also well-positioned in the juice and non-carbonated drink segments, which are also expected to perform well, moving forward. Rising commodity costs may pressure margins, but PEP does have modest pricing power as a response. Superior marketing adds to an impressive corporate operation: Pepsi frequently responds to rival Coke's new marketing efforts with something more trendy and cool, particularly as interpreted by teens and younger adults.

Technically, PEP's chart looks good. Aside from the August 2007 market sell-off, PEP's stock has danced with its 50-day moving average on three occasions in 2007, but the chart otherwise displays a healthy advance, minor correction pattern. PEP's chart has also cleared resistance at $70. Equally important, PEP has been above its 200-day moving average -- the toughest average to break -- for about three years. The P/E of 19 is not cheap, but it's reasonable given the company's growth prospects.

Stock Analysis: PEP is a low-risk stock. If you don't already own a consumer products stock as a defensive, consider adding PEP to your portfolio. Investors with an investment horizon longer than 1 year should be rewarded from PEP's shares. Sell / Stop Loss: $53.