MSB vs. PEP

Last updated Jun 3, 2026

MSB (Mesabi Trust) and PEP (PepsiCo, Inc.) are both stocks. MSB operates in Steel (Basic Materials), while PEP operates in Beverages - Non-Alcoholic (Consumer Defensive). Over the past 10 years, MSB returned 21.20%/yr vs 6.41%/yr for PEP. At a 0.07 correlation, their price movements are largely independent.

Performance

MSB vs. PEP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Mesabi Trust (MSB) and PepsiCo, Inc. (PEP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MSB achieves a -31.70% return, which is significantly lower than PEP's -0.18% return. Over the past 10 years, MSB has outperformed PEP with an annualized return of 21.20%, while PEP has yielded a comparatively lower 6.41% annualized return.

MSB

• 1D: 0.15%
• 1M: -7.80%
• YTD: -31.70%
• 6M: -18.04%
• 1Y: 2.61%
• 3Y*: 23.35%
• 5Y*: 2.23%
• 10Y*: 21.20%

PEP

• 1D: 0.34%
• 1M: -9.79%
• YTD: -0.18%
• 6M: -2.65%
• 1Y: 12.81%
• 3Y*: -5.36%
• 5Y*: 2.20%
• 10Y*: 6.41%

*Multi-year figures are annualized to reflect compound growth (CAGR)

MSB vs. PEP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MSB Mesabi Trust	-31.70%	71.88%	47.05%	15.55%	-22.81%	3.66%	30.10%	12.34%	4.11%	155.25%
PEP PepsiCo, Inc.	-0.18%	-1.85%	-7.60%	-3.29%	6.78%	20.56%	11.67%	27.38%	-4.81%	17.82%

Correlation

The correlation between MSB and PEP is 0.03, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.03
Correlation (3Y) Calculated over the trailing 3-year period	0.04
Correlation (5Y) Calculated over the trailing 5-year period	0.03
Correlation (10Y) Calculated over the trailing 10-year period	0.05
Correlation (All Time) Calculated using the full available price history since Dec 31, 1987	0.07

Fundamentals

EPS MSB : $1.31 PEP : $6.37
PE Ratio MSB : 19.72 PEP : 22.28
PEG Ratio MSB : 0.11 PEP : 7.71
PS Ratio MSB : 17.16 PEP : 2.04
Total Revenue (TTM) MSB : $19.77M PEP : $95.45B
Gross Profit (TTM) MSB : $16.20M PEP : $51.60B
EBITDA (TTM) MSB : $12.17M PEP : $15.08B

Return for Risk

MSB vs. PEP — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

MSB

MSB Risk / Return Rank: 41
MSB Sharpe Ratio Rank: 42
MSB Sortino Ratio Rank: 39
MSB Omega Ratio Rank: 38
MSB Calmar Ratio Rank: 44
MSB Martin Ratio Rank: 44

PEP

PEP Risk / Return Rank: 57
PEP Sharpe Ratio Rank: 60
PEP Sortino Ratio Rank: 55
PEP Omega Ratio Rank: 51
PEP Calmar Ratio Rank: 57
PEP Martin Ratio Rank: 61

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

MSB vs. PEP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Mesabi Trust (MSB) and PepsiCo, Inc. (PEP). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	MSB	PEP	Difference
Sharpe ratio Return per unit of total volatility	0.06	0.59	-0.54
Sortino ratio Return per unit of downside risk	0.43	1.07	-0.65
Omega ratio Gain probability vs. loss probability	1.05	1.12	-0.07
Calmar ratio Return relative to maximum drawdown	0.17	0.76	-0.59
Martin ratio Return relative to average drawdown	0.39	2.13	-1.74
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MSB vs. PEP - Sharpe Ratio Comparison

The current MSB Sharpe Ratio is 0.06, which is lower than the PEP Sharpe Ratio of 0.59. The chart below compares the historical Sharpe Ratios of MSB and PEP, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	MSB	PEP	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.06	0.59	-0.54
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.05	0.12	-0.07
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.44	0.33	+0.11
Sharpe Ratio (All Time) Calculated using the full available price history	0.32	0.38	-0.06

Drawdowns

MSB vs. PEP - Drawdown Comparison

The maximum MSB drawdown since its inception was -92.01%, which is greater than PEP's maximum drawdown of -73.92%. Use the drawdown chart below to compare losses from any high point for MSB and PEP.

Drawdown Indicators

	MSB	PEP	Difference
Max Drawdown Largest peak-to-trough decline	-92.01%	-73.92%	-18.09%
Max Drawdown (1Y) Largest decline over 1 year	-37.08%	-16.25%	-20.83%
Max Drawdown (3Y) Largest decline over 3 years	-37.08%	-29.17%	-7.91%
Max Drawdown (5Y) Largest decline over 5 years	-47.08%	-30.32%	-16.76%
Max Drawdown (10Y) Largest decline over 10 years	-66.48%	-30.32%	-36.16%
Current Drawdown Current decline from peak	-36.07%	-19.89%	-16.18%
Average Drawdown Average peak-to-trough decline	-26.73%	-13.64%	-13.09%
Ulcer Index Depth and duration of drawdowns from previous peaks	16.02%	5.79%	+10.23%

Volatility

MSB vs. PEP - Volatility Comparison

Mesabi Trust (MSB) has a higher volatility of 13.48% compared to PepsiCo, Inc. (PEP) at 6.45%. This indicates that MSB's price experiences larger fluctuations and is considered to be riskier than PEP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MSB	PEP	Difference
Volatility (1M) Calculated over the trailing 1-month period	13.48%	6.45%	+7.03%
Volatility (6M) Calculated over the trailing 6-month period	34.07%	14.91%	+19.16%
Volatility (1Y) Calculated over the trailing 1-year period	47.46%	21.71%	+25.75%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	49.19%	18.38%	+30.81%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	48.70%	19.66%	+29.04%

Dividends

MSB vs. PEP - Dividend Comparison

MSB's dividend yield for the trailing twelve months is around 3.71%, less than PEP's 4.01% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MSB Mesabi Trust	3.71%	18.09%	4.80%	1.71%	20.14%	10.83%	5.95%	14.27%	11.78%	5.92%	5.14%	15.04%
PEP PepsiCo, Inc.	4.01%	3.92%	3.51%	2.91%	2.50%	2.45%	2.71%	2.77%	3.25%	2.64%	2.83%	2.76%

Financials

MSB vs. PEP - Profitability Comparison

The chart below illustrates the profitability comparison between Mesabi Trust and PepsiCo, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

MSB - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Mesabi Trust reported a gross profit of 2.77M and revenue of 3.59M. Therefore, the gross margin over that period was 77.1%.

PEP - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, PepsiCo, Inc. reported a gross profit of 10.73B and revenue of 19.44B. Therefore, the gross margin over that period was 55.2%.

MSB - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Mesabi Trust reported an operating income of 3.39M and revenue of 3.59M, resulting in an operating margin of 94.4%.

PEP - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, PepsiCo, Inc. reported an operating income of 3.21B and revenue of 19.44B, resulting in an operating margin of 16.5%.

MSB - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Mesabi Trust reported a net income of 2.77M and revenue of 3.59M, resulting in a net margin of 77.1%.

PEP - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, PepsiCo, Inc. reported a net income of 2.34B and revenue of 19.44B, resulting in a net margin of 12.0%.

Frequently Asked Questions

Can I hold both MSB and PEP in my portfolio?

MSB and PEP have a correlation of 0.03, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MSB or PEP?

MSB has higher volatility (13.48%) compared to PEP (6.45%). In terms of maximum drawdown, MSB dropped -92.01% vs PEP's -73.92%.

Which has better risk-adjusted returns?

PEP currently has the higher Sharpe Ratio (0.59 vs 0.06), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.