Market Cap
US$193.9b
Last Updated
2020/07/13 07:10 UTC
Data Sources
Company Financials +
Executive Summary
The Coca-Cola Company, a beverage company, manufactures, markets, and sells various nonalcoholic beverages worldwide.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -2.9% per year for the next 3 years
Snowflake Analysis
Established dividend payer with proven track record.
Similar Companies
Share Price & News
How has Coca-Cola's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: KO has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.2%
KO
1.1%
US Beverage
2.3%
US Market
1 Year Return
-13.4%
KO
-4.9%
US Beverage
6.7%
US Market
Return vs Industry: KO underperformed the US Beverage industry which returned -4.9% over the past year.
Return vs Market: KO underperformed the US Market which returned 6.7% over the past year.
Shareholder returns
| KO | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.2% | 1.1% | 2.3% |
| 30 Day | -1.0% | 2.3% | 6.0% |
| 90 Day | -7.7% | 3.2% | 18.9% |
| 1 Year | -10.5%-13.4% | -2.3%-4.9% | 9.0%6.7% |
| 3 Year | 11.5%0.9% | 15.7%6.7% | 36.6%27.7% |
| 5 Year | 28.6%9.1% | 41.4%23.6% | 64.2%46.1% |
Price Volatility Vs. Market
How volatile is Coca-Cola's share price compared to the market and industry in the last 5 years?
Simply Wall St News
9 hours ago | Simply Wall St
What We Learnt About Coca-Cola's (NYSE:KO) CEO Compensation1 week ago | Simply Wall St
Can We See Significant Institutional Ownership On The The Coca-Cola Company (NYSE:KO) Share Register?3 weeks ago | Simply Wall St
Should You Be Adding Coca-Cola (NYSE:KO) To Your Watchlist Today?Valuation
Is Coca-Cola undervalued compared to its fair value and its price relative to the market?
9.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: KO ($45.15) is trading below our estimate of fair value ($49.82)
Significantly Below Fair Value: KO is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: KO is good value based on its PE Ratio (19.3x) compared to the US Beverage industry average (30.2x).
PE vs Market: KO is poor value based on its PE Ratio (19.3x) compared to the US market (16.2x).
Price to Earnings Growth Ratio
PEG Ratio: KO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: KO is overvalued based on its PB Ratio (10.7x) compared to the US Beverage industry average (3.2x).
Next Steps
Future Growth
How is Coca-Cola forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
-2.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: KO's earnings are forecast to decline over the next 3 years (-2.9% per year).
Earnings vs Market: KO's earnings are forecast to decline over the next 3 years (-2.9% per year).
High Growth Earnings: KO's earnings are forecast to decline over the next 3 years.
Revenue vs Market: KO's revenue (7.6% per year) is forecast to grow slower than the US market (9.4% per year).
High Growth Revenue: KO's revenue (7.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: KO's Return on Equity is forecast to be very high in 3 years time (50.1%).
Next Steps
Past Performance
How has Coca-Cola performed over the past 5 years?
-0.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KO has high quality earnings.
Growing Profit Margin: KO's current net profit margins (26.9%) are higher than last year (19.4%).
Past Earnings Growth Analysis
Earnings Trend: KO's earnings have declined by -0.2% per year over the past 5 years.
Accelerating Growth: KO's earnings growth over the past year (48.6%) exceeds its 5-year average (-0.2% per year).
Earnings vs Industry: KO earnings growth over the past year (48.6%) exceeded the Beverage industry -0.9%.
Return on Equity
High ROE: Whilst KO's Return on Equity (50.81%) is outstanding, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is Coca-Cola's financial position?
Financial Position Analysis
Short Term Liabilities: KO's short term assets ($28.2B) do not cover its short term liabilities ($32.4B).
Long Term Liabilities: KO's short term assets ($28.2B) do not cover its long term liabilities ($41.8B).
Debt to Equity History and Analysis
Debt Level: KO's debt to equity ratio (247.2%) is considered high.
Reducing Debt: KO's debt to equity ratio has increased from 146.2% to 247.2% over the past 5 years.
Debt Coverage: KO's debt is well covered by operating cash flow (20.9%).
Interest Coverage: KO's interest payments on its debt are well covered by EBIT (36.3x coverage).
Balance Sheet
Next Steps
Dividend
What is Coca-Cola current dividend yield, its reliability and sustainability?
3.63%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: KO's dividend (3.63%) is higher than the bottom 25% of dividend payers in the US market (1.68%).
High Dividend: KO's dividend (3.63%) is low compared to the top 25% of dividend payers in the US market (4.6%).
Stability and Growth of Payments
Stable Dividend: KO's dividends per share have been stable in the past 10 years.
Growing Dividend: KO's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (68.8%), KO's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: KO's dividends in 3 years are forecast to be covered by earnings (77% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.3yrs
Average management tenure
CEO
James Robert Quincey (55yo)
3.17yrs
Tenure
US$18,701,149
Compensation
Mr. James Robert B. Quincey has been Chief Executive Officer of The Coca-Cola Company since May 1, 2017 and its Chairman of the Board since April 24, 2019. He served as Independent Director at Pfizer Inc. ...
CEO Compensation Analysis
Compensation vs Market: James Robert's total compensation ($USD18.70M) is above average for companies of similar size in the US market ($USD11.50M).
Compensation vs Earnings: James Robert's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 3.17yrs | US$18.70m | 0.0061% $11.8m | |
| President & COO | 1.5yrs | US$8.54m | 0.0030% $5.9m | |
| Executive VP & CFO | 1.33yrs | US$9.13m | 0.0021% $4.1m | |
| CMO & Group President of Asia Pacific | 0.50yr | US$4.97m | no data | |
| Senior VP & President of North America | no data | US$4.78m | 0.0011% $2.1m | |
| VP, Assistant Controller & Chief Accounting Officer | no data | no data | 0.00093% $1.8m | |
| Senior VP | 3.75yrs | no data | 0.00033% $639.9k | |
| VP & Investor Relations Officer | no data | no data | no data | |
| Senior VP and Chief Communications | 3.17yrs | no data | 0.0025% $4.9m | |
| Chief People Officer & Senior VP | 1.33yrs | no data | 0.00020% $387.8k | |
| President of Greater China & Korea | 3.83yrs | no data | no data | |
| President of Western Europe Business Unit | no data | no data | no data |
2.3yrs
Average Tenure
54.5yo
Average Age
Experienced Management: KO's management team is considered experienced (2.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 3.17yrs | US$18.70m | 0.0061% $11.8m | |
| Chairman of Palestinian National Beverage Company & CEO of Palestinian National Beverage Company | no data | no data | no data | |
| Independent Director | 8.42yrs | US$250.11k | 0.0016% $3.2m | |
| Independent Director | 18.5yrs | US$270.94k | 0.093% $180.6m | |
| Lead Independent Director | 1.25yrs | US$307.79k | 0.00055% $1.1m | |
| Chairman of Coca-Cola Enterprises Inc | 12.25yrs | no data | no data | |
| Independent Director | 12.75yrs | US$306.34k | 0.000050% $97.0k | |
| Director | 38.5yrs | US$270.11k | 0.28% $546.3m | |
| Independent Director | 5.42yrs | US$250.01k | 0.00023% $446.0k | |
| Chairman of Coca-Cola China Limited | 19.92yrs | no data | no data | |
| Independent Director | 7.25yrs | US$266.01k | 0.000070% $135.7k | |
| Independent Director | 7yrs | US$250.11k | 0.000060% $116.3k |
8.4yrs
Average Tenure
64yo
Average Age
Experienced Board: KO's board of directors are considered experienced (8.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: KO insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
The Coca-Cola Company's company bio, employee growth, exchange listings and data sources
Key Information
- Name: The Coca-Cola Company
- Ticker: KO
- Exchange: NYSE
- Founded: 1886
- Industry: Soft Drinks
- Sector: Food, Beverage & Tobacco
- Market Cap: US$193.914b
- Shares outstanding: 4.29b
- Website: https://www.coca-colacompany.com
Number of Employees
Location
- The Coca-Cola Company
- One Coca-Cola Plaza
- Atlanta
- Georgia
- 30301
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| KO | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| KO | BVL (Bolsa de Valores de Lima) | Yes | Common Stock | PE | USD | Jan 1968 |
| KO | SWX (SIX Swiss Exchange) | Yes | Common Stock | CH | CHF | Jan 1968 |
| CCC3 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| KO * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jan 1968 |
| CCC3 | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Jan 1968 |
| KO | SNSE (Santiago Stock Exchange) | Yes | Common Stock | CL | USD | Jan 1968 |
| COK-U | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Jan 1968 |
| KO | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Jan 1968 |
| US_KO__ | KAS (Kazakhstan Stock Exchange) | Yes | Common Stock | KZ | KZT | Jan 1968 |
| KO | BASE (Buenos Aires Stock Exchange) | CEDEARS EACH 5 REP 1 COM USD0.25 | AR | ARS | Feb 2000 | |
| COCA34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM USD0.25 | BR | BRL | Jul 2011 |
Biography
The Coca-Cola Company, a beverage company, manufactures, markets, and sells various nonalcoholic beverages worldwide. The company provides sparkling soft drinks; water, enhanced water, and sports drinks; juice, dairy, and plant–based beverages; tea and coffee; and energy drinks. It also offers beverage concentrates and syrups, as well as fountain syrups to fountain retailers, such as restaurants and convenience stores. The company sells its products under the Coca-Cola, Diet Coke/Coca-Cola Light, Coca-Cola Zero Sugar, Fanta, Fresca, Schweppes, Sprite, Thums Up, Aquarius, Ciel, Dasani, glacéau smartwater, glacéau vitaminwater, Ice Dew, I LOHAS, Powerade, Topo Chico, AdeS, Del Valle, fairlife, innocent, Minute Maid, Minute Maid Pulpy, Simply, ZICO, Ayataka, Costa, dogadan, FUZE TEA, Georgia, Gold Peak, HONEST TEA, and Kochakaden brands. It operates through a network of company-owned or controlled bottling and distribution operators, as well as through independent bottling partners, distributors, wholesalers, and retailers. The company was founded in 1886 and is headquartered in Atlanta, Georgia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/07/13 07:10 |
| End of Day Share Price | 2020/07/10 00:00 |
| Earnings | 2020/03/27 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.