NYSE:KOF

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Executive Summary

Coca-Cola FEMSA, S.A.B. de C.V., a franchise bottler, produces, markets, sells, and distributes Coca-Cola trademark beverages.


Snowflake Analysis

Very undervalued 6 star dividend payer.


Similar Companies

Share Price & News

How has Coca-Cola FEMSA. de's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KOF's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

5.9%

KOF

2.8%

US Beverage

3.8%

US Market


1 Year Return

-26.5%

KOF

-1.7%

US Beverage

9.7%

US Market

Return vs Industry: KOF underperformed the US Beverage industry which returned -2.6% over the past year.

Return vs Market: KOF underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

KOFIndustryMarket
7 Day5.9%2.8%3.8%
30 Day20.1%6.8%11.4%
90 Day-14.1%-4.2%6.8%
1 Year-23.5%-26.5%0.8%-1.7%12.1%9.7%
3 Year-39.3%-44.8%19.4%10.0%36.2%27.2%
5 Year-33.3%-42.2%49.2%30.9%63.7%45.4%

Price Volatility Vs. Market

How volatile is Coca-Cola FEMSA. de's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Coca-Cola FEMSA. de undervalued compared to its fair value and its price relative to the market?

40.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KOF ($44.44) is trading below our estimate of fair value ($76.07)

Significantly Below Fair Value: KOF is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KOF is good value based on its PE Ratio (12.7x) compared to the Beverage industry average (23.8x).

PE vs Market: KOF is good value based on its PE Ratio (12.7x) compared to the US market (16.4x).


Price to Earnings Growth Ratio

PEG Ratio: KOF is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: KOF is good value based on its PB Ratio (1.3x) compared to the US Beverage industry average (3.1x).


Next Steps

Future Growth

How is Coca-Cola FEMSA. de forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

13.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KOF's forecast earnings growth (13.1% per year) is above the savings rate (2.2%).

Earnings vs Market: KOF's earnings (13.1% per year) are forecast to grow slower than the US market (22.3% per year).

High Growth Earnings: KOF's earnings are forecast to grow, but not significantly.

Revenue vs Market: KOF's revenue (7% per year) is forecast to grow slower than the US market (8.8% per year).

High Growth Revenue: KOF's revenue (7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KOF's Return on Equity is forecast to be low in 3 years time (11.6%).


Next Steps

Past Performance

How has Coca-Cola FEMSA. de performed over the past 5 years?

-8.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KOF has high quality earnings.

Growing Profit Margin: KOF's current net profit margins (6.2%) are higher than last year (6.1%).


Past Earnings Growth Analysis

Earnings Trend: KOF's earnings have declined by -8.2% per year over the past 5 years.

Accelerating Growth: KOF's earnings growth over the past year (7.9%) exceeds its 5-year average (-8.2% per year).

Earnings vs Industry: KOF earnings growth over the past year (7.9%) underperformed the Beverage industry 7.9%.


Return on Equity

High ROE: KOF's Return on Equity (9.7%) is considered low.


Next Steps

Financial Health

How is Coca-Cola FEMSA. de's financial position?


Financial Position Analysis

Short Term Liabilities: KOF's short term assets (MX$73.6B) exceed its short term liabilities (MX$60.7B).

Long Term Liabilities: KOF's short term assets (MX$73.6B) do not cover its long term liabilities (MX$93.1B).


Debt to Equity History and Analysis

Debt Level: KOF's debt to equity ratio (71.5%) is considered high.

Reducing Debt: KOF's debt to equity ratio has increased from 66.6% to 71.5% over the past 5 years.

Debt Coverage: KOF's debt is well covered by operating cash flow (34.5%).

Interest Coverage: KOF's interest payments on its debt are well covered by EBIT (3.9x coverage).


Balance Sheet


Next Steps

Dividend

What is Coca-Cola FEMSA. de's current dividend yield, its reliability and sustainability?

4.87%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KOF's dividend (4.98%) is higher than the bottom 25% of dividend payers in the US market (1.62%).

High Dividend: KOF's dividend (4.98%) is in the top 25% of dividend payers in the US market (4.32%)


Stability and Growth of Payments

Stable Dividend: KOF's dividends per share have been stable in the past 10 years.

Growing Dividend: KOF's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (63.5%), KOF's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KOF's dividends in 3 years are forecast to be covered by earnings (81.2% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.4yrs

Average management tenure


CEO

John Santa Maria Otazua (62yo)

6.42yrs

Tenure

Mr. John Anthony Santa Maria Otazua has been the Chief Executive Officer of Coca-Cola FEMSA of Fomento Económico Mexicano, S.A.B. de C.V. (formerly known as Fomento Economico Mexicano S.A.B. de C.V.) since ...


Leadership Team

NamePositionTenureCompensationOwnership
John Santa Maria Otazua
CEO & Director6.42yrsno datano data
Constantino Spas Montesinos
Chief Financial Officer1.42yrsno datano data
Jorge Alejandro Pereda
Head of Investor Relations0.58yrno datano data
Carlos Luis Díaz Saénz
General Counsel13.42yrsno datano data
Karina Paola Pérez
Human Resources Officer2.42yrsno datano data
Alfonso Garza Garza
Chief Officer of Strategic Business of FEMSAno datano datano data
Jose Castro
Director of Operative Planning & Projects of Mexico and Central America Division6.17yrsno datano data
Eduardo Guillermo Hernández Peña
Chief Operating Officer - Latin America2.42yrsno datano data
Ian Marcel Craig García
Chief Operating Officer of Brazil4.42yrsno datano data
Washington Fabricio García
Chief Operating Officer of Mexico5.42yrsno datano data

4.4yrs

Average Tenure

52.5yo

Average Age

Experienced Management: KOF's management team is considered experienced (4.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
John Santa Maria Otazua
CEO & Director6.42yrsno datano data
Jose Antonio Vicente Fernandez Carbajal
Chairman19.25yrsno datano data
Federico Jose Garcia
Director27.42yrsno datano data
Miguel Eduardo Padilla Silva
Director4.42yrsno datano data
Charles McTier
Independent Director22.42yrsno datano data
Ricardo Guajardo Touché
Independent Director27.42yrsno datano data
José Octavio Reyes Lagunes
Director4.42yrsno datano data
Francisco Zambrano Rodríguez
Independent Director17.42yrsno datano data
Daniel Javier Servitje Montull
Independent Director22.42yrsno datano data
Víctor Alberto Tiburcio Celorio
Independent Director2.42yrsno datano data

18.3yrs

Average Tenure

66.5yo

Average Age

Experienced Board: KOF's board of directors are seasoned and experienced ( 18.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Coca-Cola FEMSA, S.A.B. de C.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Coca-Cola FEMSA, S.A.B. de C.V.
  • Ticker: KOF
  • Exchange: NYSE
  • Founded: 1979
  • Industry: Soft Drinks
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$9.739b
  • Shares outstanding: 210.08m
  • Website: https://www.coca-colafemsa.com

Number of Employees


Location

  • Coca-Cola FEMSA, S.A.B. de C.V.
  • Calle Mario Pani No. 100
  • Santa Fe Cuajimalpa
  • Mexico City
  • Distrito Federal
  • 5348
  • Mexico

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KOFNYSE (New York Stock Exchange)YesSPONSORD ADR REPUSUSDSep 1993
CFSLDB (Deutsche Boerse AG)YesSPONSORD ADR REPDEEURSep 1993
CFS1DB (Deutsche Boerse AG)Old Series L SharesDEEURFeb 1998
KOF UBLBMV (Bolsa Mexicana de Valores)KOF UBL UnitsMXMXNApr 2019
COCS.FOTCPK (Pink Sheets LLC)KOF UBL UnitsUSUSDApr 2019
CFS5DB (Deutsche Boerse AG)KOF UBL UnitsDEEURApr 2019

Biography

Coca-Cola FEMSA, S.A.B. de C.V., a franchise bottler, produces, markets, sells, and distributes Coca-Cola trademark beverages. The company offers sparkling beverages, including colas and flavored sparkling beverages; and waters and still beverages, such as juice drinks, coffee, teas, milk, value-added dairy products, sports drinks, energy drinks, and plant-based drinks. It provides a portfolio of products through retail outlets, such as wholesale supermarkets, discount stores, and convenience stores; retailers, such as restaurants and bars, as well as stadiums, auditoriums, and theaters; points-of-sale outlets; and home delivery and other locations. The company also distributes and sells Heineken beer products in its Brazilian territories. It operates in Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Brazil, Argentina, and Uruguay. Coca-Cola FEMSA, S.A.B. de C.V. was founded in 1979 and is based in Mexico City, Mexico. Coca-Cola FEMSA, S.A.B. de C.V. is a subsidiary of Fomento Economico Mexicano, S.A.B. de C.V. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/06 01:57
End of Day Share Price2020/06/05 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.