Coca-Cola Company (The) (NYSE:KO) Stock Rated "Moderate Buy" by Sell-Side Brokerages

Key Points

• Analyst sentiment is positive: 20 of 24 covering firms rate Coca-Cola a buy, three say hold and one says strong buy; the average 12-month price target is $97.26.
• Quarterly results topped expectations: Coca-Cola reported EPS of $0.91 versus $0.88 expected, while revenue rose 7.2% year over year to $13.35 billion.
• Dividend income remains a draw: The company announced a quarterly dividend of $0.53 per share, equivalent to $2.12 annually and a 2.2% yield; the article also notes valuation may limit further gains after a strong run.

Coca-Cola Company (The) (NYSE:KO - Get Free Report) has earned an average recommendation of "Moderate Buy" from the twenty-four ratings firms that are covering the firm, Marketbeat.com reports. Three investment analysts have rated the stock with a hold recommendation, twenty have given a buy recommendation and one has issued a strong buy recommendation on the company. The average 1 year price target among analysts that have covered the stock in the last year is $97.26.

KO has been the topic of a number of recent research reports. CICC Research increased their target price on Coca-Cola from $85.00 to $95.00 and gave the company an "outperform" rating in a report on Thursday, July 30th. HSBC boosted their price target on Coca-Cola from $90.00 to $98.00 and gave the company a "buy" rating in a research note on Wednesday, July 29th. Jefferies Financial Group upped their price target on shares of Coca-Cola from $95.00 to $104.00 and gave the company a "buy" rating in a research report on Wednesday, July 29th. Bank of America increased their price objective on shares of Coca-Cola from $95.00 to $100.00 and gave the stock a "buy" rating in a research note on Wednesday, July 29th. Finally, Wells Fargo & Company increased their price objective on shares of Coca-Cola from $90.00 to $100.00 and gave the stock an "overweight" rating in a research note on Wednesday, October 28th.

Coca-Cola Price Performance

Shares of KO opened at $95.69 on Friday. The firm has a fifty day simple moving average of $89.96 and a two-hundred day simple moving average of $82.69. The firm has a market cap of $411.63 billion, a PE ratio of 28.14, a P/E/G ratio of 3.73 and a beta of 0.28. The company has a current ratio of 1.38, a quick ratio of 1.19 and a debt-to-equity ratio of 0.93. Coca-Cola has a 1-year low of $67.27 and a 1-year high of $97.39.

Coca-Cola (NYSE:KO - Get Free Report) last released its quarterly earnings results on Tuesday, October 27th. The company reported $0.91 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.88 by $0.03. Coca-Cola had a return on equity of 38.79% and a net margin of 28.65%. The firm had revenue of $13.35 billion for the quarter, compared to the consensus estimate of $12.92 billion. During the same period last year, the business posted $0.82 EPS. The company's revenue for the quarter was up 7.2% on a year-over-year basis. On average, equities analysts anticipate that Coca-Cola will post 3.34 EPS for the current year.

Coca-Cola Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be issued a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date of this dividend is Tuesday, December 1st. Coca-Cola's dividend payout ratio is currently 62.35%.

Insider Buying and Selling at Coca-Cola

In other news, EVP Beatriz R. Perez sold 67,548 shares of the business's stock in a transaction on Monday, November 2nd. The shares were sold at an average price of $94.91, for a total transaction of $6,410,980.68. Following the completion of the sale, the executive vice president owned 160,428 shares of the company's stock, valued at $15,226,221.48. The trade was a 29.63% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Sanket Ray sold 9,958 shares of the company's stock in a transaction on Monday, August 10th. The stock was sold at an average price of $86.50, for a total value of $861,367.00. Following the completion of the sale, the insider owned 62,105 shares of the company's stock, valued at $5,372,082.50. This trade represents a 13.82% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 238,871 shares of company stock valued at $21,918,267 in the last ninety days. Corporate insiders own 0.90% of the company's stock.

Institutional Trading of Coca-Cola

Several hedge funds have recently bought and sold shares of the stock. Garrett Wealth Advisory Group LLC increased its stake in shares of Coca-Cola by 1.7% in the third quarter. Garrett Wealth Advisory Group LLC now owns 6,274 shares of the company's stock worth $540,000 after purchasing an additional 107 shares in the last quarter. Certified Advisory Corp raised its position in shares of Coca-Cola by 0.3% in the third quarter. Certified Advisory Corp now owns 33,711 shares of the company's stock valued at $2,902,000 after purchasing an additional 108 shares during the period. Lantern Wealth Advisors LLC raised its position in shares of Coca-Cola by 3.6% in the second quarter. Lantern Wealth Advisors LLC now owns 3,316 shares of the company's stock valued at $270,000 after purchasing an additional 115 shares during the period. New Wave Wealth Advisors LLC lifted its stake in shares of Coca-Cola by 4.4% during the 3rd quarter. New Wave Wealth Advisors LLC now owns 2,747 shares of the company's stock valued at $248,000 after buying an additional 116 shares in the last quarter. Finally, Gill Capital Partners LLC lifted its stake in shares of Coca-Cola by 4.1% during the 2nd quarter. Gill Capital Partners LLC now owns 2,992 shares of the company's stock valued at $243,000 after buying an additional 117 shares in the last quarter. Institutional investors own 70.26% of the company's stock.

Trending Headlines about Coca-Cola

Here are the key news stories impacting Coca-Cola this week:

• Positive Sentiment: Coca-Cola shares reportedly reached a record high as investors sought defensive stocks amid a market downturn. Its established brands and dividend income may be attracting buyers looking for more resilient businesses. Coca-Cola Stock Hits Record High as Market Crashes
• Positive Sentiment: Recent articles point to Coca-Cola’s shelf presence, distribution reach and consumer habits as sources of a durable competitive advantage. The company’s ability to raise prices while still growing volume supports the long-term investment case. Coca-Cola Stock Is a Buy Thanks to Shelf Space and Habits
• Positive Sentiment: Investors are also focusing on the company’s 64 consecutive years of dividend increases. Its latest quarterly results beat estimates, with revenue up year over year, and coverage says the company raised its outlook and dividend—supporting its earnings and income appeal. Coca-Cola Earnings Beat Lifts Guidance and Dividend
• Positive Sentiment: Margin expansion despite higher marketing spending, supported by productivity gains and disciplined pricing, suggests Coca-Cola is balancing investment with profitability. Can Coca-Cola Keep Expanding Margins While Investing More?
• Neutral Sentiment: Executive Beatriz Perez sold 67,548 shares, but the reported sale was to cover tax withholding on vested equity awards, making it a limited signal about her view of the business. Coca-Cola EVP Share Sale
• Negative Sentiment: After a strong run this year and a move to record levels, valuation may constrain further gains; one dividend-focused article suggests prospective investors consider waiting before buying. Coca-Cola’s Dividend Record and Valuation

Coca-Cola Company Profile

The Coca-Cola Company NYSE: KO is a global beverage company headquartered in Atlanta, Georgia. Founded in 1886, it is best known for Coca-Cola, one of the world’s most recognized soft drink brands.

The company owns, licenses, and markets a broad portfolio of beverages, including sparkling soft drinks, water, sports drinks, coffee, tea, juice, dairy and plant-based beverages, and energy drinks. Its brands include Coca-Cola, Diet Coke, Coca-Cola Zero Sugar, Sprite, Fanta, Dasani, smartwater, Powerade, Minute Maid, Simply, fairlife, and Costa Coffee, among others.

The Coca-Cola Company serves consumers in more than 200 countries and territories through a system that includes company-operated operations, independent bottling partners, distributors, retailers, and food-service providers.

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