Coca-Cola (NYSE:KO) Stock Jumps 1.4% - Still a Buy?

Key Points

• Coca-Cola shares rose 1.4% to $94.11 on above-average trading volume after the company reported third-quarter EPS and revenue above expectations. Revenue increased 7.2% year over year, while management raised its 2026 outlook and expects comparable EPS growth of at least 11%.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and an average price target of $97.26; several firms recently raised their targets. Coca-Cola also maintains its appeal as a “Dividend King,” with a quarterly dividend of $0.53 and a 2.3% yield.
• Valuation is the primary concern: the stock has rallied roughly 31%–35%, trades near its 52-week high at about 28 times earnings, and some analysts recommend waiting for a pullback despite the improved outlook.

Coca-Cola Company (The) (NYSE:KO - Get Free Report)'s stock price rose 1.4% during mid-day trading on Friday. The stock traded as high as $95.08 and last traded at $94.11. 18,337,089 shares were traded during trading, an increase of 8% from the average session volume of 16,908,525 shares. The stock had previously closed at $92.82.

More Coca-Cola News

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

• Positive Sentiment: Coca-Cola’s third-quarter results exceeded Wall Street expectations, supported by 5% unit case-volume growth, consumer recruitment, affordability initiatives and disciplined execution across regions. Management raised its 2026 outlook and now expects comparable EPS to increase at least 11%, reinforcing the company’s growth momentum. Coca-Cola’s Q3 earnings call: our top 5 analyst questions
• Positive Sentiment: Analysts have raised their price targets, including Citigroup to $103 from $102 and JPMorgan and TD Cowen, signaling that recent earnings strength may justify additional upside. Coca-Cola Stock Gets Price Target Boost from Citigroup
• Positive Sentiment: Coca-Cola continues to be highlighted as a high-quality “Dividend King.” Coverage emphasizes its long record of payout increases, strong cash-generation profile and defensive consumer-staples positioning, which can attract income investors during broader market uncertainty. No Tricks, Just Treats: 3 Dividend Stocks With Payouts You Can Trust
• Positive Sentiment: Plans to pursue a potential 2027 IPO of Hindustan Coca-Cola Holdings could unlock value from the company’s Indian bottling operations, while India’s strong performance remains an important growth driver. IPO plans for Indian bottling arm’s on track
• Neutral Sentiment: Commentators remain constructive on Coca-Cola’s emerging-market distribution network and long-term opportunity to convert more consumers in developing markets, but this thesis is longer term rather than an immediate earnings catalyst. Too Late to Buy Coca-Cola? 1 Reason It Isn’t.
• Negative Sentiment: Valuation is the main counterweight: after a roughly 31%–35% rally, KO trades at about 28 times earnings and near its 52-week high. Some analysts argue investors should wait for a pullback, while Freedom Broker’s $89 target remains below the current trading level despite being raised. Coca-Cola Raised Its 2026 Outlook. I’d Still Wait for a Lower Price

Wall Street Analysts Forecast Growth

Several research firms have commented on KO. HSBC increased their target price on shares of Coca-Cola from $90.00 to $98.00 and gave the stock a "buy" rating in a research report on Wednesday, July 29th. Citigroup raised their price objective on Coca-Cola from $102.00 to $103.00 and gave the stock a "buy" rating in a research report on Wednesday. DZ Bank reissued a "buy" rating on shares of Coca-Cola in a research note on Wednesday, July 29th. Argus lifted their price objective on Coca-Cola from $91.00 to $97.00 and gave the company a "buy" rating in a report on Thursday, July 30th. Finally, Daiwa Securities Group upped their price target on shares of Coca-Cola from $83.00 to $93.00 and gave the stock an "outperform" rating in a research report on Thursday, July 30th. One investment analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $97.26.

Coca-Cola Stock Performance

The company has a quick ratio of 1.12, a current ratio of 1.38 and a debt-to-equity ratio of 0.93. The stock's fifty day moving average is $89.40 and its two-hundred day moving average is $81.96. The firm has a market capitalization of $404.91 billion, a price-to-earnings ratio of 27.68, a P/E/G ratio of 3.52 and a beta of 0.32.

Coca-Cola (NYSE:KO - Get Free Report) last posted its 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 net margin of 28.65% and a return on equity of 38.79%. The company had revenue of $13.35 billion during the quarter, compared to analysts' expectations of $12.92 billion. During the same quarter last year, the company posted $0.82 EPS. Coca-Cola's quarterly revenue was up 7.2% compared to the same quarter last year. On average, analysts predict that Coca-Cola Company will post 3.34 earnings per share for the current year.

Coca-Cola Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, December 15th. Stockholders of record on Tuesday, December 1st will be paid a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend is Tuesday, December 1st. Coca-Cola's dividend payout ratio (DPR) is presently 63.66%.

Insiders Place Their Bets

In other news, insider Sanket Ray sold 9,958 shares of Coca-Cola stock in a transaction dated 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 transaction, the insider directly owned 62,105 shares of the company's stock, valued at approximately $5,372,082.50. This trade represents a 13.82% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Bruno Pietracci sold 111,365 shares of the business's stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $90.93, for a total value of $10,126,419.45. Following the completion of the transaction, the insider directly owned 41,365 shares in the company, valued at $3,761,319.45. This represents a 72.92% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders have sold 171,323 shares of company stock valued at $15,507,286. 0.90% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Coca-Cola

Institutional investors have recently made changes to their positions in the stock. Guardian Partners Inc. acquired a new position in Coca-Cola in the 2nd quarter valued at $27,000. Horizons Wealth Management purchased a new stake in Coca-Cola during the 3rd quarter valued at about $31,000. Atomic Invest LLC boosted its holdings in shares of Coca-Cola by 38.7% during the 2nd quarter. Atomic Invest LLC now owns 437 shares of the company's stock worth $36,000 after purchasing an additional 122 shares during the last quarter. Timbuktu Capital Management LLC purchased a new stake in shares of Coca-Cola in the second quarter valued at approximately $41,000. Finally, Putney Financial Group LLC acquired a new stake in shares of Coca-Cola in the third quarter valued at approximately $43,000. Institutional investors and hedge funds own 70.26% of the company's stock.

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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