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Coca-Cola (KO) Gains As Market Dips: What You Should Know
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In the latest trading session, Coca-Cola (KO - Free Report) closed at $45.25, marking a +0.22% move from the previous day. This change outpaced the S&P 500's 0.94% loss on the day. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq lost 2.13%.
Prior to today's trading, shares of the world's largest beverage maker had lost 0.86% over the past month. This has was narrower than the Consumer Staples sector's loss of 1.93% and lagged the S&P 500's gain of 0.02% in that time.
Wall Street will be looking for positivity from KO as it approaches its next earnings report date. This is expected to be July 21, 2020. In that report, analysts expect KO to post earnings of $0.43 per share. This would mark a year-over-year decline of 31.75%. Our most recent consensus estimate is calling for quarterly revenue of $7.45 billion, down 25.45% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.82 per share and revenue of $33.15 billion, which would represent changes of -13.74% and -9.42%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for KO. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.27% lower within the past month. KO is currently a Zacks Rank #3 (Hold).
Looking at its valuation, KO is holding a Forward P/E ratio of 24.83. This represents a premium compared to its industry's average Forward P/E of 21.66.
Also, we should mention that KO has a PEG ratio of 5.16. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. KO's industry had an average PEG ratio of 4.85 as of yesterday's close.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 195, which puts it in the bottom 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Coca-Cola (KO) Gains As Market Dips: What You Should Know
In the latest trading session, Coca-Cola (KO - Free Report) closed at $45.25, marking a +0.22% move from the previous day. This change outpaced the S&P 500's 0.94% loss on the day. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq lost 2.13%.
Prior to today's trading, shares of the world's largest beverage maker had lost 0.86% over the past month. This has was narrower than the Consumer Staples sector's loss of 1.93% and lagged the S&P 500's gain of 0.02% in that time.
Wall Street will be looking for positivity from KO as it approaches its next earnings report date. This is expected to be July 21, 2020. In that report, analysts expect KO to post earnings of $0.43 per share. This would mark a year-over-year decline of 31.75%. Our most recent consensus estimate is calling for quarterly revenue of $7.45 billion, down 25.45% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.82 per share and revenue of $33.15 billion, which would represent changes of -13.74% and -9.42%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for KO. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.27% lower within the past month. KO is currently a Zacks Rank #3 (Hold).
Looking at its valuation, KO is holding a Forward P/E ratio of 24.83. This represents a premium compared to its industry's average Forward P/E of 21.66.
Also, we should mention that KO has a PEG ratio of 5.16. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. KO's industry had an average PEG ratio of 4.85 as of yesterday's close.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 195, which puts it in the bottom 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.