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Coca-Cola (KO) Outpaces Stock Market Gains: What You Should Know
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Coca-Cola (KO - Free Report) closed the most recent trading day at $51.03, moving +1.33% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.65%. Meanwhile, the Dow gained 0.53%, and the Nasdaq, a tech-heavy index, added 1.05%.
Heading into today, shares of the world's largest beverage maker had gained 0.12% over the past month, lagging the Consumer Staples sector's gain of 0.38% and the S&P 500's gain of 0.36% in that time.
Wall Street will be looking for positivity from KO as it approaches its next earnings report date. On that day, KO is projected to report earnings of $0.50 per share, which would represent a year-over-year decline of 1.96%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.52 billion, down 0.92% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.12 per share and revenue of $36.73 billion. These totals would mark changes of +8.72% and +11.26%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for KO. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.19% higher. KO currently has a Zacks Rank of #3 (Hold).
In terms of valuation, KO is currently trading at a Forward P/E ratio of 23.8. This valuation marks a premium compared to its industry's average Forward P/E of 21.42.
Meanwhile, KO's PEG ratio is currently 4.4. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Beverages - Soft drinks stocks are, on average, holding a PEG ratio of 2.7 based on yesterday's closing prices.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 119, which puts it in the top 47% 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) Outpaces Stock Market Gains: What You Should Know
Coca-Cola (KO - Free Report) closed the most recent trading day at $51.03, moving +1.33% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.65%. Meanwhile, the Dow gained 0.53%, and the Nasdaq, a tech-heavy index, added 1.05%.
Heading into today, shares of the world's largest beverage maker had gained 0.12% over the past month, lagging the Consumer Staples sector's gain of 0.38% and the S&P 500's gain of 0.36% in that time.
Wall Street will be looking for positivity from KO as it approaches its next earnings report date. On that day, KO is projected to report earnings of $0.50 per share, which would represent a year-over-year decline of 1.96%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.52 billion, down 0.92% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.12 per share and revenue of $36.73 billion. These totals would mark changes of +8.72% and +11.26%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for KO. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.19% higher. KO currently has a Zacks Rank of #3 (Hold).
In terms of valuation, KO is currently trading at a Forward P/E ratio of 23.8. This valuation marks a premium compared to its industry's average Forward P/E of 21.42.
Meanwhile, KO's PEG ratio is currently 4.4. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Beverages - Soft drinks stocks are, on average, holding a PEG ratio of 2.7 based on yesterday's closing prices.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 119, which puts it in the top 47% 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.