We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. By pressing "Accept All" or closing out of this banner, you accept our Privacy Policy and Terms of Service, revised from time to time, and you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties. You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Coca-Cola (KO) Outperforms Broader Market: What You Need to Know
Read MoreHide Full Article
Coca-Cola (KO - Free Report) ended the recent trading session at $61.65, demonstrating a +0.95% swing from the preceding day's closing price. This move outpaced the S&P 500's daily gain of 0.16%. On the other hand, the Dow registered a gain of 0.86%, and the technology-centric Nasdaq decreased by 0.38%.
Prior to today's trading, shares of the world's largest beverage maker had lost 3.25% over the past month. This has was narrower than the Consumer Staples sector's loss of 8.34% and lagged the S&P 500's loss of 2.2% in that time.
Investors will be eagerly watching for the performance of Coca-Cola in its upcoming earnings disclosure. The company is expected to report EPS of $0.52, up 6.12% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $10.71 billion, indicating a 1.3% decline compared to the corresponding quarter of the prior year.
Any recent changes to analyst estimates for Coca-Cola should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.27% higher. At present, Coca-Cola boasts a Zacks Rank of #3 (Hold).
Investors should also note Coca-Cola's current valuation metrics, including its Forward P/E ratio of 20.6. This signifies a premium in comparison to the average Forward P/E of 17.02 for its industry.
We can additionally observe that KO currently boasts a PEG ratio of 3.34. 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. The Beverages - Soft drinks was holding an average PEG ratio of 2.25 at yesterday's closing price.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 79, this industry ranks in the top 32% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Coca-Cola (KO) Outperforms Broader Market: What You Need to Know
Coca-Cola (KO - Free Report) ended the recent trading session at $61.65, demonstrating a +0.95% swing from the preceding day's closing price. This move outpaced the S&P 500's daily gain of 0.16%. On the other hand, the Dow registered a gain of 0.86%, and the technology-centric Nasdaq decreased by 0.38%.
Prior to today's trading, shares of the world's largest beverage maker had lost 3.25% over the past month. This has was narrower than the Consumer Staples sector's loss of 8.34% and lagged the S&P 500's loss of 2.2% in that time.
Investors will be eagerly watching for the performance of Coca-Cola in its upcoming earnings disclosure. The company is expected to report EPS of $0.52, up 6.12% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $10.71 billion, indicating a 1.3% decline compared to the corresponding quarter of the prior year.
Any recent changes to analyst estimates for Coca-Cola should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.27% higher. At present, Coca-Cola boasts a Zacks Rank of #3 (Hold).
Investors should also note Coca-Cola's current valuation metrics, including its Forward P/E ratio of 20.6. This signifies a premium in comparison to the average Forward P/E of 17.02 for its industry.
We can additionally observe that KO currently boasts a PEG ratio of 3.34. 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. The Beverages - Soft drinks was holding an average PEG ratio of 2.25 at yesterday's closing price.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 79, this industry ranks in the top 32% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.