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Coca-Cola (KO) Stock Falls Amid Market Uptick: What Investors Need to Know
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Coca-Cola (KO - Free Report) ended the recent trading session at $87.25, demonstrating a -1.13% change from the preceding day's closing price. This move lagged the S&P 500's daily gain of 1.49%. Meanwhile, the Dow experienced a rise of 0.71%, and the technology-dominated Nasdaq saw an increase of 2.26%.
Coming into today, shares of the world's largest beverage maker had lost 3.13% in the past month. In that same time, the Consumer Staples sector lost 1.56%, while the S&P 500 gained 0.1%.
The investment community will be closely monitoring the performance of Coca-Cola in its forthcoming earnings report. The company is forecasted to report an EPS of $0.87, showcasing a 6.1% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $12.91 billion, up 4.03% from the prior-year quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.29 per share and revenue of $49.81 billion, indicating changes of +9.67% and +4%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Coca-Cola should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. As of now, Coca-Cola holds a Zacks Rank of #3 (Hold).
Looking at valuation, Coca-Cola is presently trading at a Forward P/E ratio of 26.81. This signifies a premium in comparison to the average Forward P/E of 16.68 for its industry.
Investors should also note that KO has a PEG ratio of 3.44 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Beverages - Soft drinks stocks are, on average, holding a PEG ratio of 1.62 based on yesterday's closing prices.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 175, finds itself in the bottom 29% echelons of all 250+ industries.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Coca-Cola (KO) Stock Falls Amid Market Uptick: What Investors Need to Know
Coca-Cola (KO - Free Report) ended the recent trading session at $87.25, demonstrating a -1.13% change from the preceding day's closing price. This move lagged the S&P 500's daily gain of 1.49%. Meanwhile, the Dow experienced a rise of 0.71%, and the technology-dominated Nasdaq saw an increase of 2.26%.
Coming into today, shares of the world's largest beverage maker had lost 3.13% in the past month. In that same time, the Consumer Staples sector lost 1.56%, while the S&P 500 gained 0.1%.
The investment community will be closely monitoring the performance of Coca-Cola in its forthcoming earnings report. The company is forecasted to report an EPS of $0.87, showcasing a 6.1% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $12.91 billion, up 4.03% from the prior-year quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.29 per share and revenue of $49.81 billion, indicating changes of +9.67% and +4%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Coca-Cola should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. As of now, Coca-Cola holds a Zacks Rank of #3 (Hold).
Looking at valuation, Coca-Cola is presently trading at a Forward P/E ratio of 26.81. This signifies a premium in comparison to the average Forward P/E of 16.68 for its industry.
Investors should also note that KO has a PEG ratio of 3.44 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Beverages - Soft drinks stocks are, on average, holding a PEG ratio of 1.62 based on yesterday's closing prices.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 175, finds itself in the bottom 29% echelons of all 250+ industries.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.