In the latest trading session, Coca-Cola (KO - Free Report) closed at $44.84, marking a -0.97% move from the previous day. This change lagged the S&P 500's daily loss of 0.21%. At the same time, the Dow lost 0.09%, and the tech-heavy Nasdaq lost 0.18%.
Heading into today, shares of the world's largest beverage maker had lost 8.38% over the past month, lagging the Consumer Staples sector's gain of 0.6% and the S&P 500's gain of 1.81% in that time.
Wall Street will be looking for positivity from KO as it approaches its next earnings report date. In that report, analysts expect KO to post earnings of $0.47 per share. This would mark a year-over-year decline of 1.06%. Our most recent consensus estimate is calling for quarterly revenue of $7.90 billion, up 3.6% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.09 per share and revenue of $34.81 billion. These totals would mark changes of +0.59% and +9.29%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for KO. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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 5.24% lower within the past month. KO is currently a Zacks Rank #4 (Sell).
Looking at its valuation, KO is holding a Forward P/E ratio of 21.64. This represents a premium compared to its industry's average Forward P/E of 21.56.
We can also see that KO currently has a PEG ratio of 3.05. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. KO's industry had an average PEG ratio of 2.09 as of yesterday's close.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 209, putting it in the bottom 19% 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.