In the latest trading session, Coca-Cola FEMSA (KOF) closed at $64.52, marking a -0.66% move from the previous day. This change lagged the S&P 500's 0.65% gain on the day. Meanwhile, the Dow gained 0.94%, and the Nasdaq, a tech-heavy index, added 0.9%.
Heading into today, shares of the bottling company had gained 7% over the past month, outpacing the Consumer Staples sector's gain of 1.27% and the S&P 500's gain of 2.97% in that time.
Wall Street will be looking for positivity from KOF as it approaches its next earnings report date. This is expected to be February 26, 2020. In that report, analysts expect KOF to post earnings of $1.01 per share. This would mark year-over-year growth of 44.29%. Our most recent consensus estimate is calling for quarterly revenue of $2.68 billion, up 5.87% from the year-ago period.
Investors might also notice recent changes to analyst estimates for KOF. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Over the past month, the Zacks Consensus EPS estimate has moved 2.06% higher. KOF currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that KOF has a Forward P/E ratio of 17.51 right now. Its industry sports an average Forward P/E of 20.72, so we one might conclude that KOF is trading at a discount comparatively.
Investors should also note that KOF has a PEG ratio of 1.92 right now. 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. The Beverages - Soft drinks was holding an average PEG ratio of 2.27 at yesterday's closing price.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 56, which puts it in the top 22% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.