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Coca-Cola (KO) Stock Moves -0.67%: What You Should Know

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Coca-Cola (KO - Free Report) ended the recent trading session at $62.03, demonstrating a -0.67% swing from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily loss of 1.07%. At the same time, the Dow lost 0.97%, and the tech-heavy Nasdaq lost 1.19%.

Prior to today's trading, shares of the world's largest beverage maker had lost 2.54% over the past month. This has was narrower than the Consumer Staples sector's loss of 4.74% and lagged the S&P 500's loss of 0.36% in that time.

Market participants will be closely following the financial results of Coca-Cola in its upcoming release. The company is expected to report EPS of $0.52, up 6.12% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $10.72 billion, down 1.21% from the prior-year quarter.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.85 per share and a revenue of $46.24 billion, representing changes of +5.95% and +1.05%, respectively, from the prior year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Coca-Cola. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.04% increase. At present, Coca-Cola boasts a Zacks Rank of #3 (Hold).

Digging into valuation, Coca-Cola currently has a Forward P/E ratio of 21.89. This signifies a premium in comparison to the average Forward P/E of 18.41 for its industry.

It's also important to note that KO currently trades at a PEG ratio of 3.55. 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 average PEG ratio for the Beverages - Soft drinks industry stood at 2.65 at the close of the market yesterday.

The Beverages - Soft drinks industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 181, putting it in the bottom 28% of all 250+ industries.

The Zacks Industry Rank is ordered 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.


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