The Coca-Cola Company (KO), headquartered in Atlanta, Georgia, is renowned worldwide for its various nonalcoholic beverages. Valued at $272.82 billion by market cap, the company provides sparkling soft drinks, sparkling flavors, juice, value-added dairy, plant-based beverages, and other beverages under various brands, including Coca-Cola, Sprite, Fanta, Dasani, Topo Chico, BODYARMOR, Powerade, Costa, Georgia, Minute Maid, etc. The beverages major is expected to announce its fiscal second-quarter earnings for 2024 before the market opens on Tuesday, July 23.
Ahead of the event, analysts expect KO to report a profit of $0.80 per share on a diluted basis, up 2.6% from $0.78 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports. During the previous quarter, KO reported that its global unit case volume rose 1% and reiterated its full-year comparable earnings growth outlook of 4% to 5%.
For fiscal 2024, analysts expect KO to report EPS of $2.82, up 4.8% from $2.69 in fiscal 2023.
KO stock has underperformed the S&P 500’s ($SPX) 24.3% gains over the past 52 weeks, with shares up 4.5% during this period. However, it has outperformed the S&P 500 Cons Staples Sector SPDR’s (XLP) 2.3% returns over the same time frame.
On Apr. 30, KO reported its Q1 results. Its adjusted EPS was $0.72, beating the consensus estimates of $0.69. The company’s revenue of $11.3 billion also exceeded Wall Street estimates of $10.95 billion. KO raised its outlook for 2024, driven by robust demand for its premium beverages and higher prices and volumes abroad. It raised its organic sales growth forecast of 8% to 9%, up from the previous estimates of 6% to 7%. KO shares closed down marginally on the day the results were released but have been on an uptrend since then.
Analysts’ consensus opinion on KO stock is bullish, with a “Strong Buy” rating overall. Out of 20 analysts covering the stock, 14 advise a “Strong Buy” rating, one has a “Moderate Buy” rating, and five suggest a “Hold.” The average analyst price target for KO is $66.83, indicating a 5.5% potential upside from the current levels.
On the date of publication, Dipanjan Banchur did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
