With a market cap of $307.4 billion, The Coca-Cola Company (KO) is a beverage titan that manufactures and sells various nonalcoholic beverages in the United States and internationally. Founded in 1886, the Atlanta, Georgia-based company provides sparkling soft drinks and flavors; water, sports, coffee, and tea; juice, value-added dairy, and plant-based beverages under the world-renowned Coca-Cola, Sprite, Fanta, Schweppes, Thums Up brands.
The beverage giant is expected to report its Q1 earnings on Tuesday, Apr. 29, before the market opens. Ahead of the event, analysts expect KO to report an EPS of $0.72 per share, unchanged from the year-ago quarter. It has exceeded analysts' earnings estimates in all of the past four quarters, which is admirable. Its adjusted EPS of $0.55 in the recent quarter surpassed analysts’ expectations by 7.8%, driven by robust demand for its world-renowned branded beverages.
For fiscal 2025, analysts expect KO to report an adjusted EPS of $2.96, up 2.8% from $2.88 in fiscal 2024. In fiscal 2026, its adjusted EPS is expected to grow 7.8% year-over-year to $3.19.
Over the past year, KO shares have surged 24.3%, outperforming the S&P 500 Index’s ($SPX) 5.5% gains and the Consumer Staples Select Sector SPDR Fund’s (XLP) 11.4% return over the same time frame.
KO shares surged 1.4% in the last trading session despite the ongoing market volatility caused by new tariff policies that have affected the broader stock market in a more negative manner. The company has reaffirmed its role as a key player in the consumer staples sector, which tends to outperform during periods of heightened market uncertainty due to the essential demand for its products.
The consensus opinion on KO stock is highly optimistic, with an overall “Strong Buy” rating. Out of the 22 analysts covering the stock, 20 recommend a “Strong Buy,” one suggests a “Moderate Buy,” and one suggests a “Hold” rating. Its mean price target of $76.91 indicates a 6.2% upside potential from current price levels.
On the date of publication, Kritika Sarmah 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.
