Should i sell coke

Read the latest stock experts ratings for Coca-Cola Company. Earnings reports or recent company news can cause the stock price to drop. It is a trending stock that is worth watching. Stockchase, in its reporting on what has been discussed by individuals on business television programs in particular Business News Network , neither recommends nor promotes any investment strategies. We are human and can make mistakes , help us fix any errors.

If you see something that you know is not right or if there is a problem with the site, feel free to email us at : hello stockchase. Showing 1 to 15 of entries. Next Page. He is not overweight consumer staples names and prefers Pepsi over Coke because of diversification. You might see a trade here, however, over the next couple of months. Lots of revenue will come from the re-opening trade.

This stalled a while ago. It trades at 26x earnings which is high. In the s, this had a magical aura, when he owned it, but in those days Coke was growing. The pandemic has been very tough on Coke. Also, people are not drinking carbonated soft drinks as much.

Frankly, they have similar valuations and dividends. However, we decided on KO based on a slight advantage on a pending technical breakout. Trading at 27x earnings, compared to a sector average of 42x, KO is good value. The company provides a strong dividend, which has grown for the past 59 consecutive years. It has modest upside, but we like the stability. Yield 3.

Consumer staples have lagged. Global, iconic brand. Expanded into coffee market to diversify and expand growth prospects. Disproportionately exposed to soda category, which is facing headwinds. Coca-Cola is trading at a price-to-free-cash-flow ratio of Image source: Getty Images. The pandemic caused sales to fall by This quarter marked the third consecutive where its revenue surpassed comparable quarters from Sales are not much higher from , but it's a good sign that they are higher while the pandemic is still circulating.

Coca-Cola has a larger market share in places where people buy beverages to consume outside of the home think restaurants, theme parks, sports stadiums. This means the company will gain an outsized benefit as economies continue on their path back to normal. Interestingly, Coca-Cola's operating profit margin was not as adversely affected as revenue during the pandemic. And in its most recent quarter, operating profit margin increased to a healthy Coca-Cola management noted that profit margins would be negatively affected next fiscal year as it faces the brunt of worldwide supply chain disruptions.

Bottlenecks caused by the coronavirus pandemic are leading to shortages of materials and labor. As is usually the case, when supplies decrease, prices increase. In all, Coca-Cola expects a headwind in the mid-single digits in fiscal from rising costs.

Coca-Cola could emerge out of the pandemic in a better position than it entered. According to management, the company has gained market share since , and the overall industry is also growing -- although the statement can be taken with a bit of caution considering the source is the company itself. Moreover, Coca-Cola's stock is trading at a discount on several metrics historically and compared to its main rival PepsiCo.

He expressed similar concerns at the 49th World Economic Forum in Davos : "I think we are in the phase of where we are likely to see a little less growth. It is going to be a slightly tougher year in macroeconomic terms and we need to work our way through it. Some analysts see problems facing the traditional soda market overall.

They'll need to "continue to develop or acquire other alternatives," Feinseth explains, like sparking water, flavored seltzers, teas and sports drinks, since "that's where the growth is, in the niche beverage markets. Coca-Cola does offer products besides sodas, and it continues to diversify its portfolio. The company made six new acquisitions in , among them coffee chain Costa Coffee.

They also own popular beverage brands Dasani, Minute Maid and Powerade. Jim Cramer, host of CNBC's "Mad Money," in January, suggested that worries about tougher years ahead could make the company a good buy, since stocks like Coca-Cola and Pepsi could do well during a potential downturn or in case of a stock market crash.

That's what's worth owning.