Why Coca-Cola Is Poised to Outperform

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, soft-drink behemoth Coca-Cola (NYSE: KO  ) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Coca-Cola and see what CAPS investors are saying about the stock right now.

Coca-Cola facts

   

Headquarters (founded)

Atlanta, Ga. (1886)

Market Cap

$175.2 billion

Industry

Soft drinks

Trailing-12-Month Revenue

$48.0 billion

Management

Chairman/CEO Muhtar Kent

CFO Gary Fayard

Return on Equity (average, past 3 years)

32.3%

Cash/Debt

$16.6 billion/$32.6 billion

Dividend Yield

2.9%

Competitors

Dr Pepper Snapple Group (NYSE: DPS  )

Pepsico (NYSE: PEP  )

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 95% of the 6,689 members who have rated Coca-Cola believe the stock will outperform the S&P 500 going forward.

Just last month, one of those Fools, NewAlchemist, tapped the stock as a particularly solid income opportunity:

Has rewarded shareholders with rising dividends for 50 straight years making Coca-Cola a dividend champion of champions. A 52% payout ratio and rising earnings leave room for further dividend increases. ...

The company brand is at iconic levels. People collect antique and [Coca-Cola] memorabilia. The product is relatively cheap and inexpensive. Countries get protectionist and slap tariffs and quotas on cars and other industries but not cheap soft drinks. [Coca-Cola] continues to expand internationally.

But while there is absolutely no question that Coca-Cola has been great to long-term shareholders, the company faces some new threats to its continued market dominance. Luckily, we've recently compiled a premium research report containing everything you need to know about Coca-Cola. If you own or are considering owning shares in the company, you'll want to click here now and get started!

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.


Read/Post Comments (2) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On March 12, 2013, at 8:11 PM, fschell wrote:

    and it's poised to outperform because the Fool picked it to outperform - any other solid reasons to consider?

  • Report this Comment On March 13, 2013, at 12:52 AM, JoeyVesto wrote:

    Your articles offer no real insight and are a waste of time.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2308968, ~/Articles/ArticleHandler.aspx, 10/21/2014 11:29:41 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement