Coca-Cola Fair Value | Coca-Cola Co (KO) (2024)

FAQs

Coca-Cola Fair Value | Coca-Cola Co (KO)? ›

As of 2024-06-02, the Fair Value of Coca-Cola Co (KO) is 30.82 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 62.93 USD, the upside of Coca-Cola Co is -51%.

With its 3-star rating, we believe co*ke's stock is fairly valued compared with our long-term fair value estimate, which we maintain at $60 per share. Our fair value estimate implies a 22 times multiple against our adjusted 2024 earnings estimate and a 2023 enterprise value/adjusted EBITDA multiple of 19 times.

The Coca-Cola Company (KO) is the parent entity that owns the brands and formulas, whereas Coca-Cola Consolidated (co*kE) is a regional bottler and distributor. Sources: Coca-Cola Consolidated, Inc.

As of 2024-05-28, the Intrinsic Value of Coca-Cola Co (KO) is 69.41 USD. This Coca-Cola valuation is based on the model Discounted Cash Flows (Growth Exit 5Y). With the current market price of 61.82 USD, the upside of Coca-Cola Co is 12.3%.

P/E ratio as of June 2024 (TTM): 24.9

According to Coca-Cola's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 24.8876. At the end of 2022 the company had a P/E ratio of 28.9.

As of 2024-05-26, the Fair Value of Coca-Cola Co (KO) is 30.82 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 62.00 USD, the upside of Coca-Cola Co is -50.30%.

CocaCola Company (The) - Hold

Valuation metrics show that CocaCola Company (The) may be overvalued. Its Value Score of D indicates it would be a bad pick for value investors. The financial health and growth prospects of KO, demonstrate its potential to underperform the market. It currently has a Growth Score of D.

The Coca-Cola Company's ( KO ) dividend yield is 3.09%, which means that for every $100 invested in the company's stock, investors would receive $3.09 in dividends per year. The Coca-Cola Company's payout ratio is 73.72% which means that 73.72% of the company's earnings are paid out as dividends.

CHARLOTTE, N.C., Dec. 05, 2023 (GLOBE NEWSWIRE) -- Coca-Cola Consolidated, Inc. (NASDAQ: co*kE) today announced that its Board of Directors has declared a regular quarterly cash dividend of $0.50 per share and a special cash dividend of $16.00 per share.

Some examples of blue chip stocks are IBM Corp., Coca-Cola Co., Microsoft, American Express, McDonald's, and Boeing Co.

How many shares of KO does Warren Buffett own? ›

The Company normally pays dividends four times a year, usually April 1, July 1, October 1 and December 15. Shareowners of record can elect to receive their dividend payments electronically or by check in the currency of their choice.

Stock Price Forecast

The 12 analysts with 12-month price forecasts for KO stock have an average target of 68.33, with a low estimate of 60 and a high estimate of 74. The average target predicts an increase of 10.07% from the current stock price of 62.08.

Based on analysts offering 12 month price targets for KO in the last 3 months. The average price target is $67.85 with a high estimate of $72 and a low estimate of $58.

With those two breadcrumbs, we see that Buffett has historically paid PE ratios of somewhere 11-15 times, which translates Ricky into earnings yields, earnings yields are just the inverse of the PE ratio of roughly 7-9 percent. These are low below market average valuations, that's the big takeaway so far, Ricky.

KO PE ratio history

The mean historical PE ratio of Coca Cola over the last ten years is 35.58. The current 24.8 PE ratio is 30% below the historical average. Over the past ten years, KO's PE ratio was at its highest in the Dec 2017 quarter at 158.21, with a price of $45.88 and an EPS of $0.29.

The average price target for Coca-Cola is $67.85. This is based on 14 Wall Streets Analysts 12-month price targets, issued in the past 3 months. The highest analyst price target is $72.00 ,the lowest forecast is $58.00. The average price target represents 9.97% Increase from the current price of $61.7.

Price-earnings ratio (P/E)

A high P/E ratio could mean the stocks are overvalued. Therefore, it could be useful to compare competitor companies' P/E ratios to find out if the stocks you're looking to trade are overvalued. P/E ratio is calculated by dividing the market value per share by the earnings per share (EPS).

We still view the stock as undervalued, with the market not fully appreciating J&J's innovative products, which should propel long-term growth and reinforce the firm's wide moat. In the drug unit, sales grew 8% operationally (excluding covid-19 product sales), led by new-product growth.