Reasonable Growth, Debt Levels, and a High ROIC Make COCA-COLA FEMSA SAB-SP ADR (NYSE:KOF) Appealing to Quality Investors.

In this article we will dive into COCA-COLA FEMSA SAB-SP ADR (NYSE:KOF) as a possible candidate for quality investing. Investors should always do their own research, but we noticed COCA-COLA FEMSA SAB-SP ADR showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Looking into the quality metrics of COCA-COLA FEMSA SAB-SP ADR

• COCA-COLA FEMSA SAB-SP ADR has achieved substantial revenue growth over the past 5 years, with a 6.09% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
• COCA-COLA FEMSA SAB-SP ADR demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 36.6% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• With a favorable Debt/Free Cash Flow Ratio of 3.99, COCA-COLA FEMSA SAB-SP ADR showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
• The Profit Quality (5-year) of COCA-COLA FEMSA SAB-SP ADR stands at 151.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• With a robust 5-year EBIT growth of 7.21%, COCA-COLA FEMSA SAB-SP ADR showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
• COCA-COLA FEMSA SAB-SP ADR demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

Fundamental analysis of NYSE:KOF

ChartMill employs a sophisticated system to assign a Fundamental Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple fundamental indicators and properties.

Overall KOF gets a fundamental rating of 6 out of 10. We evaluated KOF against 32 industry peers in the Beverages industry. KOF has only an average score on both its financial health and profitability. KOF is not valued too expensively and it also shows a decent growth rate. KOF also has an excellent dividend rating. With these ratings, KOF could be worth investigating further for dividend investing!.

Check the latest full fundamental report of KOF for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.