COCA-COLA CO/THE (1KO.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1KO - US1912161007 - Common Stock
59.48 EUR
-0.01 (-0.02%)
Taking everything into account, 1KO scores 4 out of 10 in our fundamental rating. 1KO was compared to 30 industry peers in the Beverages industry. While 1KO has a great profitability rating, there are quite some concerns on its financial health. 1KO does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year 1KO was profitable.
1KO had a positive operating cash flow in the past year.
In the past 5 years 1KO has always been profitable.
Each year in the past 5 years 1KO had a positive operating cash flow.
1.2 Ratios
1KO has a better Return On Assets (12.29%) than 96.67% of its industry peers.
1KO has a better Return On Equity (41.70%) than 100.00% of its industry peers.
1KO has a better Return On Invested Capital (14.17%) than 93.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1KO is above the industry average of 8.33%.
The 3 year average ROIC (11.98%) for 1KO is below the current ROIC(14.17%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.29% | ||
| ROE | 41.7% | ||
| ROIC | 14.17% |
ROA(3y)10.61%
ROA(5y)10.21%
ROE(3y)41.22%
ROE(5y)41.26%
ROIC(3y)11.98%
ROIC(5y)11.6%
1.3 Margins
With an excellent Profit Margin value of 27.34%, 1KO belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
1KO's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 31.14%, 1KO belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
In the last couple of years the Operating Margin of 1KO has declined.
Looking at the Gross Margin, with a value of 61.63%, 1KO belongs to the top of the industry, outperforming 96.67% of the companies in the same industry.
In the last couple of years the Gross Margin of 1KO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.14% | ||
| PM (TTM) | 27.34% | ||
| GM | 61.63% |
OM growth 3Y-5.6%
OM growth 5Y-3.48%
PM growth 3Y-3.68%
PM growth 5Y-1.15%
GM growth 3Y0.44%
GM growth 5Y0.1%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1KO is still creating some value.
Compared to 1 year ago, 1KO has about the same amount of shares outstanding.
The number of shares outstanding for 1KO has been increased compared to 5 years ago.
Compared to 1 year ago, 1KO has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.44 indicates that 1KO is not in any danger for bankruptcy at the moment.
1KO's Altman-Z score of 4.44 is amongst the best of the industry. 1KO outperforms 90.00% of its industry peers.
1KO has a debt to FCF ratio of 8.51. This is a slightly negative value and a sign of low solvency as 1KO would need 8.51 years to pay back of all of its debts.
The Debt to FCF ratio of 1KO (8.51) is worse than 60.00% of its industry peers.
A Debt/Equity ratio of 1.46 is on the high side and indicates that 1KO has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.46, 1KO is doing worse than 73.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.46 | ||
| Debt/FCF | 8.51 | ||
| Altman-Z | 4.44 |
ROIC/WACC1.78
WACC7.97%
2.3 Liquidity
A Current Ratio of 1.21 indicates that 1KO should not have too much problems paying its short term obligations.
1KO's Current ratio of 1.21 is in line compared to the rest of the industry. 1KO outperforms 53.33% of its industry peers.
1KO has a Quick Ratio of 1.21. This is a bad value and indicates that 1KO is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1KO (1.00) is better than 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.32% over the past year.
The Earnings Per Share has been growing slightly by 6.42% on average over the past years.
1KO shows a small growth in Revenue. In the last year, the Revenue has grown by 2.80%.
1KO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.78% yearly.
EPS 1Y (TTM)5.32%
EPS 3Y7.32%
EPS 5Y6.42%
EPS Q2Q%6.49%
Revenue 1Y (TTM)2.8%
Revenue growth 3Y6.78%
Revenue growth 5Y4.78%
Sales Q2Q%3.87%
3.2 Future
The Earnings Per Share is expected to grow by 7.18% on average over the next years.
The Revenue is expected to grow by 3.00% on average over the next years.
EPS Next Y6.87%
EPS Next 2Y7.32%
EPS Next 3Y7.36%
EPS Next 5Y7.18%
Revenue Next Year4.49%
Revenue Next 2Y4.74%
Revenue Next 3Y4.57%
Revenue Next 5Y3%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 23.60, the valuation of 1KO can be described as rather expensive.
66.67% of the companies in the same industry are cheaper than 1KO, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.57. 1KO is around the same levels.
With a Price/Forward Earnings ratio of 21.13, 1KO is valued on the expensive side.
Based on the Price/Forward Earnings ratio, 1KO is valued a bit more expensive than 73.33% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.04, 1KO is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.6 | ||
| Fwd PE | 21.13 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1KO is valued expensively inside the industry as 83.33% of the companies are valued cheaper.
1KO's Price/Free Cash Flow ratio is rather expensive when compared to the industry. 1KO is more expensive than 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 54.14 | ||
| EV/EBITDA | 20.58 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1KO does not grow enough to justify the current Price/Earnings ratio.
1KO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.44
PEG (5Y)3.68
EPS Next 2Y7.32%
EPS Next 3Y7.36%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.91%, 1KO has a reasonable but not impressive dividend return.
1KO's Dividend Yield is comparable with the industry average which is at 2.74.
Compared to an average S&P500 Dividend Yield of 1.88, 1KO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.91% |
5.2 History
The dividend of 1KO has a limited annual growth rate of 3.93%.
Dividend Growth(5Y)3.93%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
65.04% of the earnings are spent on dividend by 1KO. This is not a sustainable payout ratio.
The dividend of 1KO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP65.04%
EPS Next 2Y7.32%
EPS Next 3Y7.36%
BIT:1KO (12/23/2025, 7:00:00 PM)
59.48
-0.01 (-0.02%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners65.93%
Inst Owner ChangeN/A
Ins Owners0.57%
Ins Owner ChangeN/A
Market Cap255.86B
Revenue(TTM)47.66B
Net Income(TTM)13.03B
Analysts82.86
Price Target68.59 (15.32%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.91% |
Yearly Dividend1.65
Dividend Growth(5Y)3.93%
DP65.04%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.91%
Min EPS beat(2)1.47%
Max EPS beat(2)2.35%
EPS beat(4)3
Avg EPS beat(4)1.66%
Min EPS beat(4)-0.7%
Max EPS beat(4)3.5%
EPS beat(8)6
Avg EPS beat(8)0.75%
EPS beat(12)9
Avg EPS beat(12)1.19%
EPS beat(16)13
Avg EPS beat(16)2.16%
Revenue beat(2)0
Avg Revenue beat(2)-2.55%
Min Revenue beat(2)-2.77%
Max Revenue beat(2)-2.34%
Revenue beat(4)1
Avg Revenue beat(4)-0.91%
Min Revenue beat(4)-2.77%
Max Revenue beat(4)3.7%
Revenue beat(8)3
Avg Revenue beat(8)-0.42%
Revenue beat(12)4
Avg Revenue beat(12)-0.55%
Revenue beat(16)8
Avg Revenue beat(16)0.36%
PT rev (1m)-0.2%
PT rev (3m)2.28%
EPS NQ rev (1m)-0.12%
EPS NQ rev (3m)-5.31%
EPS NY rev (1m)0.08%
EPS NY rev (3m)0.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.73%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.6 | ||
| Fwd PE | 21.13 | ||
| P/S | 6.33 | ||
| P/FCF | 54.14 | ||
| P/OCF | 39.67 | ||
| P/B | 9.65 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.58 |
EPS(TTM)2.52
EY4.24%
EPS(NY)2.81
Fwd EY4.73%
FCF(TTM)1.1
FCFY1.85%
OCF(TTM)1.5
OCFY2.52%
SpS9.4
BVpS6.16
TBVpS-0.18
PEG (NY)3.44
PEG (5Y)3.68
Graham Number18.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.29% | ||
| ROE | 41.7% | ||
| ROCE | 17.76% | ||
| ROIC | 14.17% | ||
| ROICexc | 17.36% | ||
| ROICexgc | 32.1% | ||
| OM | 31.14% | ||
| PM (TTM) | 27.34% | ||
| GM | 61.63% | ||
| FCFM | 11.69% |
ROA(3y)10.61%
ROA(5y)10.21%
ROE(3y)41.22%
ROE(5y)41.26%
ROIC(3y)11.98%
ROIC(5y)11.6%
ROICexc(3y)14.47%
ROICexc(5y)13.91%
ROICexgc(3y)29.82%
ROICexgc(5y)28.22%
ROCE(3y)15.16%
ROCE(5y)14.68%
ROICexgc growth 3Y0.46%
ROICexgc growth 5Y2.21%
ROICexc growth 3Y2.32%
ROICexc growth 5Y0.14%
OM growth 3Y-5.6%
OM growth 5Y-3.48%
PM growth 3Y-3.68%
PM growth 5Y-1.15%
GM growth 3Y0.44%
GM growth 5Y0.1%
F-Score7
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.46 | ||
| Debt/FCF | 8.51 | ||
| Debt/EBITDA | 2.86 | ||
| Cap/Depr | 186.51% | ||
| Cap/Sales | 4.27% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 47.73% | ||
| Profit Quality | 42.74% | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 4.44 |
F-Score7
WACC7.97%
ROIC/WACC1.78
Cap/Depr(3y)157.99%
Cap/Depr(5y)128.95%
Cap/Sales(3y)3.96%
Cap/Sales(5y)3.8%
Profit Quality(3y)78.5%
Profit Quality(5y)92.52%
High Growth Momentum
Growth
EPS 1Y (TTM)5.32%
EPS 3Y7.32%
EPS 5Y6.42%
EPS Q2Q%6.49%
EPS Next Y6.87%
EPS Next 2Y7.32%
EPS Next 3Y7.36%
EPS Next 5Y7.18%
Revenue 1Y (TTM)2.8%
Revenue growth 3Y6.78%
Revenue growth 5Y4.78%
Sales Q2Q%3.87%
Revenue Next Year4.49%
Revenue Next 2Y4.74%
Revenue Next 3Y4.57%
Revenue Next 5Y3%
EBIT growth 1Y40.28%
EBIT growth 3Y0.8%
EBIT growth 5Y1.13%
EBIT Next Year15.06%
EBIT Next 3Y9.76%
EBIT Next 5Y8.03%
FCF growth 1Y-45.23%
FCF growth 3Y-25.04%
FCF growth 5Y-10.85%
OCF growth 1Y-36%
OCF growth 3Y-18.62%
OCF growth 5Y-8.26%
COCA-COLA CO/THE / 1KO.MI FAQ
What is the fundamental rating for 1KO stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1KO.MI.
What is the valuation status for 1KO stock?
ChartMill assigns a valuation rating of 1 / 10 to COCA-COLA CO/THE (1KO.MI). This can be considered as Overvalued.
What is the profitability of 1KO stock?
COCA-COLA CO/THE (1KO.MI) has a profitability rating of 8 / 10.
What is the valuation of COCA-COLA CO/THE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for COCA-COLA CO/THE (1KO.MI) is 23.6 and the Price/Book (PB) ratio is 9.65.
Can you provide the expected EPS growth for 1KO stock?
The Earnings per Share (EPS) of COCA-COLA CO/THE (1KO.MI) is expected to grow by 6.87% in the next year.