COCA-COLA CO/THE (1KO.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1KO - US1912161007 - Common Stock
59.27 EUR
+1.14 (+1.96%)
We assign a fundamental rating of 5 out of 10 to 1KO. 1KO was compared to 30 industry peers in the Beverages industry. 1KO scores excellent on profitability, but there are some minor concerns on its financial health. 1KO does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
1KO had positive earnings in the past year.
1KO had a positive operating cash flow in the past year.
Each year in the past 5 years 1KO has been profitable.
Each year in the past 5 years 1KO had a positive operating cash flow.
1.2 Ratios
1KO's Return On Assets of 12.29% is amongst the best of the industry. 1KO outperforms 100.00% of its industry peers.
1KO has a better Return On Equity (41.70%) than 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 14.17%, 1KO belongs to the best of the industry, outperforming 93.55% of the companies in the same industry.
1KO had an Average Return On Invested Capital over the past 3 years of 11.98%. This is above the industry average of 8.24%.
The last Return On Invested Capital (14.17%) for 1KO is above the 3 year average (11.98%), which is a sign of increasing profitability.
| 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
1KO has a better Profit Margin (27.34%) than 100.00% of its industry peers.
1KO's Profit Margin has been stable in the last couple of years.
1KO has a Operating Margin of 31.14%. This is amongst the best in the industry. 1KO outperforms 93.55% of its industry peers.
In the last couple of years the Operating Margin of 1KO has declined.
1KO has a better Gross Margin (61.63%) than 96.77% of its industry peers.
1KO's Gross Margin has been stable in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1KO is creating some value.
Compared to 1 year ago, 1KO has about the same amount of shares outstanding.
1KO has more shares outstanding than it did 5 years ago.
The debt/assets ratio for 1KO is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.41 indicates that 1KO is not in any danger for bankruptcy at the moment.
1KO has a Altman-Z score of 4.41. This is amongst the best in the industry. 1KO outperforms 93.55% of its industry peers.
The Debt to FCF ratio of 1KO is 8.51, which is on the high side as it means it would take 1KO, 8.51 years of fcf income to pay off all of its debts.
1KO has a Debt to FCF ratio (8.51) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.46 is on the high side and indicates that 1KO has dependencies on debt financing.
The Debt to Equity ratio of 1KO (1.46) is worse than 67.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.46 | ||
| Debt/FCF | 8.51 | ||
| Altman-Z | 4.41 |
ROIC/WACC1.77
WACC8%
2.3 Liquidity
A Current Ratio of 1.21 indicates that 1KO should not have too much problems paying its short term obligations.
1KO has a Current ratio of 1.21. This is comparable to the rest of the industry: 1KO outperforms 54.84% 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 93.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
1KO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.32%.
The Earnings Per Share has been growing slightly by 6.42% on average over the past years.
Looking at the last year, 1KO shows a small growth in Revenue. The Revenue has grown by 2.80% in the last year.
The Revenue has been growing slightly by 4.78% on average over the past years.
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
1KO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.18% yearly.
The Revenue is expected to grow by 3.00% on average over the next years.
EPS Next Y6.87%
EPS Next 2Y7.34%
EPS Next 3Y7.36%
EPS Next 5Y7.18%
Revenue Next Year4.49%
Revenue Next 2Y4.76%
Revenue Next 3Y4.58%
Revenue Next 5Y3%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 23.24, 1KO is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of 1KO indicates a slightly more expensive valuation: 1KO is more expensive than 61.29% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. 1KO is around the same levels.
A Price/Forward Earnings ratio of 20.79 indicates a rather expensive valuation of 1KO.
Based on the Price/Forward Earnings ratio, 1KO is valued a bit more expensive than 74.19% of the companies in the same industry.
1KO's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.24 | ||
| Fwd PE | 20.79 |
4.2 Price Multiples
1KO's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. 1KO is more expensive than 83.87% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, 1KO is valued a bit more expensive than the industry average as 77.42% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 53.29 | ||
| EV/EBITDA | 20.28 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
1KO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.38
PEG (5Y)3.62
EPS Next 2Y7.34%
EPS Next 3Y7.36%
5. Dividend
5.1 Amount
1KO has a Yearly Dividend Yield of 2.94%.
1KO's Dividend Yield is a higher than the industry average which is at 2.77.
1KO's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
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.
1KO's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP65.04%
EPS Next 2Y7.34%
EPS Next 3Y7.36%
BIT:1KO (1/8/2026, 7:00:00 PM)
59.27
+1.14 (+1.96%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners66.03%
Inst Owner ChangeN/A
Ins Owners0.57%
Ins Owner ChangeN/A
Market Cap254.96B
Revenue(TTM)47.66B
Net Income(TTM)13.03B
Analysts82.86
Price Target68.59 (15.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
Yearly Dividend1.67
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)0.08%
PT rev (3m)1.09%
EPS NQ rev (1m)-0.11%
EPS NQ rev (3m)-5.2%
EPS NY rev (1m)0%
EPS NY rev (3m)0.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.24 | ||
| Fwd PE | 20.79 | ||
| P/S | 6.23 | ||
| P/FCF | 53.29 | ||
| P/OCF | 39.04 | ||
| P/B | 9.5 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.28 |
EPS(TTM)2.55
EY4.3%
EPS(NY)2.85
Fwd EY4.81%
FCF(TTM)1.11
FCFY1.88%
OCF(TTM)1.52
OCFY2.56%
SpS9.52
BVpS6.24
TBVpS-0.19
PEG (NY)3.38
PEG (5Y)3.62
Graham Number18.92
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 | 4.41 |
F-Score7
WACC8%
ROIC/WACC1.77
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 2Y7.34%
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 2Y4.76%
Revenue Next 3Y4.58%
Revenue Next 5Y3%
EBIT growth 1Y40.28%
EBIT growth 3Y0.8%
EBIT growth 5Y1.13%
EBIT Next Year15.06%
EBIT Next 3Y9.79%
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 of COCA-COLA CO/THE (1KO.MI) 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 are the PE and PB ratios of COCA-COLA CO/THE (1KO.MI) stock?
The Price/Earnings (PE) ratio for COCA-COLA CO/THE (1KO.MI) is 23.24 and the Price/Book (PB) ratio is 9.5.
What is the earnings growth outlook for COCA-COLA CO/THE?
The Earnings per Share (EPS) of COCA-COLA CO/THE (1KO.MI) is expected to grow by 6.87% in the next year.