COCA-COLA CO/THE (1KO.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1KO - US1912161007 - Common Stock
61.07 EUR
-0.15 (-0.25%)
Overall 1KO gets a fundamental rating of 5 out of 10. We evaluated 1KO against 26 industry peers in the Beverages industry. While 1KO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 1KO has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
1KO had positive earnings in the past year.
In the past year 1KO had a positive cash flow from operations.
1KO had positive earnings in each of the past 5 years.
In the past 5 years 1KO always reported a positive cash flow from operatings.
1.2 Ratios
1KO has a better Return On Assets (12.29%) than 100.00% of its industry peers.
1KO has a Return On Equity of 41.70%. This is amongst the best in the industry. 1KO outperforms 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 92.31% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1KO is above the industry average of 7.78%.
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
Looking at the Profit Margin, with a value of 27.34%, 1KO belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Profit Margin of 1KO has remained more or less at the same level.
1KO has a Operating Margin of 31.14%. This is amongst the best in the industry. 1KO outperforms 100.00% of its industry peers.
1KO's Operating Margin has declined in the last couple of years.
The Gross Margin of 1KO (61.63%) is better than 96.15% of its industry peers.
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
1KO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for 1KO remains at a similar level compared to 1 year ago.
Compared to 5 years ago, 1KO has more shares outstanding
Compared to 1 year ago, 1KO has a worse debt to assets ratio.
2.2 Solvency
1KO has an Altman-Z score of 4.45. This indicates that 1KO is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.45, 1KO belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
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 in line with its industry peers.
1KO has a Debt/Equity ratio of 1.46. This is a high value indicating a heavy dependency on external financing.
1KO has a Debt to Equity ratio of 1.46. This is in the lower half of the industry: 1KO underperforms 65.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.46 | ||
| Debt/FCF | 8.51 | ||
| Altman-Z | 4.45 |
ROIC/WACC1.79
WACC7.92%
2.3 Liquidity
A Current Ratio of 1.21 indicates that 1KO should not have too much problems paying its short term obligations.
The Current ratio of 1KO (1.21) is comparable to the rest of the industry.
A Quick Ratio of 1.00 indicates that 1KO may have some problems paying its short term obligations.
1KO has a Quick ratio of 1.00. This is amongst the best in the industry. 1KO outperforms 92.31% 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.
1KO shows a small growth in Revenue. In the last year, the Revenue has grown by 2.80%.
Measured over the past years, 1KO shows a small growth in Revenue. The Revenue has been growing by 4.78% on average per year.
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.
Based on estimates for the next years, 1KO will show a small growth in Revenue. The Revenue will grow by 3.00% on average per year.
EPS Next Y6.78%
EPS Next 2Y7.32%
EPS Next 3Y7.36%
EPS Next 5Y7.18%
Revenue Next Year4.47%
Revenue Next 2Y4.73%
Revenue Next 3Y4.56%
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.
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 23.67, the valuation of 1KO can be described as rather expensive.
1KO's Price/Earnings ratio is a bit more expensive when compared to the industry. 1KO is more expensive than 61.54% of the companies in the same industry.
1KO is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 25.45, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 21.21, the valuation of 1KO can be described as rather expensive.
Based on the Price/Forward Earnings ratio, 1KO is valued a bit more expensive than the industry average as 76.92% of the companies are valued more cheaply.
1KO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.67 | ||
| Fwd PE | 21.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1KO is valued more expensive than 84.62% of the companies in the same industry.
73.08% of the companies in the same industry are cheaper than 1KO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 54.36 | ||
| EV/EBITDA | 20.66 |
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)3.49
PEG (5Y)3.69
EPS Next 2Y7.32%
EPS Next 3Y7.36%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.86%, 1KO has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.14, 1KO has a dividend in line with its industry peers.
1KO's Dividend Yield is comparable with the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
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 2Y7.32%
EPS Next 3Y7.36%
BIT:1KO (11/18/2025, 7:00:00 PM)
61.07
-0.15 (-0.25%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners65.62%
Inst Owner ChangeN/A
Ins Owners0.57%
Ins Owner ChangeN/A
Market Cap262.83B
Revenue(TTM)47.66B
Net Income(TTM)13.03B
Analysts82.86
Price Target68.24 (11.74%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
Yearly Dividend1.69
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)0.58%
PT rev (3m)0.63%
EPS NQ rev (1m)-5.2%
EPS NQ rev (3m)-5.09%
EPS NY rev (1m)0.3%
EPS NY rev (3m)0.21%
Revenue NQ rev (1m)-0.55%
Revenue NQ rev (3m)-0.75%
Revenue NY rev (1m)-0.27%
Revenue NY rev (3m)-0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.67 | ||
| Fwd PE | 21.21 | ||
| P/S | 6.35 | ||
| P/FCF | 54.36 | ||
| P/OCF | 39.82 | ||
| P/B | 9.69 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.66 |
EPS(TTM)2.58
EY4.22%
EPS(NY)2.88
Fwd EY4.72%
FCF(TTM)1.12
FCFY1.84%
OCF(TTM)1.53
OCFY2.51%
SpS9.61
BVpS6.3
TBVpS-0.19
PEG (NY)3.49
PEG (5Y)3.69
Graham Number19.13
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 | 4.45 |
F-Score7
WACC7.92%
ROIC/WACC1.79
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 Y6.78%
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 Year4.47%
Revenue Next 2Y4.73%
Revenue Next 3Y4.56%
Revenue Next 5Y3%
EBIT growth 1Y40.28%
EBIT growth 3Y0.8%
EBIT growth 5Y1.13%
EBIT Next Year16.47%
EBIT Next 3Y10.32%
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 5 / 10 to 1KO.MI.
What is the valuation status for 1KO stock?
ChartMill assigns a valuation rating of 2 / 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 23.67 and the Price/Book (PB) ratio is 9.69.
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 6.78% in the next year.