COCA-COLA EUROPACIFIC PARTNE (CCEP) Stock Fundamental Analysis
NASDAQ:CCEP - Nasdaq - GB00BDCPN049 - Common Stock - Currency: USD
Overall CCEP gets a fundamental rating of 4 out of 10. We evaluated CCEP against 32 industry peers in the Beverages industry. While CCEP is still in line with the averages on profitability rating, there are concerns on its financial health. CCEP is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CCEP was profitable.
In the past year CCEP had a positive cash flow from operations.
CCEP had positive earnings in each of the past 5 years.
CCEP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CCEP has a Return On Assets (5.02%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 18.91%, CCEP is in the better half of the industry, outperforming 65.52% of the companies in the same industry.
CCEP's Return On Invested Capital of 7.11% is in line compared to the rest of the industry. CCEP outperforms 44.83% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CCEP is significantly below the industry average of 13.25%.
The last Return On Invested Capital (7.11%) for CCEP is above the 3 year average (6.98%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.02% | ||
| ROE | 18.91% | ||
| ROIC | 7.11% |
ROA(3y)4.74%
ROA(5y)4.53%
ROE(3y)18.38%
ROE(5y)16.22%
ROIC(3y)6.98%
ROIC(5y)6.72%
1.3 Margins
CCEP has a Profit Margin of 8.42%. This is comparable to the rest of the industry: CCEP outperforms 55.17% of its industry peers.
CCEP's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 11.78%, CCEP is not doing good in the industry: 62.07% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of CCEP has grown nicely.
CCEP has a worse Gross Margin (36.27%) than 86.21% of its industry peers.
In the last couple of years the Gross Margin of CCEP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.78% | ||
| PM (TTM) | 8.42% | ||
| GM | 36.27% |
OM growth 3Y15.03%
OM growth 5Y1.76%
PM growth 3Y24.77%
PM growth 5Y2.93%
GM growth 3Y1.02%
GM growth 5Y-1%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CCEP is still creating some value.
The number of shares outstanding for CCEP has been increased compared to 1 year ago.
CCEP has less shares outstanding than it did 5 years ago.
The debt/assets ratio for CCEP has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.03 indicates that CCEP is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.03, CCEP is in line with its industry, outperforming 41.38% of the companies in the same industry.
The Debt to FCF ratio of CCEP is 7.23, which is on the high side as it means it would take CCEP, 7.23 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CCEP (7.23) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.32 is on the high side and indicates that CCEP has dependencies on debt financing.
With a Debt to Equity ratio value of 1.32, CCEP is not doing good in the industry: 65.52% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | 7.23 | ||
| Altman-Z | 2.03 |
ROIC/WACC1
WACC7.08%
2.3 Liquidity
A Current Ratio of 0.85 indicates that CCEP may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.85, CCEP is doing worse than 75.86% of the companies in the same industry.
A Quick Ratio of 0.63 indicates that CCEP may have some problems paying its short term obligations.
With a Quick ratio value of 0.63, CCEP is not doing good in the industry: 62.07% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
The earnings per share for CCEP have decreased by -5.41% in the last year.
Measured over the past years, CCEP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.35% on average per year.
The Revenue has been growing slightly by 6.31% in the past year.
The Revenue has been growing by 9.70% on average over the past years. This is quite good.
EPS 1Y (TTM)-5.41%
EPS 3Y49.42%
EPS 5Y14.35%
EPS Q2Q%-6.99%
Revenue 1Y (TTM)6.31%
Revenue growth 3Y19.95%
Revenue growth 5Y9.7%
Sales Q2Q%9.48%
3.2 Future
CCEP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.97% yearly.
The Revenue is expected to grow by 6.54% on average over the next years.
EPS Next Y6.38%
EPS Next 2Y7.08%
EPS Next 3Y7.53%
EPS Next 5Y9.97%
Revenue Next Year12.75%
Revenue Next 2Y8.66%
Revenue Next 3Y7.1%
Revenue Next 5Y6.54%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
With a Price/Earnings ratio of 21.58, CCEP is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of CCEP is on the same level as its industry peers.
CCEP is valuated rather cheaply when we compare the Price/Earnings ratio to 28.46, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 17.56 indicates a rather expensive valuation of CCEP.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CCEP is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 92.56. CCEP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.58 | ||
| Fwd PE | 17.56 |
4.2 Price Multiples
CCEP's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, CCEP is valued a bit cheaper than the industry average as 72.41% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.7 | ||
| EV/EBITDA | 14.11 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CCEP does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)3.38
PEG (5Y)1.5
EPS Next 2Y7.08%
EPS Next 3Y7.53%
5. Dividend
5.1 Amount
CCEP has a Yearly Dividend Yield of 2.79%. Purely for dividend investing, there may be better candidates out there.
CCEP's Dividend Yield is a higher than the industry average which is at 3.21.
Compared to an average S&P500 Dividend Yield of 2.27, CCEP pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
5.2 History
On average, the dividend of CCEP grows each year by 11.43%, which is quite nice.
CCEP has paid a dividend for at least 10 years, which is a reliable track record.
CCEP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)11.43%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
CCEP pays out 54.34% of its income as dividend. This is a bit on the high side, but may be sustainable.
CCEP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP54.34%
EPS Next 2Y7.08%
EPS Next 3Y7.53%
COCA-COLA EUROPACIFIC PARTNE
NASDAQ:CCEP (1/31/2025, 8:16:42 PM)
After market: 78.55 0 (0%)78.55
-0.77 (-0.97%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners34.95%
Inst Owner Change0.15%
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap36.21B
Analysts79.13
Price Target86.44 (10.04%)
Short Float %1.76%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
Yearly Dividend1.84
Dividend Growth(5Y)11.43%
DP54.34%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.96%
PT rev (3m)1.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.06%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.79%
Revenue NY rev (3m)0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.58 | ||
| Fwd PE | 17.56 | ||
| P/S | 1.82 | ||
| P/FCF | 20.7 | ||
| P/OCF | 13.28 | ||
| P/B | 4.08 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.11 |
EPS(TTM)3.64
EY4.63%
EPS(NY)4.47
Fwd EY5.7%
FCF(TTM)3.79
FCFY4.83%
OCF(TTM)5.92
OCFY7.53%
SpS43.23
BVpS19.24
TBVpS-20.66
PEG (NY)3.38
PEG (5Y)1.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.02% | ||
| ROE | 18.91% | ||
| ROCE | 9.72% | ||
| ROIC | 7.11% | ||
| ROICexc | 7.71% | ||
| ROICexgc | 36.13% | ||
| OM | 11.78% | ||
| PM (TTM) | 8.42% | ||
| GM | 36.27% | ||
| FCFM | 8.78% |
ROA(3y)4.74%
ROA(5y)4.53%
ROE(3y)18.38%
ROE(5y)16.22%
ROIC(3y)6.98%
ROIC(5y)6.72%
ROICexc(3y)7.9%
ROICexc(5y)7.41%
ROICexgc(3y)62.1%
ROICexgc(5y)49.4%
ROCE(3y)9.13%
ROCE(5y)8.81%
ROICexcg growth 3Y31.11%
ROICexcg growth 5Y13.41%
ROICexc growth 3Y21.27%
ROICexc growth 5Y4.3%
OM growth 3Y15.03%
OM growth 5Y1.76%
PM growth 3Y24.77%
PM growth 5Y2.93%
GM growth 3Y1.02%
GM growth 5Y-1%
F-Score3
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | 7.23 | ||
| Debt/EBITDA | 3.61 | ||
| Cap/Depr | 108.92% | ||
| Cap/Sales | 4.91% | ||
| Interest Coverage | 10.31 | ||
| Cash Conversion | 84.01% | ||
| Profit Quality | 104.28% | ||
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z | 2.03 |
F-Score3
WACC7.08%
ROIC/WACC1
Cap/Depr(3y)77.82%
Cap/Depr(5y)76.76%
Cap/Sales(3y)3.72%
Cap/Sales(5y)4%
Profit Quality(3y)148.03%
Profit Quality(5y)156.16%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.41%
EPS 3Y49.42%
EPS 5Y14.35%
EPS Q2Q%-6.99%
EPS Next Y6.38%
EPS Next 2Y7.08%
EPS Next 3Y7.53%
EPS Next 5Y9.97%
Revenue 1Y (TTM)6.31%
Revenue growth 3Y19.95%
Revenue growth 5Y9.7%
Sales Q2Q%9.48%
Revenue Next Year12.75%
Revenue Next 2Y8.66%
Revenue Next 3Y7.1%
Revenue Next 5Y6.54%
EBIT growth 1Y-0.7%
EBIT growth 3Y37.97%
EBIT growth 5Y11.63%
EBIT Next Year50.73%
EBIT Next 3Y19.62%
EBIT Next 5Y14.77%
FCF growth 1Y-29.16%
FCF growth 3Y22.6%
FCF growth 5Y10.58%
OCF growth 1Y-8.42%
OCF growth 3Y23.49%
OCF growth 5Y9.21%