COCA-COLA CO/THE (KO) Stock Fundamental Analysis

NYSE:KO • US1912161007

79.84 USD
+0.93 (+1.18%)
At close: Feb 20, 2026
79.8 USD
-0.04 (-0.05%)
Pre-Market: 2/23/2026, 8:51:11 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to KO. KO was compared to 33 industry peers in the Beverages industry. KO scores excellent on profitability, but there are some minor concerns on its financial health. KO is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

9

1. Profitability

1.1 Basic Checks

  • KO had positive earnings in the past year.
  • In the past year KO had a positive cash flow from operations.
  • In the past 5 years KO has always been profitable.
  • In the past 5 years KO always reported a positive cash flow from operatings.
KO Yearly Net Income VS EBIT VS OCF VS FCFKO Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B

1.2 Ratios

  • KO's Return On Assets of 12.50% is amongst the best of the industry. KO outperforms 84.85% of its industry peers.
  • KO's Return On Equity of 40.74% is amongst the best of the industry. KO outperforms 96.97% of its industry peers.
  • KO's Return On Invested Capital of 13.42% is amongst the best of the industry. KO outperforms 81.82% of its industry peers.
  • KO had an Average Return On Invested Capital over the past 3 years of 12.68%. This is in line with the industry average of 11.46%.
  • The last Return On Invested Capital (13.42%) for KO is above the 3 year average (12.68%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 12.5%
ROE 40.74%
ROIC 13.42%
ROA(3y)11.35%
ROA(5y)10.94%
ROE(3y)41.61%
ROE(5y)41.38%
ROIC(3y)12.68%
ROIC(5y)12.29%
KO Yearly ROA, ROE, ROICKO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

1.3 Margins

  • KO has a better Profit Margin (27.34%) than 96.97% of its industry peers.
  • In the last couple of years the Profit Margin of KO has grown nicely.
  • KO's Operating Margin of 29.13% is amongst the best of the industry. KO outperforms 87.88% of its industry peers.
  • In the last couple of years the Operating Margin of KO has remained more or less at the same level.
  • KO has a Gross Margin of 61.63%. This is amongst the best in the industry. KO outperforms 93.94% of its industry peers.
  • In the last couple of years the Gross Margin of KO has remained more or less at the same level.
Industry RankSector Rank
OM 29.13%
PM (TTM) 27.34%
GM 61.63%
OM growth 3Y6.21%
OM growth 5Y0.93%
PM growth 3Y7.21%
PM growth 5Y3.1%
GM growth 3Y1.96%
GM growth 5Y0.77%
KO Yearly Profit, Operating, Gross MarginsKO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

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5

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so KO is still creating some value.
  • Compared to 1 year ago, KO has about the same amount of shares outstanding.
  • KO has about the same amout of shares outstanding than it did 5 years ago.
  • KO has a better debt/assets ratio than last year.
KO Yearly Shares OutstandingKO Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B
KO Yearly Total Debt VS Total AssetsKO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B 100B

2.2 Solvency

  • An Altman-Z score of 4.92 indicates that KO is not in any danger for bankruptcy at the moment.
  • KO's Altman-Z score of 4.92 is amongst the best of the industry. KO outperforms 84.85% of its industry peers.
  • The Debt to FCF ratio of KO is 8.59, which is on the high side as it means it would take KO, 8.59 years of fcf income to pay off all of its debts.
  • KO has a Debt to FCF ratio of 8.59. This is comparable to the rest of the industry: KO outperforms 45.45% of its industry peers.
  • KO has a Debt/Equity ratio of 1.36. This is a high value indicating a heavy dependency on external financing.
  • KO has a worse Debt to Equity ratio (1.36) than 75.76% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.36
Debt/FCF 8.59
Altman-Z 4.92
ROIC/WACC1.64
WACC8.18%
KO Yearly LT Debt VS Equity VS FCFKO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B

2.3 Liquidity

  • KO has a Current Ratio of 1.46. This is a normal value and indicates that KO is financially healthy and should not expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 1.46, KO is in the better half of the industry, outperforming 60.61% of the companies in the same industry.
  • KO has a Quick Ratio of 1.25. This is a normal value and indicates that KO is financially healthy and should not expect problems in meeting its short term obligations.
  • KO's Quick ratio of 1.25 is fine compared to the rest of the industry. KO outperforms 78.79% of its industry peers.
Industry RankSector Rank
Current Ratio 1.46
Quick Ratio 1.25
KO Yearly Current Assets VS Current LiabilitesKO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • KO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.17%.
  • KO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.00% yearly.
  • The Revenue has been growing slightly by 1.87% in the past year.
  • The Revenue has been growing slightly by 7.75% on average over the past years.
EPS 1Y (TTM)4.17%
EPS 3Y6.55%
EPS 5Y9%
EPS Q2Q%5.45%
Revenue 1Y (TTM)1.87%
Revenue growth 3Y3.69%
Revenue growth 5Y7.75%
Sales Q2Q%3.62%

3.2 Future

  • The Earnings Per Share is expected to grow by 8.13% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 3.87% on average over the next years.
EPS Next Y10.58%
EPS Next 2Y8.99%
EPS Next 3Y8.39%
EPS Next 5Y8.13%
Revenue Next Year1.72%
Revenue Next 2Y1.82%
Revenue Next 3Y2.84%
Revenue Next 5Y3.87%

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.
KO Yearly Revenue VS EstimatesKO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 20B 40B 60B
KO Yearly EPS VS EstimatesKO Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 1 2 3 4 5

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2

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 26.61, the valuation of KO can be described as expensive.
  • The rest of the industry has a similar Price/Earnings ratio as KO.
  • Compared to an average S&P500 Price/Earnings ratio of 26.99, KO is valued at the same level.
  • The Price/Forward Earnings ratio is 24.07, which indicates a rather expensive current valuation of KO.
  • The rest of the industry has a similar Price/Forward Earnings ratio as KO.
  • The average S&P500 Price/Forward Earnings ratio is at 28.02. KO is around the same levels.
Industry RankSector Rank
PE 26.61
Fwd PE 24.07
KO Price Earnings VS Forward Price EarningsKO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, KO is valued a bit more expensive than 60.61% of the companies in the same industry.
  • 60.61% of the companies in the same industry are cheaper than KO, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 64.85
EV/EBITDA 24.38
KO Per share dataKO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The excellent profitability rating of KO may justify a higher PE ratio.
PEG (NY)2.52
PEG (5Y)2.96
EPS Next 2Y8.99%
EPS Next 3Y8.39%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 2.56%, KO has a reasonable but not impressive dividend return.
  • KO's Dividend Yield is a higher than the industry average which is at 1.75.
  • Compared to an average S&P500 Dividend Yield of 1.81, KO pays a bit more dividend than the S&P500 average.
Industry RankSector Rank
Dividend Yield 2.56%

5.2 History

  • The dividend of KO has a limited annual growth rate of 4.44%.
  • KO has paid a dividend for at least 10 years, which is a reliable track record.
  • KO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.44%
Div Incr Years34
Div Non Decr Years34
KO Yearly Dividends per shareKO Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2

5.3 Sustainability

  • KO pays out 66.98% of its income as dividend. This is not a sustainable payout ratio.
  • The dividend of KO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP66.98%
EPS Next 2Y8.99%
EPS Next 3Y8.39%
KO Yearly Income VS Free CF VS DividendKO Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B
KO Dividend Payout.KO Dividend Payout, showing the Payout Ratio.KO Dividend Payout.PayoutRetained Earnings

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COCA-COLA CO/THE

NYSE:KO (2/20/2026, 8:04:00 PM)

Premarket: 79.8 -0.04 (-0.05%)

79.84

+0.93 (+1.18%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)02-10
Earnings (Next)04-27
Inst Owners66.03%
Inst Owner Change0.46%
Ins Owners0.57%
Ins Owner Change-0.65%
Market Cap343.44B
Revenue(TTM)47.94B
Net Income(TTM)13.11B
Analysts82.29
Price Target80.56 (0.9%)
Short Float %0.87%
Short Ratio1.85
Dividend
Industry RankSector Rank
Dividend Yield 2.56%
Yearly Dividend2.04
Dividend Growth(5Y)4.44%
DP66.98%
Div Incr Years34
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.15%
Min EPS beat(2)-0.06%
Max EPS beat(2)2.35%
EPS beat(4)2
Avg EPS beat(4)0.77%
Min EPS beat(4)-0.7%
Max EPS beat(4)2.35%
EPS beat(8)6
Avg EPS beat(8)1.06%
EPS beat(12)9
Avg EPS beat(12)1.4%
EPS beat(16)12
Avg EPS beat(16)1.76%
Revenue beat(2)0
Avg Revenue beat(2)-3.68%
Min Revenue beat(2)-4.6%
Max Revenue beat(2)-2.77%
Revenue beat(4)0
Avg Revenue beat(4)-2.98%
Min Revenue beat(4)-4.6%
Max Revenue beat(4)-2.22%
Revenue beat(8)3
Avg Revenue beat(8)-0.94%
Revenue beat(12)4
Avg Revenue beat(12)-0.77%
Revenue beat(16)7
Avg Revenue beat(16)-0.09%
PT rev (1m)0.58%
PT rev (3m)1.45%
EPS NQ rev (1m)-2.68%
EPS NQ rev (3m)-2.05%
EPS NY rev (1m)0.03%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-1.87%
Revenue NQ rev (3m)-1.35%
Revenue NY rev (1m)-3.2%
Revenue NY rev (3m)-3.1%
Valuation
Industry RankSector Rank
PE 26.61
Fwd PE 24.07
P/S 7.16
P/FCF 64.85
P/OCF 46.36
P/B 10.68
P/tB 82.82
EV/EBITDA 24.38
EPS(TTM)3
EY3.76%
EPS(NY)3.32
Fwd EY4.15%
FCF(TTM)1.23
FCFY1.54%
OCF(TTM)1.72
OCFY2.16%
SpS11.14
BVpS7.48
TBVpS0.96
PEG (NY)2.52
PEG (5Y)2.96
Graham Number22.47
Profitability
Industry RankSector Rank
ROA 12.5%
ROE 40.74%
ROCE 16.72%
ROIC 13.42%
ROICexc 16.48%
ROICexgc 27.67%
OM 29.13%
PM (TTM) 27.34%
GM 61.63%
FCFM 11.05%
ROA(3y)11.35%
ROA(5y)10.94%
ROE(3y)41.61%
ROE(5y)41.38%
ROIC(3y)12.68%
ROIC(5y)12.29%
ROICexc(3y)15.52%
ROICexc(5y)14.87%
ROICexgc(3y)29.48%
ROICexgc(5y)29.51%
ROCE(3y)16.01%
ROCE(5y)15.55%
ROICexgc growth 3Y-0.8%
ROICexgc growth 5Y5.47%
ROICexc growth 3Y7.14%
ROICexc growth 5Y7.02%
OM growth 3Y6.21%
OM growth 5Y0.93%
PM growth 3Y7.21%
PM growth 5Y3.1%
GM growth 3Y1.96%
GM growth 5Y0.77%
F-Score7
Asset Turnover0.46
Health
Industry RankSector Rank
Debt/Equity 1.36
Debt/FCF 8.59
Debt/EBITDA 2.91
Cap/Depr 201.14%
Cap/Sales 4.41%
Interest Coverage 250
Cash Conversion 49.34%
Profit Quality 40.41%
Current Ratio 1.46
Quick Ratio 1.25
Altman-Z 4.92
F-Score7
WACC8.18%
ROIC/WACC1.64
Cap/Depr(3y)185.78%
Cap/Depr(5y)153.85%
Cap/Sales(3y)4.28%
Cap/Sales(5y)3.97%
Profit Quality(3y)58.66%
Profit Quality(5y)78.22%
High Growth Momentum
Growth
EPS 1Y (TTM)4.17%
EPS 3Y6.55%
EPS 5Y9%
EPS Q2Q%5.45%
EPS Next Y10.58%
EPS Next 2Y8.99%
EPS Next 3Y8.39%
EPS Next 5Y8.13%
Revenue 1Y (TTM)1.87%
Revenue growth 3Y3.69%
Revenue growth 5Y7.75%
Sales Q2Q%3.62%
Revenue Next Year1.72%
Revenue Next 2Y1.82%
Revenue Next 3Y2.84%
Revenue Next 5Y3.87%
EBIT growth 1Y26.43%
EBIT growth 3Y10.13%
EBIT growth 5Y8.75%
EBIT Next Year15.48%
EBIT Next 3Y9.67%
EBIT Next 5Y8.03%
FCF growth 1Y11.71%
FCF growth 3Y-17.8%
FCF growth 5Y-9.38%
OCF growth 1Y8.86%
OCF growth 3Y-12.39%
OCF growth 5Y-5.53%

COCA-COLA CO/THE / KO FAQ

What is the ChartMill fundamental rating of COCA-COLA CO/THE (KO) stock?

ChartMill assigns a fundamental rating of 6 / 10 to KO.


What is the valuation status for KO stock?

ChartMill assigns a valuation rating of 2 / 10 to COCA-COLA CO/THE (KO). This can be considered as Overvalued.


What is the profitability of KO stock?

COCA-COLA CO/THE (KO) has a profitability rating of 9 / 10.


Can you provide the PE and PB ratios for KO stock?

The Price/Earnings (PE) ratio for COCA-COLA CO/THE (KO) is 26.61 and the Price/Book (PB) ratio is 10.68.


Can you provide the dividend sustainability for KO stock?

The dividend rating of COCA-COLA CO/THE (KO) is 6 / 10 and the dividend payout ratio is 66.98%.