Core Viewpoint - Coca-Cola is a durable and high-quality business with a strong brand and significant market presence, making it an attractive investment option despite low growth potential [2][4][8]. Group 1: Business Strengths - Coca-Cola has a portfolio of over 200 beverage brands and a global presence, contributing to its strong economic moat [2]. - The company's powerful brand supports its pricing power, allowing it to exceed Wall Street estimates in recent quarters [3]. - Coca-Cola's strategic outsourcing of bottling and distribution has led to impressive profitability, with an average operating margin of 26.9% over the past decade [5]. Group 2: Financial Performance - The company has maintained a consistent dividend payout for 63 consecutive years, yielding around 2.7%, which is more than double the average yield of the S&P 500 [6]. - Despite its strengths, Coca-Cola's revenue growth has been low, with only a 2.3% increase over the past decade, indicating limited expansion potential in a mature industry [8]. Group 3: Investment Considerations - Coca-Cola's current price-to-earnings (P/E) ratio of 29 is above its five-year average, reflecting a premium valuation that may not justify a strong buy recommendation [9]. - The stock has underperformed the S&P 500 over the past decade, with a total return of 139%, raising doubts about its ability to beat the market in the future [10]. - An initial investment of $5,000 would require an annualized return of 19.3% over 30 years to reach a million dollars, which is considered improbable given the current market conditions [11].

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?Let's take a look at what these Wall Street heavyweights have to say about Coca-Cola (KO) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.Coca-Cola currently has an average brokerag ...

Investors also had concerns about how aluminum tariffs imposed by Trump might impact the company, but management largely shrugged the threat off, saying the company has the flexibility to focus on transitioning more of its drinks into plastic packaging. A true Buffett stock Now at 94 years old, Buffett is still the CEO of Berkshire but he's less involved in the business than he once was and has many experienced stock pickers at his disposal. So when Berkshire buys a stock, a frequent question is whether it ...

KO's full-year Zacks Consensus Estimates are calling for earnings of $2.96 per share and revenue of $47.97 billion. These results would represent year-over-year changes of +2.78% and +1.93%, respectively. Investors should also note any recent changes to analyst estimates for Coca-Cola. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook. Based on our research, we believ ...

Core Viewpoint - Berkshire Hathaway has historically prioritized reinvesting profits over paying dividends, with the exception of a single cash dividend in 1967, which Warren Buffett now views unfavorably [1][5] Group 1: Coca-Cola's Dividend Performance - Coca-Cola has increased its quarterly dividend by 5.2%, marking the 63rd consecutive increase, and its dividend has grown by approximately 55% over the last decade [3][4] - Coca-Cola is classified as a Dividend King, a designation for companies that have raised dividends for at least 50 consecutive years, and it offers a forward dividend yield of 2.94% [4][6] Group 2: Buffett's Investment in Coca-Cola - Buffett has held Coca-Cola since 1988, making it his longest-held stock, and it constitutes 9.3% of Berkshire's total portfolio [6][5] - In his 2023 letter to shareholders, Buffett included Coca-Cola among stocks he intends to hold indefinitely, indicating strong confidence in the company [5][6] Group 3: Market Performance and Valuation - Coca-Cola has outperformed the overall stock market in 2025, showing a double-digit percentage gain [6][7] - The stock trades at 23.3 times forward earnings, which is not considered cheap, contributing to Buffett's decision not to increase his position in recent years [8][9] - Coca-Cola's earnings per share (EPS) rose by 12% year over year in Q4 2024, with expectations of 8% to 10% growth in 2025, but these growth rates may not be sufficient to attract value investors [10][11]

Core Insights - Oceana's report projects that Coca-Cola's plastic use will exceed 9.1 billion pounds (4.1 million metric tons) annually by 2030 without changes to its practices, representing a nearly 40% increase from 2018 and a 20% increase from 2023 [1][2] - The report estimates that up to 1.3 billion pounds (602,000 metric tons) of Coca-Cola's plastic packaging could enter waterways and oceans by 2030 if current practices continue, enough to fill the stomachs of over 18 million blue whales [2] - Coca-Cola's reliance on single-use plastic is highlighted as detrimental to oceans, human health, and business, with a call for a shift towards reusable packaging to reduce plastic use [3][7] Plastic Use and Environmental Impact - Coca-Cola is identified as the number one polluter of branded plastic in the environment, facing increasing scrutiny for its plastic use [4] - The company previously aimed to increase reusable packaging to 25% of sales but has since abandoned this goal, focusing instead on recycled content and collection of single-use plastic for recycling [5][6] - Despite investing nearly $1 billion in recycled plastic in 2022, this approach does not effectively reduce Coca-Cola's overall plastic footprint [5][6] Recommendations and Future Actions - Oceana suggests that Coca-Cola must take significant action to address its plastic problem rather than relying on ineffective measures [7] - If Coca-Cola is unwilling to change its practices, policymakers should consider interventions to address the company's global plastic issue [8]

Coca-Cola has voluntarily recalled more than 10,000 cans of the popular soft drink after the discovery of potential plastic contamination, according to the Food & Drug Administration.The recall began on March 6, when Milwaukee-based Reyes Coca-Cola Bottling, LLC, alerted authorities that plastic fragments might have entered certain cans of “Coca-Cola Original.”The FDA officially classified the incident as a “Class II” recall on Monday. 3 Coca-Cola has voluntarily recalled more than 10,000 cans of its orig ...

If I were Warren Buffett, I probably wouldn't be able to wipe the smile off my face. While the overall stock market has fallen this year, his beloved Berkshire Hathaway has delivered an impressive gain of around 17%.Moreover, several stocks in Berkshire's portfolio have been big winners in 2025. The Coca-Cola Company (KO -1.62%) is in that group, jumping nearly 10% year to date. Is Coca-Cola the best Buffett stock to buy right now?Why Coca-Cola stock is sizzling and not fizzlingHow has Coca-Cola been able t ...

Warren Buffett’s Berkshire Hathaway (NYSE: BRK.A) has long been synonymous with identifying top dividend-paying stocks and turning them into powerful, long-term cash generators. As elevated interest rates and market volatility continue to cloud the economic outlook, Warren Buffett’s time-tested strategy of investing in cash-generating dividend stocks is once again proving its worth.Buffett’s long-term bet on Coca-ColaOne standout in his portfolio is beverage giant Coca-Cola Co. (NYSE: KO), a position Buffet ...

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Coca-Cola (KO) .Coca-Cola currently has an average brokerage reco ...