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2 Consumer Goods Stocks to Add to Your Portfolio in 2025
KOCoca-Cola(KO) The Motley Fool·2025-03-02 10:58

Group 1: Coca-Cola - Coca-Cola is the world's leading beverage company, with over 2.2 billion servings consumed daily, generating healthy margins that support growing dividend payments [2][5] - The non-alcoholic beverage market is valued at 1.6trillion,andCoca−Cola′sstrongdistributionnetworkpositionsitwellforopportunitiesinemergingmarkets[4]−Thecompanyhasalonghistorysince1886,demonstratingresiliencethroughvariouseconomicconditions,withrevenuegrowthofabout61.6 trillion, and Coca-Cola's strong distribution network positions it well for opportunities in emerging markets [4] - The company has a long history since 1886, demonstrating resilience through various economic conditions, with revenue growth of about 6% over the last decade [3] - Coca-Cola's products are available in 33 million outlets globally, and the company added nearly 600,000 coolers last year to enhance cold consumption sales [5] Group 2: McDonald's - McDonald's operates over 43,000 locations worldwide, utilizing a franchise model that provides high margins and supports dividend growth [6] - In 2024, McDonald's faced challenges with a 0.1% decline in global comparable sales, but its focus on value offerings helps maintain competitiveness [7] - The company aims to expand its restaurant base to 50,000 by 2027, which is expected to drive higher sales and earnings [7] - McDonald's generated 30 billion in systemwide sales from its loyalty program last year, accounting for 23% of total sales, with a goal to increase this to 45billionby2027[8]−Thecompanyreported45 billion by 2027 [8] - The company reported 8.2 billion in net income on 25.9billioninrevenue,distributing25.9 billion in revenue, distributing 4.8 billion in dividends to shareholders [9] - McDonald's stock offers a dividend yield of 2.2% and trades at a forward P/E ratio of 25, which is below the S&P 500 average of 30 [10]