Core Insights - Keurig Dr Pepper (KDP) is expanding its presence in the energy drinks market through a diverse portfolio that includes acquisitions and partnerships, such as GHOST Energy and C4, while also supporting emerging brands like Bloom Sparkling Energy and Black Rifle Energy [1][2]. Group 1: Energy Drinks Portfolio - KDP's energy drinks portfolio achieved a 6.4% constant currency net sales growth in Q1 2025, with GHOST Energy contributing 4.8 points to volume mix growth and experiencing double-digit retail growth [3][9]. - The multi-brand strategy allows KDP to target different consumer niches, enhancing credibility and diversifying risk, with brands like C4 appealing to performance-focused consumers and Bloom targeting female consumers [2]. Group 2: Growth Outlook - KDP anticipates continued high growth in energy and sports hydration categories, supported by favorable consumption trends and planned innovations across its brands, despite macroeconomic uncertainties [4]. - The energy drink segment's growth is expected to mitigate challenges in other areas, such as coffee, reinforcing KDP's leadership in the broader beverage market [4]. Group 3: Financial Performance - KDP's shares have appreciated by 3.1% over the past year, outperforming the Zacks Beverages - Soft Drinks industry's decline of 2.0% and the broader Consumer Staples industry's return of 1.1% [5]. - The stock is currently trading at a forward 12-month price-to-earnings (P/E) multiple of 15.93X, which is below the industry's average of 17.99X, indicating it is undervalued compared to peers [10].

Core Viewpoint - The Coca-Cola Company (KO) has experienced modest stock performance with a 1.5% increase over the past three months, reflecting investor caution despite stable fundamentals [1][3]. Financial Performance - In the first quarter of fiscal 2025, Coca-Cola reported a 3% organic revenue growth, driven by strong pricing and product mix, although volume growth was slower in North America due to inflation and cautious consumer behavior [2][8][13]. - The company maintained a conservative full-year outlook, indicating potential macroeconomic headwinds and limited near-term earnings acceleration [2][15]. - The Zacks Consensus Estimate for Coca-Cola's 2025 revenues and EPS implies year-over-year growth of 2.5% and 3.1%, respectively, while estimates for 2026 suggest growth of 5.3% and 8.2% [17][18]. Market Position - Coca-Cola's stock has outperformed the Zacks Beverages – Soft Drinks industry, which declined by 0.3% in the same period, but underperformed the broader Zacks Consumer Staples sector and the S&P 500 [3][4]. - The current share price of $71.01 is 4.5% below its 52-week high of $74.38 and 17.1% above its 52-week low of $60.62 [7]. Competitive Landscape - Coca-Cola's performance is weaker compared to Monster Beverage, which saw a 7.6% increase, but it outperformed PepsiCo and Keurig Dr Pepper, which declined by 7.7% and 2.7%, respectively [4][3]. - Coca-Cola trades at a forward P/E of 22.97X, significantly higher than the industry average of 18.66X, raising concerns about whether its valuation is justified [19][21]. Strategic Initiatives - The company is focusing on digital transformation and innovation, with marketing strategies aimed at deepening consumer engagement, particularly in emerging markets [14][15]. - Coca-Cola's ability to maintain pricing strength and product mix without compromising competitiveness highlights the durability of its brand portfolio [13][15]. Investment Outlook - Despite trading at a premium compared to peers, Coca-Cola offers a mix of steady returns, defensive stability, and long-term growth potential, making it a compelling investment option [23][24]. - The stock's premium valuation reflects strong investor expectations for growth, and any market pullbacks may present strategic entry points for investors [22][24].

Company Overview - Fomento Económico Mexicano, S.A.B. de C.V. (FMX) is currently experiencing significant attention in the options market, particularly with the July 18, 2025 $90 Call option showing high implied volatility, indicating potential for a major price movement [1][3] Implied Volatility Insights - Implied volatility reflects market expectations for future stock movement, with high levels suggesting anticipation of a significant price change or an upcoming event that could trigger a rally or sell-off [2] Analyst Sentiment - The company holds a Zacks Rank of 4 (Sell) within the Beverages - Soft drinks industry, which is positioned in the bottom 40% of the Zacks Industry Rank. Over the past 60 days, no analysts have raised earnings estimates for the current quarter, while some have lowered their estimates, resulting in a decrease of the Zacks Consensus Estimate from $1.12 to $1.07 per share [3] Trading Strategy Implications - The current high implied volatility may indicate a developing trading opportunity. Options traders often seek to sell premium on options with high implied volatility, aiming to benefit from the decay of the option's value if the underlying stock does not move as much as anticipated [4]

Key Takeaways PepsiCo hit a 52-week low of $127.60 amid top-line weakness and soft first-quarter fiscal 2025 results. North America operations declined, with Frito-Lay sales down and PFNA profits falling 7%. PEP cut its FY25 outlook, now guiding for flat EPS and low-single-digit organic revenue growth.PepsiCo Inc. (PEP) has shown volatile performance in recent months, pressured by persistent top-line softness and ongoing challenges in its North America operations since early 2024. The stock’s decline also ...

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Summary: Zevia (ZVIA) - Zevia currently holds a Momentum Style Score of A, indicating strong momentum characteristics [2] - The company has a Zacks Rank of 2 (Buy), suggesting it is positioned for potential outperformance in the market [3] - Over the past week, ZVIA shares have increased by 17.42%, while the Zacks Beverages - Soft drinks industry remained flat [5] - In a longer timeframe, ZVIA's shares have risen by 38.5% over the past quarter and 364.05% over the last year, significantly outperforming the S&P 500, which increased by 16.66% and 14.76% respectively [6] - The average 20-day trading volume for ZVIA is 1,055,065 shares, indicating a bullish trend as the stock is rising with above-average volume [7] Earnings Outlook - In the past two months, three earnings estimates for ZVIA have been revised upwards, while none have been lowered, leading to an increase in the consensus estimate from -$0.24 to -$0.16 [9] - For the next fiscal year, three estimates have also moved upwards with no downward revisions, indicating positive sentiment regarding future earnings [9] Conclusion - Considering the strong momentum indicators and positive earnings outlook, ZVIA is recommended as a stock to watch for potential near-term gains [10][11]

The Consumer Staples group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Coca-Cola (KO) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Consumer Staples sector should help us answer this question.Coca-Cola is one of 178 individual stocks in the Consumer Staples sector. Collectively, these companies sit at #15 in the Zacks Sector Rank. The Zacks Sector Rank ...

Key Takeaways SBUX saw a 450-bps drop in operating margin in Q2 FY25 due to tariffs and commodity inflation. A cross-functional team and supply-chain shifts aim to offset tariff exposure and rising input costs. Starbucks plans to hold prices steady in FY25 while boosting app transparency for customer trust.Starbucks Corporation (SBUX) is facing a challenging mix of rising input costs and shifting trade dynamics in fiscal 2025. Heightened tariff exposure—especially on merchandise from China and imported be ...

Coca-Cola (KO) closed the most recent trading day at $69.74, moving +1.31% from the previous trading session. This change outpaced the S&P 500's 0.96% gain on the day. Elsewhere, the Dow saw an upswing of 0.89%, while the tech-heavy Nasdaq appreciated by 0.94%. Heading into today, shares of the world's largest beverage maker had lost 4.08% over the past month, lagging the Consumer Staples sector's loss of 1.5% and the S&P 500's gain of 0.5%.The investment community will be paying close attention to the earn ...

Company Overview - Celsius Holdings Inc. operates in the Soft Drinks & Non-alcoholic Beverages industry, with approximately 95% of its revenues generated from the U.S. market and the remaining from international markets [1]. Product Focus - The company is engaged in the development, processing, marketing, sale, manufacturing, and distribution of energy and functional drinks, along with other products [1].

Key Takeaways MNST shares outperformed the soft drinks industry and the market, reflecting strong market positioning. Monster saw margin gains from easing supply chains, pricing strategies and robust global demand. The Alcohol Brands segment faced headwinds from weak volumes, distributor shifts and currency pressures.Monster Beverage Corporation (MNST) shares have gained 15.6% in the past three months, outperforming the Zacks Beverages - Soft drinks industry and the broader S&P 500 index’s growth of 1.5% ...