Is it smart to invest in Coca-Cola? (2024)

Is it smart to invest in Coca-Cola?

And Coca-Cola's dividend is a compelling reason to buy and hold shares. The company has increased its dividend annually for an impressive 61 consecutive years, and possesses a solid yield of 3% at the time of this writing.

Is Coca-Cola a good investment now?

The stock might respond to that sluggishness by staying relatively weak through most of 2024, but that's a small price to pay to gain exposure to one of the strongest consumer staples companies on the planet. co*ke deserves a spot on most investors' watch lists for 2024 and beyond.

Is investing is co*ke a good idea?

This is a quality enterprise

And because it has been around for such a long time, Coca-Cola has tremendous stability and staying power. Investors should realize that this is a quality enterprise. That brand recognition creates a wide economic moat that protects Coca-Cola from rivals in the industry.

Is Coca-Cola a good investment in 2024?

co*ke is projecting organic sales growth of between 6% and 7% (compared to Pepsi's 4%) for 2024. The company is also expecting earnings gains to outpace revenue growth, likely keeping co*ke's profit margin close to its current impressive rate of nearly 30% of sales.

What are the benefits of Coca-Cola stock?

Coca-Cola is a classic Dividend King and has raised its dividend annually for 62 years. Its dividend yields 3.2% at the current price, which is more than double the S&P 500 average. Even if Coca-Cola stock doesn't beat the market this year, it could still be a valuable addition to your portfolio.

Is co*ke a safe stock?

Coca-Cola is a safe stock for dividend investors and with $15 billion in cash and top line revenue of $45 billion dollars, the company has plenty of resources to grow.

Is co*ke a good long term stock?

Economic Moat Rating

We believe co*ke has built a wide economic moat around its global beverage operations, based on strong intangible assets and a significant cost advantage that will enable the company to deliver excess investment returns above its cost of capital over and beyond the next 20 years.

What if you invested $1,000 in Coca-Cola 10 years ago?

If you invested in the company 10 years ago, that decision could have paid off. According to CNBC calculations, a $1,000 investment in Coca-Cola in 2009 would be worth more than $2,800 as of Feb. 15, 2019.

What are the cons of investing in Coca-Cola?

Con: It's Expensive

While KO stock does have the size and brand recognition to command respect, the firm's most recent performance and expectations for the future don't justify its current price tag. KO's price-earnings ratio is a staggering 42.4.

Which stock is better co*ke or Pepsi?

Outlook and prices. Pepsi is the cheaper stock, but investors might still prefer paying the premium for co*ke over its less expensive rival. Sure, you can own Pepsi for 2.5 times sales, or less than half of co*ke's price-to-sales (P/S) ratio of 5.6. You'll get roughly the same 3% dividend yield in either case.

Does Coca-Cola have a future?

Key Points. Coca-Cola's solid revenue growth and earnings per share increase signal a financially robust future. The company's varied product range underlines its adaptability and market dominance. co*ke's strategic agility and growth forecasts position it as a wise investment for 2024.

Will Coca-Cola stock grow?

From a valuation perspective, KO stock looks like it has little room for growth. We estimate Coca-Cola's Valuation to be $65 per share, reflecting only a 9% upside. Our forecast is based on a 23x P/E multiple for KO and expected earnings of $2.85 on a per-share and adjusted basis for the full year 2024.

What is the future of Coca-Cola company?

Future Growth

Coca-Cola is forecast to grow earnings and revenue by 7.9% and 3.6% per annum respectively. EPS is expected to grow by 7.8% per annum. Return on equity is forecast to be 43.8% in 3 years.

Why is Coca-Cola so profitable?

Purchasing power: As one of the largest companies in the world, Coca-Cola has significant purchasing power, which allows it to negotiate lower prices for raw materials, packaging, and other inputs. This can result in lower production costs and higher profits. This is also known as monopsony power.

Why is Coca-Cola a good dividend stock?

Coca-Cola Co has maintained a consistent dividend payment record since 1963, distributing dividends on a quarterly basis. The company has not only paid dividends but also increased them each year, earning the prestigious title of a dividend kinga testament to its commitment to shareholder returns for over six decades.

Why is Coca-Cola stock stable?

Its success is attributed to sustained marketing efforts, strategic partnerships and commitment to innovation. Constantly adapting to emerging trends and consumer demands, Coca-Cola has maintained its position as a market leader in the beverage industry.

Does Warren Buffett own Coca-Cola stock?

Warren Buffett Coca-Cola Co

The investor owns 9.44% of the outstanding Coca-Cola stock. The first Coca-Cola trade was made in Q4 1998. Since then Warren Buffett bought shares ten more times and sold shares on eight occasions. The stake costed the investor $13.2 Billion, netting the investor a gain of 84% so far.

Who owns most of Coca-Cola stock?

The ownership structure of Coca-Cola Bottling Co Consolidated (co*kE) stock is a mix of institutional, retail and individual investors. Approximately 38.73% of the company's stock is owned by Institutional Investors, 37.60% is owned by Insiders and 23.67% is owned by Public Companies and Individual Investors.

What is the safest stock to invest in?

Dividend-paying stocks

Dividend stocks are considered safer than high-growth stocks, because they pay cash dividends, helping to limit their volatility but not eliminating it. So dividend stocks will fluctuate with the market but may not fall as far when the market is depressed.

Is co*ke stock recession proof?

Coca-Cola is Another Recession-Proof Stock. Coca-Cola (KO) – which, by the way, is among the top holdings of Berkshire Hathaway (BRK.B)

Should I sell my co*ke stock?

The Coca-Cola stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. On corrections up, there will be some resistance from the lines at $60.17 and $60.05. A break-up above any of these levels will issue buy signals.

Which stock is best for long term?

How much does Warren Buffett get from Coca-Cola?

A massive passive income stream

Berkshire currently owns 400 million shares of Coca-Cola. This means that on an annualized basis, Warren Buffett's company generates $736 million in dividend income from the beverage giant. That is a huge passive income stream that likely explains why Buffett isn't exiting the position.

How much money do you need to invest in Coca-Cola?

Investment Calculations for Desired Dividend Earnings

To consistently earn $500 per month from dividends, you'll need to invest around $193,548 based on Coca-Cola's current dividend yield of 3.1%. This calculation is derived from dividing your annual dividend goal ($6,000) by the yield percentage.

What if I invested $1,000 in gold 10 years ago?

As of October 2023, the price of gold hovers at about $1,900 per ounce. So, if you held onto your 0.753 ounces of gold from your initial $1,000 investment, it would be worth approximately $1,432 today. This means that your $1,000 investment would have grown by about 43% in nominal terms.