CocaCola (NYSE:KO) Shares Up 2.2% – Here’s What Happened

Shares of CocaCola Company (The) (NYSE:KO) were up 2.2% during trading on Thursday. The company traded as high as $88.04 and last traded at $87.7330. Approximately 14,513,658 shares changed hands during mid-day trading, a decline of 14% from the average daily volume of 16,921,084 shares. The stock had previously closed at $85.82.

CocaCola News Roundup

Here are the key news stories impacting CocaCola this week:

• Positive Sentiment: Raised outlook supports the shares: Coca-Cola has reportedly increased its outlook, reinforcing confidence in earnings momentum. The company’s recent results also showed revenue growth, an earnings beat and a sixth consecutive quarterly earnings beat, according to coverage. Coca-Cola Raises Its Outlook
• Positive Sentiment: Volume growth and innovation are encouraging: Coca-Cola’s best volume growth in nearly two decades and launches such as zero-sugar, prebiotic, banana and vanilla beverages suggest the company is adapting to changing consumer preferences, including demand shifts associated with GLP-1 medications. Coca-Cola Safety Premium
• Positive Sentiment: Income-investor appeal remains strong: Coca-Cola continues to be viewed as a high-quality dividend stock, supported by its globally diversified business, roughly 28.5% net margin and extensive distribution network. Wells Fargo has also reaffirmed its Buy rating. Wells Fargo Reaffirms Buy Rating
• Negative Sentiment: Valuation is a risk: Commentary warns that Coca-Cola’s defensive “safety premium” may be too expensive after its strong performance. With a forward earnings valuation near the upper end of its historical range, future returns could be more dependent on continued execution and earnings growth. Three Soda Giants Pay Dividends

Analysts Set New Price Targets

A number of research analysts have issued reports on KO shares. Daiwa Securities Group upped their target price on shares of CocaCola from $83.00 to $93.00 and gave the company an “outperform” rating in a research report on Thursday, July 30th. Jefferies Financial Group increased their price objective on shares of CocaCola from $95.00 to $104.00 and gave the company a “buy” rating in a report on Wednesday, July 29th. Truist Financial set a $88.00 target price on shares of CocaCola in a report on Friday, June 26th. Sanford C. Bernstein reissued a “market perform” rating and issued a $93.00 price target (up from $83.00) on shares of CocaCola in a research note on Wednesday, July 29th. Finally, Deutsche Bank Aktiengesellschaft lifted their price objective on CocaCola from $92.00 to $98.00 and gave the stock a “buy” rating in a research note on Wednesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $95.95.

CocaCola Stock Performance

The firm has a market cap of $377.48 billion, a P/E ratio of 26.35, a PEG ratio of 3.36 and a beta of 0.32. The company has a debt-to-equity ratio of 0.97, a quick ratio of 1.12 and a current ratio of 1.30. The stock’s 50-day moving average is $88.01 and its 200 day moving average is $82.64.

CocaCola (NYSE:KO) last announced its quarterly earnings results on Tuesday, July 28th. The company reported $0.97 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.93 by $0.04. The company had revenue of $13.37 billion during the quarter, compared to the consensus estimate of $13.17 billion. CocaCola had a return on equity of 39.38% and a net margin of 28.56%.The company’s revenue for the quarter was up 6.2% compared to the same quarter last year. During the same period in the prior year, the company earned $0.87 earnings per share. CocaCola has set its FY 2026 guidance at 3.270-3.300 EPS. On average, research analysts predict that CocaCola Company will post 3.29 earnings per share for the current year.

CocaCola Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th were issued a $0.53 dividend. This represents a $2.12 annualized dividend and a dividend yield of 2.4%. The ex-dividend date was Tuesday, September 15th. CocaCola’s dividend payout ratio is 63.66%.

Insider Activity at CocaCola

In related news, insider Sanket Ray sold 9,958 shares of the firm’s stock in a transaction on Monday, August 10th. The shares were sold at an average price of $86.50, for a total transaction of $861,367.00. Following the sale, the insider directly owned 62,105 shares in the company, valued at $5,372,082.50. This trade represents a 13.82% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, EVP Nancy Quan sold 50,000 shares of the business’s stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $90.39, for a total transaction of $4,519,500.00. Following the completion of the sale, the executive vice president directly owned 223,330 shares in the company, valued at $20,186,798.70. This represents a 18.29% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 926,620 shares of company stock valued at $83,075,714 over the last three months. Insiders own 0.90% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the company. Louisbourg Investments Inc. acquired a new position in CocaCola during the 1st quarter worth approximately $25,000. Guardian Partners Inc. acquired a new stake in shares of CocaCola in the second quarter valued at approximately $27,000. Horizons Wealth Management bought a new stake in shares of CocaCola in the third quarter worth $31,000. Bard Associates Inc. bought a new stake in shares of CocaCola in the fourth quarter worth $30,000. Finally, Atomic Invest LLC boosted its holdings in CocaCola by 38.7% during the second quarter. Atomic Invest LLC now owns 437 shares of the company’s stock worth $36,000 after purchasing an additional 122 shares during the last quarter. 70.26% of the stock is currently owned by institutional investors.

About CocaCola

The Coca-Cola Company (NYSE: KO) is a global beverage company headquartered in Atlanta, Georgia. Its portfolio includes sparkling soft drinks, water, sports drinks, coffee, tea, juice, dairy and plant-based beverages, and other ready-to-drink products. The company’s best-known brands include Coca-Cola, Diet Coke, Coca-Cola Zero Sugar, Sprite, Fanta, Dasani, Powerade, Minute Maid, fairlife, and Georgia Coffee.

Founded in 1886, the company develops, owns, licenses, markets, and distributes beverage brands through a network of bottling partners, distributors, retailers, and food-service operators.