Track market-moving stories before they get noisy

Andrew Sather says most investors only understand one of the two engines driving stock returns, and missing the second one is exactly why a name as familiar as Coca-Cola keeps catching people off guard.

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The least exciting name on your watchlist can outrun the flashiest one when the market has priced in nothing and the business quietly grows. Andrew Sather, co-host of The Investing for Beginners Podcast, argues that most investors understand only one of the two engines driving stock returns. Engine one is straightforward: the stock roughly tracks a growing business. Engine two pays better and confuses more people: you buy a stock whose growth the market refuses to acknowledge, and you collect the difference when sentiment catches up.

Sather says he is “starting to lean more towards” the second engine again because “there’s just more opportunities there.” His worked example is Coca-Cola (NYSE:KO | KO Price Prediction), a name so often dismissed as dead money that the framework has room to embarrass its critics. The wrinkle is that the market may already be recalibrating. Shares are up sharply this year, so the real question becomes whether the re-rating still has room to run.

Two Engines of Return Every stock return comes from either the business or the multiple. If earnings grow and the price/earnings ratio holds steady, the stock tracks earnings. If earnings hold steady and the multiple expands, the stock rises anyway.

Sather framed it this way: “it’s not always margin of safety, it’s not always high growth. It’s which combination of the two at any given point in time is going to lead to higher returns.” One factor without the other tends to disappoint.

What Margin of Safety Looks Like in Practice Margin of safety is the gap between what a business is likely worth and what the market is charging you today. You look for durable free cash flow, a share count that isn’t drifting higher, and a story most people find boring.

Coca-Cola’s free cash flow yield sits around 1.40%, and the forward dividend is $2.12. The safety comes from durability: 63 consecutive years of dividend increases and $8.8 billion paid in 2025.

Coca-Cola as the Worked Example Sather characterizes the dead-money bucket as businesses growing 4% to 6% a year, and Coca-Cola’s second quarter outran that. Revenue was $13.38 billion, up 6.7% year over year, and adjusted EPS of $0.97 against a $0.9323 consensus marked the fifth straight beat.

Guidance was raised: organic revenue growth of about 5%, comparable EPS growth of 9% to 10%, and free cash flow near $12.4 billion. The full detail sits in the Q2 2026 release filed with the SEC.

The stock has responded. Shares closed at $88.07 on September 4, up 27.67% year to date and 32.72% over the past year. Whatever dead money meant a few years ago, it does not describe the stock today.

Operating margin expanded to 34.9% from 34.1%, and net debt leverage sits at 1.4 times EBITDA. Trademark Coca-Cola volume grew 5% globally, the strongest in 17 years excluding COVID recovery, helped by a FIFA World Cup activation across 180+ markets.

At a P/E of 29x, the multiple no longer looks apologetic. If Sather’s thesis was that the market underappreciated the growth, the market has partly caught up.

When the Framework Fails A cheap stock can stay cheap, and underappreciated often turns out to mean declining. Tell the difference by checking whether unit volumes are growing, and not simply revenue.

Coca-Cola’s global unit case volume rose 5%, led by India, China, the US, and Brazil. That confirms demand is real. When volumes shrink while price carries the top line, the runway is finite.

Applying the Two-Factor Check to Your Watchlist For any stock, ask two questions. Is the business actually growing on volume and cash flow, or only on headline revenue? Is the multiple you are paying reasonable against a bearish version of that growth?

If both answers are yes, you own both engines. If growth is present but the multiple is stretched, you are paying for delivery with zero room for error. If the multiple is cheap and growth is absent, you are hoping sentiment shifts before fundamentals confirm the story.

Is KO Stock a Buy? Coca-Cola today reads as a hold. The business is executing, guidance was raised, and the balance sheet is enviable, although the re-rating Sather’s framework anticipated is already visible in the stock. A 29 P/E on a mid-single-digit organic grower leaves a thinner margin of safety than the dead-money label suggests.

Against PepsiCo, which has wrestled with volume declines, Coca-Cola is the stronger operator right now. New capital at these prices needs patience; existing holders collect a 2.32% yield backed by 63 straight annual increases, the kind of streak we screened for in our free Dividend Kings guide.

Contact [email protected] for any questions or corrections.

The soda flopped spectacularly when introduced in 1985, but the company soon bounced back—and so did Dyson.

There's plenty of pop in shares of Coca-Cola (KO -0.83%) these days. The pop star is trading 26% higher this year, near the all-time high it notched two weeks ago.

When a stock outpaces its fundamentals, it's only natural to wonder if it has gotten ahead of itself. Coca-Cola's trailing revenue and earnings have risen a modest 6% and 9% over the past two quarters. Is Coca-Cola stock about to go flat? I don't think so.

Image source: Getty Images.

Coke is it There's a lot to like for the global champ of beverage stocks. By outsourcing low-margin bottling and distribution to regional partners, Coca-Cola's high-margin slice of the business consistently generates a net margin in the mid-20s. It pays out a dividend that has risen for 64 consecutive years. Its current yield of 2.4% is more than double the S&P 500.

Despite its healthy ascent in 2026, the stock is also reasonably cheap. Its earnings multiple of 26 may seem high, but that's roughly where it's been for the past five years.

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In today's turbulent market, it's good to have some stability in your portfolio. Coca-Cola has earned its recession-resistant racing stripes. Its five-year beta of 0.34 implies that Coca-Cola has just a third of the correlation to the general market.

Coca-Cola provides liquidity in more ways than one. It delivers. Coca-Cola has beaten analyst profit targets for more than 10 quarters. There may come a point where the stock outpaces its benefits, but it's not there yet. Even if it does get there, today's investors will be rewarded with the upticks. Coca-Cola knows how to pour it on, in a good way.

Rick Munarriz has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Coca-Cola is a well-run consumer staples Dividend King that is performing well as a business right now. The stock's recent run has been incredible compared to the average consumer staples stock.

Income investors obviously love high dividend yields. After all, the bigger the yield, the greater the cash flow from that particular position.

After nearly three decades in the investment business, however, I know all too well that bigger dividend yields are only part of an income stock's story. If the underlying dividend payment doesn't grow or if the stock in question is likely to lose value rather than gain ground, the solution to your income problem is offset by the creation of another. I've heard such tickers sometimes called yield traps -- stocks that seem attractive due to their sizable dividend yield (frequently resulting from a steep sell-off) but often end up underperforming in other ways, leaving their owners unsure of what to do once they're in a position.

As unappealing as the idea may be on the surface, I'm firmly convinced that sometimes the smartest long-term decision an income-minded investor can make is stepping into a dividend name with a modest entry yield, but a track record of strong net growth -- by all measures -- that will make this investment worth its seemingly slow start. And one of the best of these choices right now is beverage behemoth Coca-Cola (KO -0.83%).

Image source: Getty Images.

Coca-Cola under the microscope You know the company. In addition to its incredibly popular namesake cola, Coca-Cola is the parent to Minute Maid juices, Gold Peak tea, Powerade sports drink, Dasani water, and more. It's got something for every consumer taste.

Just as important, the company knows how to market these products. Credit its sheer size. Not only can The Coca-Cola Company afford to spend more on marketing than its competitors, but grocers know its brands draw shoppers to their stores.

Coca-Cola isn't quite the company it seems to be on the surface, however. Unlike its top rival, PepsiCo (PEP -0.66%), Coca-Cola does very little of its own actual bottling these days. It's punted the vast majority of this work -- and distribution -- to third-party bottlers so it can focus on what it does best. That's marketing. This business model also puts the bulk of the ever-volatile production cost burden on these bottlers, allowing the parent to enjoy wider net profit margins even if it generates less revenue.

This model is, of course, ideal for supporting dividend payments. The company's dividend pedigree says as much. Not only has Coca-Cola been able to pay a quarterly dividend like clockwork for decades now, but it has also raised its per-share payout in each of the past 64 years.

Still, Coke's forward-looking dividend yield of 2.4% just isn't thrilling compared to several other options, including the aforementioned PepsiCo, which currently boasts a forward-looking dividend yield of 4.2%.

So why would Coca-Cola be a better choice for income investors?

Think bigger picture, and longer term Yield matters to be sure. It's not all that matters, though. For anyone planning on sticking with a dividend stock for the long term, reliable and meaningful dividend growth is just as important, if not more important.

And that's where Coca-Cola really shines. Not that PepsiCo's historical dividend growth has been weak, but over the course of the past 30 years, Coke's quarterly per-share payment has grown (on a split-adjusted basis) at an average annual rate of 7.4%, and at an inflation-beating pace of more than 4% for the past turbulent decade. Not bad.

Then there's the other thing. Even if it's not your primary goal right now, Coca-Cola's stock is still capable of producing solid capital growth. A $10,000 investment made 30 years ago would be worth more than $35,000 today, and that's not counting any dividends paid in the meantime. Had you been reinvesting its dividend payments since then, a $10,000 stake purchased back in the middle of 1996 would be worth more than $75,000 today. Moreover, with a forward-looking yield of 2.4%, that stake would be capable of producing a little over $1,800 worth of dividends per year, and the stock itself would still be logging slow and steady gains.

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That's why I think Coca-Cola shines through as one of the market's very best dividend prospects even if its yield isn't exactly sky-high right now -- or ever.

If you can be patient enough to see the bigger, longer-term picture, when the time comes, a growth position fueled by persistent dividend reinvestment can become an income holding in the future simply by stopping your dividend reinvestment and instead starting to collect those payments in cash. In this particular scenario, your effective dividend yield on your initial investment is far higher than what it would be if you were just now opening a position in KO.

Perhaps my more important point is that there's more to picking the right income investment than a simple snapshot of a stock's dividend yield right now. If you want quality, sometimes the price you must pay upfront is a smaller starting yield than you might prefer. It can definitely be worth it in the long run.

Allen Mooney & Barnes Investment Advisors LLC trimmed its position in CocaCola Company (The) (NYSE:KO – Free Report) by 15.7% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 33,906 shares of the company’s stock after selling 6,325 shares during the quarter. Allen Mooney & Barnes Investment Advisors LLC’s holdings in CocaCola were worth $2,756,000 at the end of the most recent reporting period.

Other institutional investors have also added to or reduced their stakes in the company. Lantern Wealth Advisors LLC boosted its position in CocaCola by 3.6% in the second quarter. Lantern Wealth Advisors LLC now owns 3,316 shares of the company’s stock valued at $270,000 after buying an additional 115 shares in the last quarter. Gill Capital Partners LLC grew its position in CocaCola by 4.1% during the 2nd quarter. Gill Capital Partners LLC now owns 2,992 shares of the company’s stock worth $243,000 after acquiring an additional 117 shares during the last quarter. Paragon Private Wealth Management LLC increased its holdings in CocaCola by 1.4% in the 2nd quarter. Paragon Private Wealth Management LLC now owns 8,726 shares of the company’s stock worth $709,000 after purchasing an additional 123 shares in the last quarter. Everpar Advisors LLC raised its position in CocaCola by 0.9% in the second quarter. Everpar Advisors LLC now owns 14,504 shares of the company’s stock valued at $1,179,000 after purchasing an additional 125 shares during the last quarter. Finally, Geneos Wealth Management Inc. raised its position in CocaCola by 0.3% in the first quarter. Geneos Wealth Management Inc. now owns 40,879 shares of the company’s stock valued at $3,109,000 after purchasing an additional 129 shares during the last quarter. 70.26% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth Several research firms have recently weighed in on KO. Evercore restated an “outperform” rating and set a $100.00 price target on shares of CocaCola in a report on Tuesday, July 28th. Morgan Stanley reiterated an “overweight” rating and issued a $100.00 price objective (up from $89.00) on shares of CocaCola in a report on Wednesday, July 29th. Truist Financial set a $88.00 target price on shares of CocaCola in a research report on Friday, June 26th. Piper Sandler boosted their target price on shares of CocaCola from $88.00 to $95.00 and gave the stock an “overweight” rating in a report on Wednesday, July 29th. Finally, Wells Fargo & Company upped their price target on shares of CocaCola from $90.00 to $95.00 and gave the company an “overweight” rating in a research report on Wednesday, July 29th. Fifteen analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $95.76.

View Our Latest Report on KO Insider Activity at CocaCola In other CocaCola news, insider Bruno Pietracci sold 111,365 shares of the business’s stock in a transaction that occurred on Thursday, August 20th. The stock was sold at an average price of $90.93, for a total value of $10,126,419.45. Following the transaction, the insider directly owned 41,365 shares of the company’s stock, valued at approximately $3,761,319.45. The trade was a 72.92% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO John Murphy sold 152,483 shares of the stock in a transaction that occurred on Friday, July 31st. The stock was sold at an average price of $87.31, for a total value of $13,313,290.73. Following the transaction, the chief financial officer owned 279,917 shares in the company, valued at $24,439,553.27. The trade was a 35.26% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 1,050,604 shares of company stock worth $93,022,219 over the last quarter. 0.90% of the stock is owned by company insiders.

CocaCola Trading Up 0.7% Shares of KO stock opened at $88.86 on Friday. CocaCola Company has a 1-year low of $65.35 and a 1-year high of $92.49. The company has a current ratio of 1.30, a quick ratio of 1.12 and a debt-to-equity ratio of 0.97. The stock has a market cap of $382.32 billion, a price-to-earnings ratio of 26.68, a PEG ratio of 3.44 and a beta of 0.34. The stock has a 50-day moving average of $85.99 and a 200-day moving average of $81.13.

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

CocaCola Dividend Announcement The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th will be paid a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date of this dividend is Tuesday, September 15th. CocaCola’s payout ratio is currently 63.66%.

CocaCola Company Profile (Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

Further Reading Five stocks we like better than CocaCola The Path to $230 Billion: Broadcom Outlines the Next Phase of Its AI Growth Story NVIDIA’s Hugging Face Deal Raises a Bigger Question About Its AI Moat Now Dropping the Dough: Yum! Brands Strategically Trims the Fat These 3 Stock Charts Just Flashed the Dreaded Death Cross Pattern Want to see what other hedge funds are holding KO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for CocaCola Company (The) (NYSE:KO – Free Report).

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Coca-Cola (KO -0.76%) has raised its dividend for 64 consecutive years and yields about 2.4% at a share price near $90. I think it belongs in most income portfolios, though not for the reason most people assume.

In February, Coca-Cola raised its quarterly payout from $0.51 per share to $0.53, bringing the annual dividend to $2.12 per share from $2.04. That was a 3.9% increase and the 64th straight year of growth, a streak that has survived recessions, inflation spikes, and repeated shifts in what people drink. This streak puts Coca-Cola on the elite list of Dividend Kings, companies that have grown their dividends for at least 50 consecutive years.

Image source: Getty Images.

Here is the honest part: A 2.4% yield doesn't sound like income for life. Five-year average dividend growth runs near 4.5%, and the payout ratio sits at 63.7%. The dividend alone will not drive strong near-term returns. What makes the case is what sits behind the payment.

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The business is growing faster than the dividend Second-quarter net revenue rose 7% to $13.38 billion. Comparable earnings per share (EPS) grew 11% to $0.97 against a $0.93 estimate, and reported EPS jumped 16% to $1.03. Global unit case volume increased 5%, with every single reporting segment posting volume growth.

The company is placing fewer and larger bets rather than chasing every trend. Coca-Cola Zero Sugar has become the growth engine, with global unit case volumes up 14%. Fairlife is the protein platform, and Topo Chico anchors premium hydration.

Fairlife matters the most to me. It gives Coca-Cola real exposure to protein and functional nutrition, categories that benefit from fitness culture and the adoption of weight-loss medications. Protein intake is gaining popularity in mainstream health conversations. But capacity has been the constraint. The New York facility began construction at the start of 2026 and is ramping up throughout the year, de-bottlenecking supply across variants and package sizes.

Henrique Braun took over as CEO at the end of March and has been direct about the gap. He said innovation "is not where it needs to be," and that the company needs to get closer to consumers and improve speed to market. That's a useful thing to hear from a new chief executive, rather than a defense of the status quo.

The affordability play Coca-Cola is not resetting prices. Instead, it's widening the range. The company rolled out mini 7.5-ounce cans priced under $2 in United States convenience stores to reach lower-income consumers and get them to try the products. Braun's team is marketing across price points and pack sizes rather than pushing everyone toward premium.

Innovation has also gotten bolder: Sprite + Tea in North America, Bacardi Mixed With Coca-Cola in Mexico and Europe, and Coca-Cola Cherry Float across the U.S., Canada, and the United Kingdom. The company also added Coca-Cola sweetened with cane sugar to the U.S. lineup.

Does Coca-Cola belong in your portfolio? I believe that Coca-Cola should be in your portfolio, but with the right expectation. You're not buying a high yield. You're buying a company that gained value share in nonalcoholic ready-to-drink beverages while growing volume by 5% and expanding margins. The dividend grows roughly 4% to 5% annually on top of earnings compounding near 10%.

That combination is what can turn a 2.4% yield today into meaningful income over the next couple of decades. If you need cash flow right away, there are probably better options out there. But if you have a significant amount of money to invest and want a reliable company with a history of steady growth and increasing payouts, this could be a solid long-term choice. If your goal is a dividend that keeps growing through whatever comes next, this is the kind of setup worth seeking.

XLP holds dozens of consumer staples names, but a handful of its biggest positions tell completely different stories about yield, growth, and value that the ETF quietly blurs together.

The Consumer Staples Select Sector SPDR Fund (NYSEARCA:XLP) is the default parking spot for investors who want defensive exposure, a decent dividend, and the comfort of household-name brands. It has done its job in 2026, gaining 11.39% year to date through August 28, and its $13.6 billion in net assets confirms how widely held it is. But once you look inside XLP, the case for owning three of its biggest positions directly, rather than the wrapper around them, gets hard to ignore.

What You Are Actually Buying Inside XLP XLP is a market-cap-weighted basket of roughly three dozen U.S. consumer staples names. Its top disclosed holdings, as of June 30, 2026, are Walmart at 10.80%, Costco at 9.03%, Procter & Gamble at 7.43%, Coca-Cola at 6.85%, and Philip Morris International at 6.13%. Altria sits at 4.53%. The rest is a long tail of Clorox, Hormel, Brown-Forman, and other names doing very little for either yield or growth.

That tail is the problem. The ETF’s blended yield lands near 2.5%, dragged down by low-yielding retailers like Costco and by struggling packaged-food names. If your goal is defensive income, you are paying to own dozens of positions that dilute the two things staples investors actually want: fat, growing dividends and durable pricing power.

Coca-Cola: Growth the ETF Cannot Match Coca-Cola (NYSE:KO | KO Price Prediction) is up 29.98% year to date, nearly triple XLP’s return. The second-quarter report drove it: adjusted EPS of $0.97 beat estimates by 4.04%, revenue rose 6.7% year over year, and global unit case volume grew 5%. Management then raised full-year guidance to organic revenue growth of roughly 5% and comparable EPS growth of 9% to 10%.

The dividend just stepped up to $0.53 quarterly, an annualized $2.12 forward payout, extending a streak that stretches back six decades. Yield of 2.34% is close to XLP’s blended yield, but you get it alongside double-digit earnings growth. XLP holders get the same Coke exposure diluted seven-to-one.

Procter & Gamble: The Dividend King Discount Procter & Gamble (NYSE:PG) is the opposite story: up only 2.53% year to date and down 4.95% over the past year. That underperformance has pushed the yield to 2.98% and the forward P/E down to 20, a rare discount for a company that just paid its 70th consecutive annual dividend increase.

FY2026 free cash flow reached $15.84 billion, up 12.74%, and management plans roughly $10 billion in dividends and $5 billion in buybacks in FY2027. The organic sales guide of 1% to 3% is soft, which is exactly why the stock is cheap. Owning PG directly at 20x forward earnings, with a 3% yield, is a better value than owning it inside XLP at the same price.

Altria: The Yield That XLP Cannot Deliver Altria Group (NYSE:MO) yields 6.27%, trades at a forward P/E of 12, and just raised its quarterly dividend to $1.11, extending a growth record spanning 56 years. Altria has returned nearly $3.9 billion to shareholders through dividends and buybacks in the first half alone, and narrowed 2026 adjusted EPS guidance to $5.61 to $5.72.

Because MO is only 4.53% of XLP, its 6%+ yield contributes almost nothing to the ETF’s payout. Owning MO directly is the only way to capture it. Domestic cigarette volumes fell 3.2% in Q2, and the smoke-free transition through On Plus and NJOY is still unproven. This is a yield with regulatory risk attached, which is why it belongs as a slice, not the whole plate.

Weighing the Swap Against Your Situation A KO/PG/MO blend delivers a yield well north of 4%, three of the longest dividend growth records in the market, and zero expense ratio, while still capturing the franchises that drive most of XLP’s return anyway (we ranked ten companies with 50+ year raise streaks by valuation in a free Dividend Kings report if you want to see which staples still look cheap here). You give up Walmart and Costco exposure, accept single-stock risk, and take on Altria’s regulatory overhang.

In a taxable account, selling XLP could trigger capital gains, so a partial swap (keeping the ETF and adding the three names) may make more sense than a full switch. In an IRA, the transition is frictionless. If you own XLP mainly for income and pricing-power stability, this trio is worth putting on the table before your next dividend reinvestment.

Contact [email protected] for any questions or corrections.

Coca-Cola (KO +0.67%) has done everything an income investor could ask of it this year. In February, the company raised its quarterly dividend about 4% to $0.53 per share ($2.12 a year), marking its 64th consecutive annual increase. Its business has delivered, too, with results strong enough that management raised its full-year outlook in late July.

The stock has responded. Shares have climbed about 28% in 2026, reaching about $90 as of this writing -- within a few dollars of their 52-week high.

And that is exactly the problem for anyone buying today for the income. A dividend yield is a ratio, and this year the price ran far ahead of the payout.

At the start of January, Coca-Cola stock yielded about 2.9%. Today, even with the higher payout, it yields about 2.4%.

Image source: Getty Images.

The raise didn't keep up with the runThe math is simple enough. Coca-Cola entered the year trading near $70 with an annual dividend rate of $2.04, which worked out to a yield of about 2.9%. Since then, the dividend has grown 4%, and the stock price has grown about 28%.

Divide the new payout by the new price, and the yield lands at about 2.4%.

Within the past year, the compression looks even sharper. The stock's 52-week low is $65.35, and a buyer at that price collects more than 3.2% on today's payout.

A buyer at $90, by contrast, collects about a quarter less income on every dollar invested.

For a stock investors mostly own for its steadily growing income stream, that is a meaningful change in what a new dollar buys. The payout keeps rising on schedule. The price of a dollar of that payout has simply risen much faster.

The business earned the rallyTo be fair, the stock hasn't climbed on nothing. In the second quarter of 2026, Coca-Cola's net revenue rose 7% year over year to $13.4 billion, and organic revenue grew 6% on a 4% increase in concentrate sales and 2% growth from pricing and mix (a higher share of sales coming from better-priced products).

Furthermore, global unit case volume grew 5%. Comparable operating margin reached 35.6%, an expansion from 34.7% a year earlier. Management also lifted its outlook, and now expects organic revenue growth of about 5% for the full year, up from its earlier forecast of 4% to 5%. The company expects to produce about $12.4 billion of free cash flow this year, too.

Those are excellent numbers for a company of Coca-Cola's size and maturity, and they explain the market's enthusiasm. The dividend itself also remains well supported. The $2.12 annual payout consumes about 64% of the company's trailing earnings per share -- coverage comfortable enough that the streak of increases looks in no danger.

The trouble is what the price now assumes. The stock carries a forward price-to-earnings ratio of about 26, for a company guiding to about 5% organic revenue growth.

That is arguably a premium valuation for consistency, and the lower yield is where that premium shows up.

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What closes the gap?There are only two ways the yield returns to where it started the year: The price comes down, or the dividend catches up.

The dividend route is slow. At the current pace of about 4% annual raises, the payout would need roughly five years of increases (reaching about $2.58) to put the yield back near 2.9% with the stock at $90. That is five years of dividend growth spent just recovering the income the price move took away.

Getting there on price instead is faster but less pleasant. Restoring a 2.9% yield on the current $2.12 payout requires a price near $73 -- about 19% below where shares trade today.

Neither is a forecast, and I'm not predicting a 19% decline. The point is narrower. Buyers at today's price collect noticeably less than the stock offered as recently as January, so the return from here depends more on the stock continuing to climb than income investors may realize.

However, I still think Coca-Cola is one of the most dependable dividend payers in the market. And for investors who already own the stock, a 28% gain plus a raised payout is a fine year -- selling wouldn't be my move. But I wouldn't put new money into the dividend stock at this yield, either. For income buyers, patience seems like the better play. Either the dividend grows into today's price over time, or the market offers a better entry somewhere along the way.

There are several details I consider before adding any particular stock to my portfolio. One of them is the ticker's price in relation to its earnings or the amount of revenue that the company is turning into reliable cash every quarter. The organization's past and projected earnings growth are also important starting points for me.

For my income-generating stock holdings, though, there's one crucial measure I consider before any other: their dividend yield. Here's a concise explanation of what dividend yield is, and why you should put it at the top of your list of criteria, too.

What's a dividend yield? It's not a complicated concept. Dividend-paying companies distribute per-share cash payments to their investors on a regular schedule, usually quarterly. 

The dividend yield is just the amount of money that you can expect the company to distribute per share over the course of a year, divided by the price of the stock. Broadly speaking, higher is better.

An example will help illustrate the concept. Let's use beverage company Coca-Cola (KO +0.67%).

Right now, every three months, its shareholders receive payments of $0.53 for each KO share they own. On a full-year basis, assuming that the payout doesn't change, that will come to $2.12 per share. Dividing that amount by the stock's current price of just over $89 per share gives it a dividend yield of just under 2.4%.

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That's the forward-looking dividend, meaning it reflects the expected total per-share payments for the coming 12 months, based on the latest payout rate. But plenty of companies adjust their payouts over time. Coca-Cola has now raised its per-share dividend payment for 64 consecutive years, so it's reasonable to assume that management will boost it again early next year.

Companies also show their trailing yields -- based on the total dividends that were distributed during the prior 12 months. In this case, that includes two quarters when its payouts were $0.51 per share and two at $0.53 per share, for a total of $2.08. That gives it a trailing yield closer to 2.3%.

When looking at trailing yields, you'll also want to make sure the yield is based on a payment cadence and size that's likely to be repeated in the future. Some companies occasionally pay "special" dividends or "one-time" bonus dividends. Those are nice surprises, but they aren't reliable, and can temporarily skew a yield to misleading levels.

The rest of the story Beginning your consideration of a new income stock by looking at its yield is smart, but it's certainly not the end of the matter for me. It's also worth checking to ensure the company in question can actually afford to continue paying its dividend.

This requires per-share profits that at least match its per-share payout, although ideally, those profits should exceed the amount of money an organization is paying out in dividends -- usually by a significant amount. In the case of Coca-Cola, its total per-share profits for the past four quarters were $3.33, meaning its earnings easily covered its total per-share dividend payout of $2.08.

Image source: Getty Images.

Just as important is how a stock's dividend payment has changed -- hopefully grown -- up until the point I'm considering it. Although past performance is never a guarantee of future results in the stock market, it can provide a pretty good indication of what the future likely holds.

Based on this additional information, I sometimes conclude that the highest-yielding dividend stock I'm eyeing for the income portion of my portfolio isn't necessarily the best long-term option for me. I might opt for a lower-yielding stock, knowing that its dividend payments should be more resilient or based on the idea that over time, the total dividends paid by a reliable payout booster will be higher, even though I'm buying in with a lower present yield.

Just bear in mind that you're still buying into an actual business With all that being said, just remember that when you buy a stock -- even one that you're primarily picking to generate recurring income -- you're still ultimately buying into a company that you hope will be able to continue doing business for the indefinite future. Analysts' outlooks can tell you what to plausibly expect (earnings-wise) for the near term. The underlying company, however, will ideally be timeless, with a perpetually marketable product or service.

Coca-Cola is, of course, such a company. Not only has it been in business for well over a century, but it has also paid dividends like clockwork for decades.  And as it's a Dividend King -- one of the few companies that have boosted their dividend payments for at least 50 consecutive years -- it's reasonable to expect it will prioritize keeping that streak alive.

It's certainly not the only solid, all-around dividend stock to consider for your portfolio, though. Poke around a bit. At any given time, you should be able to find several promising dividend-paying prospects.

Daymark Wealth Partners LLC lifted its position in shares of CocaCola Company (The) (NYSE:KO – Free Report) by 68.5% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 218,199 shares of the company’s stock after acquiring an additional 88,690 shares during the quarter. Daymark Wealth Partners LLC’s holdings in CocaCola were worth $17,733,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also modified their holdings of the company. Norges Bank acquired a new position in CocaCola during the fourth quarter worth $3,865,807,000. Cardano Risk Management B.V. grew its holdings in CocaCola by 867.2% in the fourth quarter. Cardano Risk Management B.V. now owns 14,432,190 shares of the company’s stock valued at $1,008,954,000 after purchasing an additional 12,939,959 shares during the last quarter. Marshall Wace LLP increased its position in shares of CocaCola by 1,206.9% in the fourth quarter. Marshall Wace LLP now owns 10,641,007 shares of the company’s stock valued at $743,913,000 after buying an additional 9,826,768 shares in the last quarter. Bank of America Corp DE increased its position in shares of CocaCola by 29.2% in the fourth quarter. Bank of America Corp DE now owns 40,182,323 shares of the company’s stock valued at $2,809,146,000 after buying an additional 9,078,447 shares in the last quarter. Finally, Capital World Investors raised its stake in shares of CocaCola by 98.7% during the 4th quarter. Capital World Investors now owns 12,573,527 shares of the company’s stock worth $879,015,000 after buying an additional 6,246,627 shares during the last quarter. Institutional investors and hedge funds own 70.26% of the company’s stock.

Insider Buying and Selling at CocaCola In other news, insider Bruno Pietracci sold 111,365 shares of CocaCola stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $90.93, for a total value of $10,126,419.45. Following the completion of the sale, the insider owned 41,365 shares of the company’s stock, valued at $3,761,319.45. The trade was a 72.92% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO John Murphy sold 152,483 shares of the stock in a transaction dated Friday, July 31st. The stock was sold at an average price of $87.31, for a total value of $13,313,290.73. Following the transaction, the chief financial officer owned 279,917 shares in the company, valued at $24,439,553.27. This trade represents a 35.26% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 1,594,900 shares of company stock valued at $136,568,617. 0.90% of the stock is currently owned by insiders.

More CocaCola News Here are the key news stories impacting CocaCola this week: Positive Sentiment: Coca-Cola ranked among the leading consumer-staples companies for growth, reinforcing confidence in its ability to expand despite a relatively mature market. Coca-Cola leads consumer staples growth rankings Positive Sentiment: Analysts noted that Coca-Cola is adapting to changing consumer health preferences through flagship brands, product diversification and innovation across more beverage occasions. This may help protect long-term sales as consumers reduce consumption of traditional sugary drinks. Coca-Cola Faces Consumer Health Trend Shifts Positive Sentiment: Coca-Cola continues to attract attention as a potential long-term dividend compounder, appealing to investors seeking dependable income and stability amid a market environment that has favored speculation. 3 Dividend Stocks to Buy Before August Ends Neutral Sentiment: Executive Bruno Pietracci sold 111,365 KO shares for approximately $10.1 million, reducing his position by about 73%. The filing said the sale covered tax-withholding obligations tied to vested equity awards, making it less concerning than a discretionary sale but still a potential short-term sentiment overhang. Top Coca-Cola Executive Makes a Major Move Negative Sentiment: Valuation analysis suggests KO is closer to fairly valued than clearly undervalued. Its discounted-cash-flow estimate is near the current market price, while earnings multiples appear expensive after an 88% five-year return, potentially limiting upside for new buyers. Coca-Cola Stock Looks Cheap on Cash Flow but Pricey on Earnings Wall Street Analysts Forecast Growth KO has been the topic of several recent research reports. Wells Fargo & Company boosted their price objective on shares of CocaCola from $90.00 to $95.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 29th. JPMorgan Chase & Co. raised their target price on shares of CocaCola from $90.00 to $96.00 and gave the company an “overweight” rating in a report on Wednesday, July 29th. Weiss Ratings restated a “buy (b+)” rating on shares of CocaCola in a research report on Friday, July 31st. Citigroup upped their price target on shares of CocaCola from $97.00 to $100.00 and gave the company a “buy” rating in a report on Wednesday, July 29th. Finally, Jefferies Financial Group increased their price target on shares of CocaCola from $95.00 to $104.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. Fifteen investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $95.76.

Check Out Our Latest Stock Report on KO

CocaCola Stock Performance NYSE:KO opened at $91.94 on Tuesday. The company has a debt-to-equity ratio of 0.97, a current ratio of 1.30 and a quick ratio of 1.12. The firm has a market cap of $395.59 billion, a PE ratio of 27.61, a P/E/G ratio of 3.18 and a beta of 0.33. The firm has a 50 day simple moving average of $84.49 and a 200-day simple moving average of $80.51. CocaCola Company has a 1-year low of $65.35 and a 1-year high of $92.49.

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

CocaCola Announces Dividend The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th will be issued a dividend of $0.53 per share. The ex-dividend date is Tuesday, September 15th. This represents a $2.12 annualized dividend and a dividend yield of 2.3%. CocaCola’s dividend payout ratio (DPR) is 63.66%.

CocaCola Company Profile (Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

Read More Five stocks we like better than CocaCola Visa Just Put Hims & Hers in the Penalty Box—Here’s Why It Matters Treasury Yields Are Surging Again: 3 Stocks That Could Feel the Pain Snowflake Could Be Headed for New Highs Despite Insider Selling MongoDB Is Surging—And the Next Catalyst Is Almost Here Want to see what other hedge funds are holding KO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for CocaCola Company (The) (NYSE:KO – Free Report).

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2026 has been a strong year for consumer staples. Shares of Coca-Cola (KO +0.67%) and Mondelez International (MDLZ -0.11%) have outperformed the S&P 500's 12% year-to-date return, rising 22% and 32%, respectively. Even after those gains, both still offer attractive dividend yields of 2.3% or more. Here's why they look like rock-solid income investments for the long term.

Coca-Cola Coca-Cola has one of the best dividend track records in the market. It has raised its payout for 64 straight years, supported by a highly profitable beverage empire spanning dozens of brands.

Image source: Getty Images.

The stock offers an above-average forward (12-month) yield of 2.3%. Coca-Cola has grown its dividend at a 5% annualized rate over the past three years, backed by free cash flow. Over the past year, it returned 77% of that cash generation to shareholders through dividends.

The business has also proved resilient through high inflation and softer consumer spending. In the second quarter, global unit case volume rose 5% year over year, helping lift adjusted (non-GAAP) revenue by 6%, including a modest benefit from higher pricing. Being able to raise prices without sacrificing volume is a meaningful competitive advantage.

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Coca-Cola's global distribution is another strength. Selling in more than 200 countries helps keep demand steady even when certain regions hit economic turbulence.

Management is also working to improve efficiency and strengthen margins, which matters for the long-term durability of the dividend. The company is expanding its use of digital tools, including artificial intelligence (AI), to sharpen execution and support revenue growth. Operating margin has climbed from the low 20s a decade ago to the low 30s today, with continued focus on higher-margin offerings like Fairlife's Core Power protein shakes.

One headwind to watch: Coca-Cola is in a dispute with the IRS over financial reporting from its foreign operations, which could force the company to pay higher taxes. Still, management remains focused on reducing debt, supporting dividend growth, and reinvesting in the business.

Over the long run, Coca-Cola's brands, global scale, and margin expansion make it a high-quality consumer staple that should continue to reward income investors.

Mondelez Mondelez owns dozens of snack and candy brands, including Oreo, Cadbury, and Chips Ahoy. It has paid a dividend since 2001 and has continued to raise it. The stock currently offers a forward (12-month) yield of 3.2%, supported by free cash flow.

Earlier this year, the company increased its quarterly dividend by 4% to $0.52 per share. Over the past three years, the dividend has grown at nearly a 10% compound annual rate.

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Even with consumers watching their spending, Mondelez has continued to invest to support growth. Last quarter, revenue rose 2% year over year, and other than a few weak quarters, the company has mostly delivered steady top-line growth over the past three years.

Management sees a tremendous opportunity in emerging markets. It's expanding distribution to support over a million stores selling its products across India and Brazil. As CEO Dirk Van de Put said on the Q2 earnings call, "We still have a long runway of more consumers consuming more every day."

The biggest near-term headwind has been elevated cocoa prices, which have weighed on margins and free cash flow. Mondelez paid out 82% of trailing-12-month free cash flow as dividends -- above its typical level of around 60%. That ratio should normalize as costs ease and profitability improves.

There are signs that it's already starting. Operating margin reached 27% in the second quarter, and cocoa prices -- while still above historical norms -- have begun falling from their peak. With pricing discipline and a push to run more efficient operations, lower input costs could lift near-term margins and free cash flow.

Mondelez offers an appealing setup: emerging-market expansion and margin improvement help make the high yield look sustainable -- and attractive -- for long-term dividend investors.

Will there be a market crash within the next year or so? It's hard to say. On the one hand, geopolitical and macroeconomic tensions are affecting broader equities. Things may intensify in the coming months and eventually lead to a full-blown bear market. On the other hand, it's hard to predict these things, and for all we know, these tensions will subside soon enough and not cause significantly more damage to the economy and equity markets.

However, whatever happens over the next 12 months, it's important to keep in mind that holding shares of excellent companies over the long term remains a great way to earn substantial returns. Warren Buffett, perhaps the greatest investor of all time, famously has a preference for a "forever" holding period, and several of his favorite stocks are precisely the kind that can navigate market crashes and perform well thereafter. Let's consider two of them: Apple (AAPL +1.63%) and Coca-Cola (KO +0.67%).

Image source: The Motley Fool.

1. Apple At first glance, Apple may not look like a particularly attractive stock to own during a market downturn, especially if it is caused by economic problems. The company's devices are famously expensive, and they are exactly the kind of thing people can afford to stop buying when the going gets tight. A new iPhone is hardly a necessity, especially when grocery and oil prices are rising. However, Apple has a resilient business that tends to perform relatively well, even during challenging economic times.

The company owes that in part to its large, loyal customer base, many of whom renew their iPhones every few years. So if a market downturn is on the way, investors can stick with Apple. The tech leader won't escape entirely unscathed, but it could navigate the storm and emerge in one piece, ready to tap into several lucrative opportunities.

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For instance, Apple boasts an installed base of more than 2.5 billion active devices, but it has just 1.5 billion paid subscriptions. True, some people own multiple Apple devices, and some subscriptions sometimes cover multiple services. Still, there is an opportunity for Apple to improve its monetization. It's something management itself has pointed to as a potential opportunity. Apple could also launch new services to appeal to a growing subscriber base while expanding its installed base by introducing new, differentiated devices.

The company is working on those projects. Apple is increasingly incorporating artificial intelligence features into its devices, while the company is reportedly planning to release a foldable iPhone, a niche that has yet to see Apple make its mark. Apple also generates significant free cash flow to reinvest in the business and to distribute to shareholders via dividends and share buybacks, something the company does regularly. Apple's shares recently dropped after its latest earnings update due to poor guidance.

However, investors focused on the long game should look beyond these short-term swings. The stock still has strong long-term prospects and is worth holding onto regardless of whether a bear market develops soon.

2. Coca-ColaCoca-Cola, a leading consumer staples company, is a great stock to own in a market crash. Here are three reasons why. First, it belongs to a defensive industry that fares better than most others during economic downturns. Second, Coca-Cola has a robust business. The company boasts a large portfolio of beverages across many categories, including some leading brands within certain niches.

Third, Coca-Cola is an outstanding dividend stock. The company is a Dividend King -- those are businesses with at least 50 consecutive years of payout increases; Coca-Cola's streak is 64. The beverage leader's dividend program provides further evidence of the resilience of its underlying operations. Also, the regular payouts can help smooth out market losses during a downturn.

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All of these qualities explain why Buffett's Berkshire Hathaway (BRKA +0.27%) (BRKB +0.26%) has owned Coca-Cola for decades. But can Coca-Cola still post strong long-term returns? In my view, the answer is yes.

Coca-Cola has performed well over the long run, partly thanks to its ability to innovate. The company's beverage portfolio has evolved with consumers' changing tastes and preferences. Coca-Cola routinely launches new products (or at least new takes on old ones). Legacy brands still matter even more and continue to attract many consumers and generate significant revenue.

Coca-Cola estimated that it accounted for 2.2 billion of about 65 billion daily beverage servings in 2025. That leaves plenty of white space for the company to exploit, and it can post stronger financial results through a strategy that includes raising prices on particularly popular brands, launching new products in certain geographies, etc. Coca-Cola doesn't have the most exciting business, but its resilience, lucrative prospects, and outstanding dividend program all make the stock a buy for long-term investors.

It has been about a month since the last earnings report for Coca-Cola (KO - Free Report) . Shares have added about 1.1% in that time frame, underperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is Coca-Cola due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important drivers.

Coca-Cola Q2 Earnings & Sales Beat Estimates on Volume GrowthCoca-Cola reported second-quarter 2026 results, with the top and bottom lines surpassing the Zacks Consensus Estimate. The company’s revenues and earnings per share (EPS) improved year over year. The results have benefited from continued business momentum, aided by enhanced pricing across markets. This quarter’s results highlighted the strength of KO’s resilient, all-weather strategy.

Coca-Cola has reported a comparable EPS of 97 cents in the second quarter, up 11% from the year-ago period. Comparable EPS also beat the Zacks Consensus Estimate of 92 cents by 5.4%. Favorable currency translations aided the comparable EPS by two percentage points. Comparable currency-neutral EPS rose 9% year over year.

Revenues of $13.38 billion grew 7% year over year and beat the Zacks Consensus Estimate of $13.06 billion by 2.5%. The upside reflected broad-based demand, with global unit case volume up 5%. Organic revenues increased 6%, supported by a 4% rise in concentrate sales and 2% growth in price/mix. In the second quarter of 2026, the company also gained value share in total non-alcoholic ready-to-drink beverages.

KO's Volume & Pricing MomentumIn the reported quarter, trademark Coca-Cola volume increased 5% across all geographic operating segments. Coca-Cola Zero Sugar advanced 16%, while Diet Coke/Coca-Cola Light rose 7%. Sparkling flavors grew 4%, led primarily by the Asia Pacific.

Juice, value-added dairy and plant-based beverages increased 2%. Water, sports, coffee and tea volume rose 6%, including 6% growth in water and 5% growth in sports drinks. Coffee declined 2%, while tea advanced 6%.

KO's Regional Revenue PictureNorth America revenues increased 7%, with organic revenues also up 7%. Unit case volume grew 3% and price/mix advanced 4%, while comparable currency-neutral operating income climbed 12% on organic growth and lower operating expenses.

Latin America revenues jumped 16%, aided by an 11% currency benefit, while organic revenues rose 5%. EMEA revenues increased 2% and organic revenues grew 3%. The Asia Pacific revenues inched up 1% as 11% concentrate-sales growth was largely offset by a 9% decline in price/mix. Bottling Investments revenues rose 8%.

Regional profit trends were mixed. Comparable currency-neutral operating income increased 75% in Bottling Investments and 4% in Latin America, but declined 5% in EMEA. The Asia Pacific was flat on this basis as organic growth and lower operating expenses were offset by higher input costs and increased marketing investments.

Analyzing Coca-Cola’s Q2 MarginsIn dollar terms, the operating income rose 9% year over year to $4.67 billion. The reported operating margin widened 77 basis points (bps) to 34.9%, while the comparable operating margin expanded 86 basis points to 35.6%.

Comparable currency-neutral operating income rose 6%. Organic revenue growth, lower operating expenses and currency tailwinds supported profitability, partly offset by higher input costs and increased marketing investments. The comparable gross margin improved to 63.4% from 62.2% a year earlier.

KO Raises Its 2026 OutlookFor 2026, Coca-Cola expects 2026 organic revenue growth of 5% compared with its prior forecast of 4-5%. Comparable currency-neutral earnings, excluding acquisitions and divestitures, are projected to rise 7-8%, up from 6-7%. Comparable earnings are expected to grow 9-10% from the 2025 base of $3 versus the previous outlook of 8-9% growth. The forecast includes a 3% currency tailwind and about a 1% headwind from acquisitions and divestitures.

Management envisions an adjusted free cash flow of $12.4 billion for 2026, including $14.6 billion in cash flow from operations. Capital expenditure is still likely to be $2.2 billion.

For the third quarter of 2026, Coca-Cola expects comparable net revenues to include a 1% currency tailwind and a roughly 1% headwind from acquisitions and divestitures. Comparable earnings are projected to receive a 3% currency benefit, with minimal pressure from portfolio changes.

How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a downward trend in estimates revision.

VGM ScoresAt this time, Coca-Cola has a average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a grade of F on the value side, putting it in the fifth quintile for value investors.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Coca-Cola has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.

Associated Banc Corp lessened its holdings in shares of CocaCola Company (The) (NYSE:KO – Free Report) by 2.9% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 261,839 shares of the company’s stock after selling 7,880 shares during the quarter. Associated Banc Corp’s holdings in CocaCola were worth $21,280,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also bought and sold shares of the stock. Brighton Jones LLC lifted its holdings in CocaCola by 13.3% during the fourth quarter. Brighton Jones LLC now owns 39,072 shares of the company’s stock valued at $2,433,000 after purchasing an additional 4,591 shares in the last quarter. Revolve Wealth Partners LLC raised its stake in CocaCola by 3.4% during the 4th quarter. Revolve Wealth Partners LLC now owns 8,795 shares of the company’s stock valued at $548,000 after purchasing an additional 293 shares during the period. Dynamic Technology Lab Private Ltd bought a new position in CocaCola in the 1st quarter worth approximately $210,000. Jump Financial LLC lifted its holdings in shares of CocaCola by 450.5% in the second quarter. Jump Financial LLC now owns 39,583 shares of the company’s stock worth $2,800,000 after buying an additional 32,392 shares in the last quarter. Finally, Osterweis Capital Management Inc. increased its holdings in CocaCola by 548.2% in the 2nd quarter. Osterweis Capital Management Inc. now owns 1,063 shares of the company’s stock valued at $75,000 after acquiring an additional 899 shares during the last quarter. Hedge funds and other institutional investors own 70.26% of the company’s stock.

Insider Buying and Selling In other CocaCola news, insider Bruno Pietracci sold 75,727 shares of the company’s stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $89.65, for a total value of $6,788,925.55. Following the transaction, the insider owned 35,393 shares of the company’s stock, valued at $3,172,982.45. This represents a 68.15% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Jennifer K. Mann sold 100,000 shares of the stock in a transaction on Monday, June 8th. The stock was sold at an average price of $79.46, for a total value of $7,946,000.00. Following the completion of the sale, the executive vice president owned 181,384 shares in the company, valued at approximately $14,412,772.64. The trade was a 35.54% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 1,483,535 shares of company stock worth $126,442,198 over the last ninety days. Corporate insiders own 0.90% of the company’s stock.

Trending Headlines about CocaCola Here are the key news stories impacting CocaCola this week: Positive Sentiment: Analyst coverage remains generally supportive, with brokers highlighting Coca-Cola as an investment candidate. Recent quarterly results also exceeded expectations, with earnings and revenue above consensus and revenue growth of 6.2% year over year. Brokers Suggest Investing in Coca-Cola Positive Sentiment: Investors have been seeking established, lower-volatility companies, helping Coca-Cola reach an all-time high and break above $90 for the first time. Its strong brand portfolio and defensive characteristics may be attractive amid market uncertainty. Coca-Cola Hits All-Time High Positive Sentiment: Coca-Cola’s long dividend record continues to support its appeal to income-focused investors. Berkshire Hathaway reportedly receives approximately $848 million annually from its Coca-Cola holdings, underscoring the scale and consistency of the payout. Dividend King Pays Berkshire Neutral Sentiment: Coverage is also examining Coca-Cola’s cash flow and dividend sustainability as interest rates and bond yields rise. Higher yields could increase the relative appeal of fixed-income investments, although Coca-Cola’s recurring cash generation remains central to its income-investor case. Coca-Cola Cash Flow as Yields Rise Negative Sentiment: Executive Vice President Nancy Quan sold 50,000 shares worth about $4.5 million. The filing states the sale covered tax withholding tied to vested equity awards, reducing its negative signaling value, though it may create modest near-term selling pressure. Analyst Upgrades and Downgrades A number of equities research analysts recently commented on the company. Truist Financial set a $88.00 target price on CocaCola in a research report on Friday, June 26th. TD Cowen upped their target price on shares of CocaCola from $90.00 to $100.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. Seaport Research Partners set a $95.00 price objective on CocaCola in a research note on Friday, August 14th. Weiss Ratings restated a “buy (b+)” rating on shares of CocaCola in a research report on Friday, July 31st. Finally, Royal Bank Of Canada raised their price objective on CocaCola from $87.00 to $96.00 and gave the company an “outperform” rating in a research note on Wednesday, July 29th. Fifteen investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $95.76.

Read Our Latest Stock Report on CocaCola

CocaCola Stock Down 0.2% Shares of NYSE KO opened at $90.91 on Monday. CocaCola Company has a 1 year low of $65.35 and a 1 year high of $91.86. The firm has a 50-day simple moving average of $84.27 and a two-hundred day simple moving average of $80.41. The company has a market cap of $391.14 billion, a P/E ratio of 27.30, a PEG ratio of 3.18 and a beta of 0.33. The company has a debt-to-equity ratio of 0.97, a current ratio of 1.30 and a quick ratio of 1.12.

CocaCola (NYSE:KO – Get Free Report) last released its earnings results on Tuesday, July 28th. The company reported $0.97 EPS for the quarter, beating analysts’ consensus estimates of $0.93 by $0.04. CocaCola had a return on equity of 39.38% and a net margin of 28.56%.The firm had revenue of $13.37 billion for the quarter, compared to analysts’ expectations of $13.17 billion. During the same quarter in the prior year, the firm posted $0.87 earnings per share. The company’s quarterly revenue was up 6.2% on a year-over-year basis. CocaCola has set its FY 2026 guidance at 3.270-3.300 EPS. Research analysts anticipate that CocaCola Company will post 3.29 earnings per share for the current year.

CocaCola Dividend Announcement The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Tuesday, September 15th will be issued a dividend of $0.53 per share. The ex-dividend date is Tuesday, September 15th. This represents a $2.12 dividend on an annualized basis and a yield of 2.3%. CocaCola’s payout ratio is presently 63.66%.

CocaCola Profile (Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

Further Reading Five stocks we like better than CocaCola VIG, VYM, and VYMI: Which Vanguard Dividend ETF Is Right for You? 3 Closed-End Funds to Maximize Dividend Payments Rocket Lab’s Sell-Off Is Fading—Is It Finally Safe to Buy? $27 Billion in Buybacks: 3 Stocks Betting Their Strong Runs Aren’t Over Want to see what other hedge funds are holding KO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for CocaCola Company (The) (NYSE:KO – Free Report).

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Calamos Advisors LLC reduced its stake in CocaCola Company (The) (NYSE:KO – Free Report) by 3.4% in the 2nd quarter, according to the company in its most recent filing with the SEC. The fund owned 965,562 shares of the company’s stock after selling 33,645 shares during the quarter. Calamos Advisors LLC’s holdings in CocaCola were worth $78,471,000 at the end of the most recent reporting period.

Several other large investors have also modified their holdings of KO. Lantern Wealth Advisors LLC grew its position in shares of CocaCola by 3.6% in the second quarter. Lantern Wealth Advisors LLC now owns 3,316 shares of the company’s stock valued at $270,000 after purchasing an additional 115 shares during the last quarter. Paragon Private Wealth Management LLC grew its stake in shares of CocaCola by 1.4% in the second quarter. Paragon Private Wealth Management LLC now owns 8,726 shares of the company’s stock worth $709,000 after acquiring an additional 123 shares during the last quarter. Everpar Advisors LLC raised its stake in CocaCola by 0.9% during the 2nd quarter. Everpar Advisors LLC now owns 14,504 shares of the company’s stock valued at $1,179,000 after purchasing an additional 125 shares during the last quarter. Geneos Wealth Management Inc. grew its position in CocaCola by 0.3% in the 1st quarter. Geneos Wealth Management Inc. now owns 40,879 shares of the company’s stock worth $3,109,000 after purchasing an additional 129 shares during the last quarter. Finally, HORAN Wealth LLC raised its position in shares of CocaCola by 3.9% during the first quarter. HORAN Wealth LLC now owns 3,458 shares of the company’s stock valued at $263,000 after buying an additional 130 shares during the last quarter. 70.26% of the stock is owned by institutional investors.

CocaCola Stock Performance NYSE KO opened at $90.91 on Monday. The firm has a market cap of $391.14 billion, a price-to-earnings ratio of 27.30, a PEG ratio of 3.18 and a beta of 0.33. The company has a 50 day moving average of $84.27 and a 200-day moving average of $80.41. The company has a current ratio of 1.30, a quick ratio of 1.12 and a debt-to-equity ratio of 0.97. CocaCola Company has a 1-year low of $65.35 and a 1-year high of $91.86.

CocaCola (NYSE:KO – Get Free Report) last announced its earnings results on Tuesday, July 28th. The company reported $0.97 EPS for the quarter, topping the consensus estimate of $0.93 by $0.04. The business had revenue of $13.37 billion for 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%.CocaCola’s revenue was up 6.2% compared to the same quarter last year. During the same period in the previous year, the business earned $0.87 EPS. CocaCola has set its FY 2026 guidance at 3.270-3.300 EPS. On average, equities analysts forecast that CocaCola Company will post 3.29 earnings per share for the current fiscal year. CocaCola Announces Dividend The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Tuesday, September 15th will be given a $0.53 dividend. The ex-dividend date is Tuesday, September 15th. This represents a $2.12 annualized dividend and a yield of 2.3%. CocaCola’s payout ratio is presently 63.66%.

Analyst Upgrades and Downgrades Several equities analysts have commented on KO shares. Evercore reaffirmed an “outperform” rating and issued a $100.00 price target on shares of CocaCola in a report on Tuesday, July 28th. Sanford C. Bernstein reissued a “market perform” rating and issued a $93.00 target price on shares of CocaCola in a research note on Wednesday, July 29th. Royal Bank Of Canada lifted their price objective on CocaCola from $87.00 to $96.00 and gave the company an “outperform” rating in a report on Wednesday, July 29th. Weiss Ratings restated a “buy (b+)” rating on shares of CocaCola in a research report on Friday, July 31st. Finally, Jefferies Financial Group lifted their price objective on CocaCola from $95.00 to $104.00 and gave the company a “buy” rating in a report on Wednesday, July 29th. Fifteen investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, CocaCola presently has a consensus rating of “Moderate Buy” and an average price target of $95.76.

Read Our Latest Stock Analysis on KO

Insider Transactions at CocaCola In other CocaCola news, EVP Jennifer K. Mann sold 100,000 shares of the business’s stock in a transaction on Monday, June 8th. The stock was sold at an average price of $79.46, for a total value of $7,946,000.00. Following the transaction, the executive vice president owned 181,384 shares of the company’s stock, valued at approximately $14,412,772.64. The trade was a 35.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Bruno Pietracci sold 75,727 shares of the stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $89.65, for a total value of $6,788,925.55. Following the sale, the insider owned 35,393 shares in the company, valued at $3,172,982.45. The trade was a 68.15% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 1,483,535 shares of company stock worth $126,442,198. 0.90% of the stock is owned by company insiders.

Trending Headlines about CocaCola Here are the key news stories impacting CocaCola this week:

Positive Sentiment: Analyst coverage remains generally supportive, with brokers highlighting Coca-Cola as an investment candidate. Recent quarterly results also exceeded expectations, with earnings and revenue above consensus and revenue growth of 6.2% year over year. Brokers Suggest Investing in Coca-Cola Positive Sentiment: Investors have been seeking established, lower-volatility companies, helping Coca-Cola reach an all-time high and break above $90 for the first time. Its strong brand portfolio and defensive characteristics may be attractive amid market uncertainty. Coca-Cola Hits All-Time High Positive Sentiment: Coca-Cola’s long dividend record continues to support its appeal to income-focused investors. Berkshire Hathaway reportedly receives approximately $848 million annually from its Coca-Cola holdings, underscoring the scale and consistency of the payout. Dividend King Pays Berkshire Neutral Sentiment: Coverage is also examining Coca-Cola’s cash flow and dividend sustainability as interest rates and bond yields rise. Higher yields could increase the relative appeal of fixed-income investments, although Coca-Cola’s recurring cash generation remains central to its income-investor case. Coca-Cola Cash Flow as Yields Rise Negative Sentiment: Executive Vice President Nancy Quan sold 50,000 shares worth about $4.5 million. The filing states the sale covered tax withholding tied to vested equity awards, reducing its negative signaling value, though it may create modest near-term selling pressure. CocaCola Profile (Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

Further Reading Five stocks we like better than CocaCola VIG, VYM, and VYMI: Which Vanguard Dividend ETF Is Right for You? 3 Closed-End Funds to Maximize Dividend Payments Rocket Lab’s Sell-Off Is Fading—Is It Finally Safe to Buy? $27 Billion in Buybacks: 3 Stocks Betting Their Strong Runs Aren’t Over

Receive News & Ratings for CocaCola Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for CocaCola and related companies with MarketBeat.com's FREE daily email newsletter.

ATLANTA — Coca-Cola is branching out into new customizable drinks and trend-driven equipment as consumers — and food service operators — increasingly want more options.

Tucked away in an anonymous office park not far from its global headquarters here, Coke has been working on a flood of innovation at its secretive labs, including a way for its Freestyle drink dispensers to make dirty sodas, which combine pop with flavored syrups, cream or other ingredients. In partnership with AMC Theatres, it is testing a Micro Matic dispenser that can make brightly colored refreshers. And Coke has more white-label beverage options on the way, like an energy drink that can be customized by color and flavor.

For many restaurants, handcrafted drinks like refreshers or iced coffee have become an important way to drive traffic and sales, even as diners broadly cut their spending. In the second quarter of this year, beverage servings at restaurants outpaced both servings of food alone and food with beverages, according to Circana data. When consumers are away from home, a drink often represents more than hydration, particularly for Generation Z.

"Oftentimes these beverages are an opportunity to take a break, get some energy or protein, have a treat, at a lower price point," David Portalatin, Circana senior vice president and food service industry advisor, told CNBC.

From McDonald's to Wendy's, longtime Coke customers have been expanding their beverage offerings to meet the shift in consumer behavior and boost their profit margins. As operators seek to add more drinks to their menus, Coke must add more convenient beverage options — or risk losing sales to a competitor.

"It's our job to ensure that we're providing unique experiences and beverages because it's not a bonus now with consumers — it's the norm, they expect it," said Megan Tallman, Coke's vice president of dispensed equipment and innovation for its North American business. "When you think about Gen Z, they are okay paying $10 for a drink that is craveable and that they can show on their Instagram or on TikTok, which is helping our customers drive margin and also beverage attachment."

Beyond FreestyleThis July, Coca-Cola's Freestyle drink dispenser celebrated its 17th anniversary.

"Honestly, if you fast forward to today, Freestyle is more relevant today than probably it was over a decade ago," Tallman said, crediting the machine's dozens of flavors.

Even with the variety it offers, Coke is still trying to evolve to keep up.

In the time since the Freestyle was introduced, the number of specialty beverage chains has exploded, offering customers nearly unlimited ways to customize their drinks, from sugar content to toppings. Market research firm Technomic tracks more than 100 different chains, with more than 41,000 locations across the U.S. combined, selling everything from coffee to juice to boba.

Ever since Freestyle began popping up in restaurants and movie theaters, the dispensers have poured more than 67 billion 8-ounce servings of beverages; Coke has been able to track them all, thanks to the equipment's real-time data collection. That data is coming in handy now.

Inside its Equipment Innovation Center in Atlanta, a massive television screen displays real-time data showing what drinks dispensed by the Freestyle are trending, what time of day and where — from the region to the type of business. AHA sparkling water, for example, is trending up at office buildings and hospitals.

Insights from Freestyle dispensers also help the company discover new drinks that it can launch in grocery stores, like the limited-time Coca-Cola Orange Cream, which combines its namesake soda with vanilla and orange syrup.

"If we see that the flavors that we're offering to consumers in food service are actually resonating — it's the largest testing platform out there," Tallman said.

But Coke has more ideas in store.

First is the Freestyle Mini, which initially launched in Europe. Intended for bars and restaurants with limited space, the dispenser holds up to 16 drink options, more than double the choices available in a traditional soda gun. Coke unveiled the new smaller machine at the National Restaurant Association Show in Chicago this spring, but the company has not yet sold it to customers in the U.S.

And then there are other equipment ideas that aren't as far along, inspired by Coke's desire to branch out into dirty soda, refreshers and coffee.

To automate dirty soda, Coke has created a prototype that adds a dairy module to the classic Freestyle dispenser. Utah-based chain Swig takes credit for its invention of the dirty soda, although the trendy drink has now spread far and wide, from KFC restaurants to grocery store shelves.

The trend has helped to change soda's image from a tired, mass-market drink to a handcrafted beverage that can be a treat.

"Gen Z is the first generation raised to believe that nothing you consume is neutral, so everything is either helping you or costing you," said Matthew Greer, food, agribusiness and beverage analyst for Truist. "So, traditional soda does nothing for me, and it gives me 40 grams of sugar, so that fails the test."

The rise of a dirty soda is boon for Coke, because pop is still its number one category. Coke's sparkling soft drinks business, which houses soda brands like Sprite, Schweppes and Fanta, still accounts for 69% of the company's overall unit case volume, even as other ventures like coffee and dairy-based beverages have grown. Coke's namesake soda alone accounted for 47% of global unit case volume and 42% of U.S. unit case volume in 2025, according to a company filing.

Coke's prototypical dispensed dirty soda comes with a preprogrammed recipe, allowing for little customization but eliminating mess. The prototype, which took roughly three weeks to create, keeps the recognizable drip down the sides of the cup, giving the dirty soda its trademark visual appeal.

Refreshing its offeringsBeyond the Freestyle, Coke is also testing Micro Matic "mixology" dispensers to make refreshers and iced coffee drinks.

Starbucks created the refresher back in 2012 to appeal to non-coffee drinkers who wanted a boost, especially in the afternoon, when traffic to its cafes slowed. Customers can pick their bases, flavors and even caffeine level. Refreshers now represent about $2 billion in annual sales for Starbucks.

Other restaurant chains, such as Panera Bread to Dunkin', have taken note. Refreshers can be found on 8.1% of menus at national restaurant chains, according to Datassential.

"It's almost, I think, a compliment, the fact that our Refresher business is being imitated in so many places," Starbucks CEO Brian Niccol said on the company's earnings conference call in late April.

For its part, Coke is hoping to make its mark on the refresher category — whatever that means.

"There's no real definition for what a refresher is, so we're trying to take a stand on what that can be and what function that we believe it should deliver to the guest," said Sarah Kate Sims, director of dispensed innovation for Coca-Cola North America.

To Sims, a refresher is a "healthier" beverage that delivers some kind of pick-me-up without a traditional coffee caffeine base, instead using a green tea or a natural coffee extract as a base. And a refresher must look good, too, she said.

"So that's what I'm working on for next year," Sims said.

Inside 'The Vault'Coke's innovation efforts aren't restricted to equipment either. Across the parking lot from its Global Equipment Platforms office is "The Vault," where the company tests new drinks.

"We bring a lot of our top customers here to showcase our innovation and mixology, but also to collaborate and problem-solve and tackle the biggest challenges in the business," said Caroline Zambataro, collaboration architect at Coke.

One of those customers is Whataburger. Coke worked with the Texas-based burger chain for about 18 months on its line of "Whatafreshers," which launched in July.

In some cases, consumers might not even realize that they are drinking a Coke product. For example, the company considers itself a "pioneer" of premium lemonade after launching a white-label version more than a decade ago.

More than 40,000 bubbler dispensers carry the drink, according to Tallman. That number includes Wendy's, which sells it under "Dave's Craft Lemonade," after founder Dave Thomas.

These days, lemonade is a popular base for a lot of refreshers and other brightly colored drinks. So, too, is Sprite, which ranked fifth among U.S. carbonated soft drink brands by 2025 sales volume, according to Beverage Digest.

But Coke is also working on a new blank slate for handcrafted beverages: a colorless, relatively unflavored energy drink that comes in frozen or liquid form. The company plans to launch the beverage with food service operators in the first half of 2027.

Energy drinks are a much smaller category than sparkling beverages, but the segment has the highest expected growth projections for the next 10 years, according to Tallman.

"We believe this solution really meets many consumers because more female consumers are interested in energy if it's a handcrafted solution," Tallman said.

Starting with Celsius, the conversation around energy drinks has changed, widening their audience and the number of occasions where they can be consumed, Truist's Greer said. Rather than a beverage that you buy at the gas station for a pick-me-up, now energy drinks can become a part of some consumers' workout routines.

Coke's take on energy drinks will be designed to be served by employees to "limit consumption," according to Tallman. A 12-ounce serving of Coke's version contains 106 milligrams of caffeine, roughly the same amount as the same size can of Red Bull and half of the caffeine content of a Celsius can. Excessive caffeine consumption has become a liability concern after Panera Bread's Charged Lemonade was named in at least two wrongful death lawsuits.

A golden opportunityBroadly, Coke has been fielding more inquiries from food service partners these days about customizable drinks, according to Melinda Pritchett, director of innovation for Coke's North American business.

"If you're looking at what McDonald's is doing with the handcrafted beverages, all of our customers are saying, 'We should be in that as well,'" she said.

As the largest U.S. restaurant chain by system sales, McDonald's playbook is often replicated elsewhere. In May, the fast-food giant expanded its McCafe menu in the U.S. to include refreshers and crafted sodas, including Coke's Sprite and Hi-C, as part of its broader strategy to lean into beverages.

"In the U.S., [drink] sales are ahead of plan. Guest checks are higher, and we're seeing new occasions emerge throughout the day," McDonald's CEO Chris Kempczinski said on the company's earnings conference call earlier in August. "We've also seen strong food attachment rates on these orders."

But the drink launch arrived during what was otherwise a lackluster quarter for McDonald's U.S. business, which reported same-store sales growth of just 0.8%. The company has replaced its U.S. president in the hopes of accelerating its domestic division.

On Monday, McDonald's further expanded its beverage options with the Red Bull Dragonberry Energizer. Red Bull is privately owned, with no connection to Coke. The chain's choice to partner with a competitor rather than using an energy drink affiliated with Coke, like Monster, has sparked speculation about the state of the companies' more than 70-year-long relationship.

"We have a fantastic and very long-standing partnership with McDonald's, and that's intact, right? We continue to be very happy with that partnership," Coke CEO Henrique Braun said on the company's earnings conference call in late April, answering an analyst question about the partnership. "… We do respect the decisions on other choices about their relationships with other companies."

Ultimately, the most important part of any business relationship is the effect on sales.

When testing a new beverage with a food service partner, Coke tracks a couple of different performance metrics, like "incremental volume." In other words, would a customer buy one of the new refreshers even if they wouldn't otherwise buy a drink?

A survey of several dozen U.S. McDonald's franchisees conducted by Kalinowski Equity Research found that more than half of operators said the specialty drinks are performing in line with their expectations.

"They are selling great, but most of it is a trade-off from other beverages," one anonymous franchisee said in the survey. "Not many new transaction counts."

Axxcess Wealth Management LLC lifted its position in CocaCola Company (The) (NYSE:KO – Free Report) by 7.2% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 180,068 shares of the company’s stock after acquiring an additional 12,068 shares during the period. Axxcess Wealth Management LLC’s holdings in CocaCola were worth $14,634,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Vanguard Group Inc. lifted its holdings in shares of CocaCola by 1.6% during the fourth quarter. Vanguard Group Inc. now owns 374,771,512 shares of the company’s stock worth $26,200,276,000 after purchasing an additional 5,886,352 shares during the period. State Street Corp boosted its position in CocaCola by 1.2% in the fourth quarter. State Street Corp now owns 167,850,330 shares of the company’s stock valued at $11,734,417,000 after buying an additional 1,992,327 shares during the last quarter. Geode Capital Management LLC increased its holdings in CocaCola by 0.5% in the 4th quarter. Geode Capital Management LLC now owns 89,984,203 shares of the company’s stock worth $6,273,037,000 after buying an additional 433,547 shares during the period. Norges Bank purchased a new position in CocaCola during the 4th quarter worth approximately $3,865,807,000. Finally, Bank of America Corp DE raised its position in CocaCola by 9.5% during the 1st quarter. Bank of America Corp DE now owns 44,018,963 shares of the company’s stock worth $3,347,642,000 after buying an additional 3,836,640 shares during the last quarter. Hedge funds and other institutional investors own 70.26% of the company’s stock.

Analyst Ratings Changes Several analysts have recently commented on KO shares. Bank of America upped their price objective on shares of CocaCola from $90.00 to $95.00 and gave the company a “buy” rating in a report on Friday, July 10th. UBS Group set a $104.00 target price on shares of CocaCola and gave the stock a “buy” rating in a report on Wednesday, July 29th. Sanford C. Bernstein restated a “market perform” rating and set a $93.00 target price on shares of CocaCola in a research report on Wednesday, July 29th. Seaport Research Partners set a $95.00 price target on shares of CocaCola in a report on Friday, August 14th. Finally, Piper Sandler upped their price target on shares of CocaCola from $88.00 to $95.00 and gave the company an “overweight” rating in a report on Wednesday, July 29th. Fifteen equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $95.76.

Read Our Latest Stock Analysis on CocaCola CocaCola News Summary Here are the key news stories impacting CocaCola this week:

Positive Sentiment: Strong Q2 performance supports the stock. Coca-Cola reported adjusted earnings of $0.97 per share, exceeding the $0.93 analyst consensus, while revenue increased 6.2% year over year to $13.37 billion, ahead of expectations. The company maintained fiscal 2026 earnings guidance of $3.27-$3.30 per share. Reflecting on beverages, alcohol, and tobacco stocks’ Q2 earnings: Coca-Cola Positive Sentiment: Dividend reliability is attracting income-focused investors. Coverage highlights Coca-Cola’s status as a long-running “Dividend King,” with a decades-long record of annual dividend increases. Berkshire Hathaway, Warren Buffett’s investment company, receives approximately $848 million annually from its Coca-Cola holding, underscoring the scale and consistency of the payout. Does Coca-Cola pay dividends? Its yield and payout explained Dividend King pays Warren Buffett’s Berkshire $848 million each year Positive Sentiment: Momentum and defensive demand remain favorable. Coca-Cola recently moved above $90 and reached a new 52-week high, while reports say investors are seeking established blue-chip names. This supports the view that KO is benefiting from its defensive consumer-staples profile. Coca-Cola Stock Hits All-Time High as Investors Seek Out Blue-Chip Names Negative Sentiment: Valuation is a potential headwind. At roughly 28 times earnings and near its 52-week high, KO already reflects substantial optimism. Investors may require continued earnings growth and dividend support to justify additional gains. Coca-Cola Breaks $90 for the First Time CocaCola Stock Performance Shares of NYSE KO opened at $90.58 on Friday. The company’s fifty day moving average price is $84.11 and its 200 day moving average price is $80.30. CocaCola Company has a 1 year low of $65.35 and a 1 year high of $91.87. The company has a market capitalization of $389.72 billion, a PE ratio of 27.20, a price-to-earnings-growth ratio of 3.15 and a beta of 0.33. The company has a debt-to-equity ratio of 0.97, a quick ratio of 1.12 and a current ratio of 1.30.

CocaCola (NYSE:KO – Get Free Report) last released its quarterly earnings data on Tuesday, July 28th. The company reported $0.97 earnings per share for the quarter, beating analysts’ consensus estimates of $0.93 by $0.04. The company had revenue of $13.37 billion during the quarter, compared to analysts’ expectations of $13.17 billion. CocaCola had a net margin of 28.56% and a return on equity of 39.38%. The firm’s revenue for the quarter was up 6.2% on a year-over-year basis. During the same quarter in the previous 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 firm also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th will be given a dividend of $0.53 per share. The ex-dividend date is Tuesday, September 15th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 2.3%. CocaCola’s dividend payout ratio (DPR) is 63.66%.

Insider Transactions at CocaCola In related news, CFO John Murphy sold 152,483 shares of the company’s stock in a transaction dated Friday, July 31st. The stock was sold at an average price of $87.31, for a total value of $13,313,290.73. Following the completion of the transaction, the chief financial officer owned 279,917 shares of the company’s stock, valued at approximately $24,439,553.27. This represents a 35.26% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Bruno Pietracci sold 75,727 shares of the stock in a transaction that occurred on Tuesday, July 28th. The stock was sold at an average price of $89.65, for a total value of $6,788,925.55. Following the transaction, the insider owned 35,393 shares in the company, valued at $3,172,982.45. This represents a 68.15% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 1,433,535 shares of company stock worth $121,922,698 over the last quarter. Company insiders own 0.90% of the company’s stock.

About CocaCola (Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

See Also Five stocks we like better than CocaCola 3 Energy Stocks Raising Dividends as the Sector Surges 5 Reasons the S&P 500 Could Keep Rallying Through Year-End Walmart’s Post-Earnings Drop Could Be a Buying Opportunity The Trade Desk’s Earnings Miss Raises a Bigger Question About Its AI Future Want to see what other hedge funds are holding KO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for CocaCola Company (The) (NYSE:KO – Free Report).

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Atria Investments Inc lessened its holdings in CocaCola Company (The) (NYSE:KO – Free Report) by 6.3% in the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor owned 295,654 shares of the company’s stock after selling 19,768 shares during the quarter. Atria Investments Inc’s holdings in CocaCola were worth $24,028,000 at the end of the most recent reporting period.

Several other hedge funds have also recently modified their holdings of the stock. Eurizon SLJ Capital Ltd acquired a new stake in CocaCola during the 4th quarter valued at approximately $552,000. King Luther Capital Management Corp boosted its holdings in shares of CocaCola by 0.8% in the 4th quarter. King Luther Capital Management Corp now owns 3,852,525 shares of the company’s stock valued at $269,330,000 after acquiring an additional 31,694 shares during the last quarter. Cibc World Market Inc. increased its stake in shares of CocaCola by 4.8% in the fourth quarter. Cibc World Market Inc. now owns 1,759,546 shares of the company’s stock worth $123,010,000 after acquiring an additional 79,946 shares during the period. SBI Okasan Asset Management Co.Ltd. acquired a new stake in shares of CocaCola in the fourth quarter worth $1,544,000. Finally, DB&C Advisors LLC purchased a new position in shares of CocaCola during the fourth quarter worth $878,000. Institutional investors and hedge funds own 70.26% of the company’s stock.

CocaCola News Roundup Here are the key news stories impacting CocaCola this week:

Positive Sentiment: Strong Q2 performance supports the stock. Coca-Cola reported adjusted earnings of $0.97 per share, exceeding the $0.93 analyst consensus, while revenue increased 6.2% year over year to $13.37 billion, ahead of expectations. The company maintained fiscal 2026 earnings guidance of $3.27-$3.30 per share. Reflecting on beverages, alcohol, and tobacco stocks’ Q2 earnings: Coca-Cola Positive Sentiment: Dividend reliability is attracting income-focused investors. Coverage highlights Coca-Cola’s status as a long-running “Dividend King,” with a decades-long record of annual dividend increases. Berkshire Hathaway, Warren Buffett’s investment company, receives approximately $848 million annually from its Coca-Cola holding, underscoring the scale and consistency of the payout. Does Coca-Cola pay dividends? Its yield and payout explained Dividend King pays Warren Buffett’s Berkshire $848 million each year Positive Sentiment: Momentum and defensive demand remain favorable. Coca-Cola recently moved above $90 and reached a new 52-week high, while reports say investors are seeking established blue-chip names. This supports the view that KO is benefiting from its defensive consumer-staples profile. Coca-Cola Stock Hits All-Time High as Investors Seek Out Blue-Chip Names Negative Sentiment: Valuation is a potential headwind. At roughly 28 times earnings and near its 52-week high, KO already reflects substantial optimism. Investors may require continued earnings growth and dividend support to justify additional gains. Coca-Cola Breaks $90 for the First Time Insider Activity In other news, insider Sanket Ray sold 9,958 shares of the firm’s stock in a transaction dated Monday, August 10th. The stock was 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 position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO John Murphy sold 152,483 shares of CocaCola stock in a transaction dated Friday, July 31st. The shares were sold at an average price of $87.31, for a total value of $13,313,290.73. Following the completion of the transaction, the chief financial officer owned 279,917 shares of the company’s stock, valued at approximately $24,439,553.27. This represents a 35.26% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 1,433,535 shares of company stock worth $121,922,698. 0.90% of the stock is currently owned by corporate insiders. Wall Street Analysts Forecast Growth A number of research analysts recently issued reports on KO shares. UBS Group set a $104.00 target price on shares of CocaCola and gave the company a “buy” rating in a research report on Wednesday, July 29th. Argus increased their price target on CocaCola from $91.00 to $97.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. Sanford C. Bernstein reiterated a “market perform” rating and set a $93.00 price objective on shares of CocaCola in a research note on Wednesday, July 29th. Weiss Ratings reissued a “buy (b+)” rating on shares of CocaCola in a report on Friday, July 31st. Finally, Royal Bank Of Canada upped their target price on CocaCola from $87.00 to $96.00 and gave the stock an “outperform” rating in a research note on Wednesday, July 29th. Fifteen equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, CocaCola presently has an average rating of “Moderate Buy” and an average price target of $95.76.

Check Out Our Latest Analysis on KO

CocaCola Stock Performance KO opened at $90.58 on Friday. The company has a debt-to-equity ratio of 0.97, a current ratio of 1.30 and a quick ratio of 1.12. The firm has a fifty day moving average price of $84.11 and a 200 day moving average price of $80.30. CocaCola Company has a 1 year low of $65.35 and a 1 year high of $91.87. The stock has a market cap of $389.72 billion, a P/E ratio of 27.20, a P/E/G ratio of 3.15 and a beta of 0.33.

CocaCola (NYSE:KO – Get Free Report) last released its quarterly earnings results on Tuesday, July 28th. The company reported $0.97 EPS for the quarter, beating the consensus estimate of $0.93 by $0.04. The company had revenue of $13.37 billion for the quarter, compared to analyst estimates of $13.17 billion. CocaCola had a net margin of 28.56% and a return on equity of 39.38%. The firm’s revenue was up 6.2% on a year-over-year basis. During the same quarter last year, the business earned $0.87 earnings per share. CocaCola has set its FY 2026 guidance at 3.270-3.300 EPS. Equities research analysts anticipate that CocaCola Company will post 3.29 earnings per share for the current year.

CocaCola Dividend Announcement The company also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th will be paid a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a dividend yield of 2.3%. The ex-dividend date of this dividend is Tuesday, September 15th. CocaCola’s dividend payout ratio is presently 63.66%.

CocaCola Company Profile (Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

Featured Stories Five stocks we like better than CocaCola 3 Energy Stocks Raising Dividends as the Sector Surges 5 Reasons the S&P 500 Could Keep Rallying Through Year-End Walmart’s Post-Earnings Drop Could Be a Buying Opportunity The Trade Desk’s Earnings Miss Raises a Bigger Question About Its AI Future Want to see what other hedge funds are holding KO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for CocaCola Company (The) (NYSE:KO – Free Report).

Receive News & Ratings for CocaCola Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for CocaCola and related companies with MarketBeat.com's FREE daily email newsletter.

On CNBC’s “Mad Money Lightning Round,” Jim Cramer said Arlo Technologies, Inc. (NYSE:ARLO) is “actually profitable” and is “not a bad idea.”

Arlo Technologies, on Aug. 6, reported better-than-expected second-quarter financial results and issued strong third-quarter sales guidance. Also, the company issued FY26 guidance above estimates.

Arlo Technologies reported quarterly earnings of 28 cents per share, which beat the analyst consensus estimate of 20 cents per share. The company reported quarterly sales of $155.937 million, which beat the analyst consensus estimate of $148.750 million.

When asked about Bitmine Immersion Technologies, Inc. (NYSE:BMNR), Cramer recommended buying Bitcoin (CRYPTO: BTC) instead of going with derivatives.

Shares of Bitmine Immersion Technologies surged on Thursday, as major digital assets extended their upward momentum. President Donald Trump urged Congress to pass the Clarity Act and said the Commodity Futures Trading Commission Chair Michael Selig is working to bring Hyperliquid to the U.S.

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“We don’t want Celsius (NASDAQ:CELH) here, we have Coca-Cola (NYSE:KO),” Cramer said, adding that Coca-Cola is the “winner."

On the earnings front, Celsius Holdings, on Aug. 6, reported mixed second-quarter financial results. Celsius said second-quarter revenue rose 10.6% to $817.9 million from $739.3 million, but missed the $870.027 million analyst estimate. Adjusted diluted earnings fell to 36 cents from 47 cents and missed the 42-cent estimate.

Price Action:

Arlo Technologies shares fell 3.9% to settle at $13.04 on Thursday. Bitmine Immersion Technologies shares gained 6.6% to close at $21.57 during the session. Celsius rose 0.9% to settle at $32.54 on Thursday. Photo via Shutterstock

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Erste Asset Management GmbH increased its holdings in CocaCola Company (The) (NYSE:KO – Free Report) by 56.9% during the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 1,050,768 shares of the company’s stock after buying an additional 381,076 shares during the period. CocaCola comprises about 0.7% of Erste Asset Management GmbH’s holdings, making the stock its 29th largest position. Erste Asset Management GmbH’s holdings in CocaCola were worth $86,829,000 at the end of the most recent quarter.

A number of other large investors have also recently added to or reduced their stakes in KO. Everpar Advisors LLC raised its position in CocaCola by 0.9% during the second quarter. Everpar Advisors LLC now owns 14,504 shares of the company’s stock worth $1,179,000 after acquiring an additional 125 shares during the last quarter. Geneos Wealth Management Inc. grew its position in shares of CocaCola by 0.3% in the first quarter. Geneos Wealth Management Inc. now owns 40,879 shares of the company’s stock valued at $3,109,000 after purchasing an additional 129 shares during the last quarter. HORAN Wealth LLC increased its stake in shares of CocaCola by 3.9% during the 1st quarter. HORAN Wealth LLC now owns 3,458 shares of the company’s stock worth $263,000 after purchasing an additional 130 shares in the last quarter. Wills Financial Group LLC raised its position in shares of CocaCola by 1.3% during the 1st quarter. Wills Financial Group LLC now owns 10,170 shares of the company’s stock worth $816,000 after purchasing an additional 133 shares during the last quarter. Finally, Lee Financial Co raised its position in shares of CocaCola by 0.5% during the 2nd quarter. Lee Financial Co now owns 25,177 shares of the company’s stock worth $2,051,000 after purchasing an additional 135 shares during the last quarter. 70.26% of the stock is owned by institutional investors and hedge funds.

Insider Transactions at CocaCola
In other CocaCola news, insider Sanket Ray sold 9,958 shares of CocaCola stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $86.50, for a total value of $861,367.00. Following the completion of the sale, the insider owned 62,105 shares in the company, valued at $5,372,082.50. The trade was a 13.82% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Bruno Pietracci sold 75,727 shares of CocaCola stock in a transaction dated Tuesday, July 28th. The shares were sold at an average price of $89.65, for a total value of $6,788,925.55. Following the completion of the sale, the insider owned 35,393 shares of the company’s stock, valued at $3,172,982.45. This trade represents a 68.15% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders sold 1,433,535 shares of company stock valued at $121,922,698. Corporate insiders own 0.90% of the company’s stock.

CocaCola Stock Up 1.8%
Shares of NYSE KO opened at $90.38 on Thursday. The firm has a market cap of $388.88 billion, a P/E ratio of 27.14, a price-to-earnings-growth ratio of 3.10 and a beta of 0.33. The company has a debt-to-equity ratio of 0.97, a quick ratio of 1.12 and a current ratio of 1.30. CocaCola Company has a 1 year low of $65.35 and a 1 year high of $90.92. The firm’s 50 day moving average price is $83.95 and its 200 day moving average price is $80.19.
CocaCola (NYSE:KO – Get Free Report) last issued its quarterly earnings results on Tuesday, July 28th. The company reported $0.97 earnings per share for the quarter, beating the consensus estimate of $0.93 by $0.04. CocaCola had a return on equity of 39.38% and a net margin of 28.56%.The company had revenue of $13.37 billion during the quarter, compared to the consensus estimate of $13.17 billion. During the same period in the previous year, the firm posted $0.87 EPS. CocaCola’s revenue was up 6.2% on a year-over-year basis. CocaCola has set its FY 2026 guidance at 3.270-3.300 EPS. As a group, sell-side analysts anticipate that CocaCola Company will post 3.29 earnings per share for the current year.

CocaCola Announces Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th will be given a $0.53 dividend. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 2.3%. CocaCola’s payout ratio is currently 63.66%.

Wall Street Analysts Forecast Growth
A number of equities research analysts recently issued reports on the company. Jefferies Financial Group increased their target price on CocaCola from $95.00 to $104.00 and gave the company a “buy” rating in a report on Wednesday, July 29th. Wells Fargo & Company boosted their price target on CocaCola from $90.00 to $95.00 and gave the stock an “overweight” rating in a report on Wednesday, July 29th. JPMorgan Chase & Co. boosted their price target on CocaCola from $90.00 to $96.00 and gave the stock an “overweight” rating in a report on Wednesday, July 29th. Weiss Ratings restated a “buy (b+)” rating on shares of CocaCola in a research report on Friday, July 31st. Finally, Barclays increased their price objective on CocaCola from $91.00 to $93.00 and gave the company an “overweight” rating in a research note on Thursday, July 30th. Fifteen investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $95.76.

Read Our Latest Stock Analysis on CocaCola

CocaCola Profile
(Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

Further Reading

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Want to see what other hedge funds are holding KO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for CocaCola Company (The) (NYSE:KO – Free Report).

Receive News & Ratings for CocaCola Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for CocaCola and related companies with MarketBeat.com's FREE daily email newsletter.

Asset Management One Co. Ltd. reduced its stake in CocaCola Company (The) (NYSE:KO – Free Report) by 5.9% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 2,054,854 shares of the company’s stock after selling 129,425 shares during the period. Asset Management One Co. Ltd.’s holdings in CocaCola were worth $166,998,000 at the end of the most recent quarter.

A number of other large investors also recently bought and sold shares of KO. Norges Bank purchased a new position in CocaCola during the 4th quarter valued at about $3,865,807,000. Cardano Risk Management B.V. increased its stake in CocaCola by 867.2% during the fourth quarter. Cardano Risk Management B.V. now owns 14,432,190 shares of the company’s stock worth $1,008,954,000 after purchasing an additional 12,939,959 shares during the period. Marshall Wace LLP increased its stake in CocaCola by 1,206.9% during the fourth quarter. Marshall Wace LLP now owns 10,641,007 shares of the company’s stock worth $743,913,000 after purchasing an additional 9,826,768 shares during the period. Bank of America Corp DE lifted its position in shares of CocaCola by 29.2% during the fourth quarter. Bank of America Corp DE now owns 40,182,323 shares of the company’s stock worth $2,809,146,000 after purchasing an additional 9,078,447 shares in the last quarter. Finally, Capital World Investors lifted its position in shares of CocaCola by 98.7% during the fourth quarter. Capital World Investors now owns 12,573,527 shares of the company’s stock worth $879,015,000 after purchasing an additional 6,246,627 shares in the last quarter. Institutional investors and hedge funds own 70.26% of the company’s stock.

Insider Transactions at CocaCola In other CocaCola news, EVP Jennifer K. Mann sold 100,000 shares of the firm’s stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $79.46, for a total transaction of $7,946,000.00. Following the sale, the executive vice president owned 181,384 shares of the company’s stock, valued at approximately $14,412,772.64. This trade represents a 35.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Sanket Ray sold 9,958 shares of the business’s stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $86.50, for a total transaction of $861,367.00. Following the sale, the insider owned 62,105 shares of the company’s stock, valued at $5,372,082.50. This represents a 13.82% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 1,433,535 shares of company stock valued at $121,922,698 over the last three months. 0.90% of the stock is owned by corporate insiders.

CocaCola Stock Performance Shares of KO stock opened at $90.38 on Thursday. The company has a current ratio of 1.30, a quick ratio of 1.12 and a debt-to-equity ratio of 0.97. The firm has a fifty day moving average price of $83.95 and a 200 day moving average price of $80.19. The company has a market cap of $388.88 billion, a P/E ratio of 27.14, a PEG ratio of 3.10 and a beta of 0.33. CocaCola Company has a 12 month low of $65.35 and a 12 month high of $90.92. CocaCola (NYSE:KO – Get Free Report) last posted its earnings results on Tuesday, July 28th. The company reported $0.97 EPS for the quarter, beating the consensus estimate of $0.93 by $0.04. CocaCola had a return on equity of 39.38% and a net margin of 28.56%.The firm had revenue of $13.37 billion for the quarter, compared to analyst estimates of $13.17 billion. During the same quarter in the prior year, the company posted $0.87 earnings per share. CocaCola’s revenue for the quarter was up 6.2% compared to the same quarter last year. CocaCola has set its FY 2026 guidance at 3.270-3.300 EPS. Sell-side analysts predict that CocaCola Company will post 3.29 earnings per share for the current fiscal year.

CocaCola Dividend Announcement The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Tuesday, September 15th will be paid a dividend of $0.53 per share. The ex-dividend date is Tuesday, September 15th. This represents a $2.12 annualized dividend and a yield of 2.3%. CocaCola’s payout ratio is presently 63.66%.

Wall Street Analysts Forecast Growth Several research analysts have recently commented on KO shares. Barclays lifted their price objective on shares of CocaCola from $91.00 to $93.00 and gave the company an “overweight” rating in a report on Thursday, July 30th. Morgan Stanley reiterated an “overweight” rating and set a $100.00 target price (up from $89.00) on shares of CocaCola in a report on Wednesday, July 29th. The Goldman Sachs Group reissued a “neutral” rating and issued a $86.00 price target (up from $82.00) on shares of CocaCola in a research report on Tuesday, July 28th. Weiss Ratings restated a “buy (b+)” rating on shares of CocaCola in a research note on Friday, July 31st. Finally, Seaport Research Partners set a $95.00 price target on shares of CocaCola in a research note on Friday, August 14th. Fifteen investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $95.76.

Check Out Our Latest Report on KO

CocaCola Company Profile (Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

Further Reading Five stocks we like better than CocaCola Bloom Energy’s AI Surge Meets a Valuation Reality Check Target Is Winning Shoppers Back—Can the Rally Reach $180? IonQ’s Space Contract Points to a New Frontier for Quantum Investors Is Apple’s AI Strategy Smarter Than Skeptics Think? Want to see what other hedge funds are holding KO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for CocaCola Company (The) (NYSE:KO – Free Report).

Receive News & Ratings for CocaCola Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for CocaCola and related companies with MarketBeat.com's FREE daily email newsletter.

One of the best blue chip stocks on the market is not only a reliable dividend payer and raiser, it has also crushed the market lately. Shares of the company, which runs a highly profitable and ever-growing business familiar to billions of people, have returned more than 27% this year, almost double the 14.5% of the benchmark S&P 500 index.

Personally speaking, this has been one of my favorite large-cap stocks for years. 

Image source: Getty Images.

The world's favorite drink maker It's very possible you have one of this company's products in your refrigerator, or even open at your desk, as we speak. This ever-impressive enterprise is beverage titan Coca-Cola (KO +2.12%).

The company needs little introduction, as the vast majority of the world's population is familiar with its signature drink. What many don't know is that Coke, the beverage, is merely one of over 200 libations in the company's portfolio. It also owns other classic sodas (Sprite and Fanta, to name only two), sports drinks (Powerade), and even canned cocktails (Fresca Mixed).

That sets it apart from the company usually considered its top rival, PepsiCo, which combines a wide selection of snack foods with its beverage portfolio.

In the mid-to-late 2010s, Coca-Cola began restructuring its business, divesting itself of capital-intensive production operations like bottling plants and warehouses. For the most part, it sold them to the local bottlers it had been doing business with for years.

This transformed the company into a lean, asset-light operation that focuses on selling its concentrates and syrups, and on the huge marketing effort that maintains the high profile of its drinks.

The shift also lifted Coca-Cola's already-impressive profit margins even higher. These days, they're well above those of most blue chips.

Take the company's second quarter -- global case volume rose by 5% year over year, which was strong given the age of its brands and their ubiquitous presence. That helped boost revenue by 7% to $13.4 billion, and adjusted net income by 6% to nearly $4.2 billion.

That makes for a net margin of 31%. Recently, the S&P 500 index (of which Coca-Cola is a component) has seen an uptick in average profitability among its constituent companies. The drinks giant beats the pants off this figure; in fact, its percentage is nearly double that average of 15.7%.

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64 years of dividend hikes, and more to come If managed well, a consistently profitable business will throw off tons of cash. Mission accomplished with Coca-Cola, as the company's free cash flow for the first half of the year clocked in at $6.9 billion. That's the kind of cash generation that can not only fund a generous dividend, but keep it constantly on the rise.

Coca-Cola is a champion at this. It's one of the market's rare Dividend Kings, that small group of companies that have engaged in dividend raises at least once every year for a minimum of 50 years running. Even among that exclusive lineup, the company is near the top with its current 64-year streak.

The company's dividend raises aren't token or marginal, either. In February, it bumped the quarterly payout 4% higher to $0.53 per share. That annualizes to $2.12 per share, yielding a fizzy 2.4%. While we're on the subject of Coca-Cola crushing S&P 500 index numbers, that's more than double the current 1% average of the index's component stocks.

Since the company's business is easier to predict than others and is tracked by many analysts, its revenue and profitability usually land close to estimates. So it's encouraging that the consensus analyst projection for annual earnings per share (EPS) is $3.34, more than 11% higher than the 2025 number. Revenue is expected to rise by over 3% to $49.7 billion.

Meanwhile, at the start of 2027, we can expect yet another dividend raise. So Coca-Cola's fundamentals and its payout are slated to rise, and surely not for the last time. What more could you want from an investment? To me, this eternal rock star of a stock is not only a buy in August, but also in any other month on the calendar. Every investor should consider owning it.

EverSource Wealth Advisors LLC lessened its stake in shares of CocaCola Company (The) (NYSE:KO – Free Report) by 35.0% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 26,422 shares of the company’s stock after selling 14,225 shares during the quarter. EverSource Wealth Advisors LLC’s holdings in CocaCola were worth $2,147,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in KO. Everpar Advisors LLC boosted its stake in CocaCola by 0.9% during the second quarter. Everpar Advisors LLC now owns 14,504 shares of the company’s stock valued at $1,179,000 after buying an additional 125 shares in the last quarter. Geneos Wealth Management Inc. raised its position in CocaCola by 0.3% in the first quarter. Geneos Wealth Management Inc. now owns 40,879 shares of the company’s stock worth $3,109,000 after acquiring an additional 129 shares in the last quarter. HORAN Wealth LLC raised its position in CocaCola by 3.9% in the first quarter. HORAN Wealth LLC now owns 3,458 shares of the company’s stock worth $263,000 after acquiring an additional 130 shares in the last quarter. Wills Financial Group LLC lifted its holdings in CocaCola by 1.3% in the 1st quarter. Wills Financial Group LLC now owns 10,170 shares of the company’s stock valued at $816,000 after acquiring an additional 133 shares during the last quarter. Finally, Lee Financial Co lifted its holdings in CocaCola by 0.5% in the 2nd quarter. Lee Financial Co now owns 25,177 shares of the company’s stock valued at $2,051,000 after acquiring an additional 135 shares during the last quarter. Institutional investors own 70.26% of the company’s stock.

CocaCola Trading Down 0.8%
CocaCola stock opened at $86.99 on Tuesday. The company’s fifty day simple moving average is $83.66 and its 200-day simple moving average is $79.95. The company has a quick ratio of 1.12, a current ratio of 1.30 and a debt-to-equity ratio of 0.97. CocaCola Company has a 12 month low of $65.35 and a 12 month high of $90.92. The stock has a market cap of $374.28 billion, a P/E ratio of 26.12, a P/E/G ratio of 3.06 and a beta of 0.33.

CocaCola (NYSE:KO – Get Free Report) last posted its quarterly earnings results on Tuesday, July 28th. The company reported $0.97 earnings per share for the quarter, topping analysts’ consensus estimates of $0.93 by $0.04. The business had revenue of $13.37 billion for the quarter, compared to the consensus estimate of $13.17 billion. CocaCola had a net margin of 28.56% and a return on equity of 39.38%. CocaCola’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 business posted $0.87 earnings per share. CocaCola has set its FY 2026 guidance at 3.270-3.300 EPS. As a group, sell-side analysts forecast that CocaCola Company will post 3.29 EPS for the current fiscal year.

CocaCola Dividend Announcement
The company also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th will be paid a dividend of $0.53 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 2.4%. CocaCola’s dividend payout ratio (DPR) is 63.66%.

Analysts Set New Price Targets
Several equities analysts have recently issued reports on the stock. Barclays lifted their price objective on shares of CocaCola from $91.00 to $93.00 and gave the stock an “overweight” rating in a research note on Thursday, July 30th. HSBC lowered shares of CocaCola from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, July 28th. Piper Sandler lifted their price target on shares of CocaCola from $88.00 to $95.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 29th. Truist Financial set a $88.00 price target on shares of CocaCola in a research report on Friday, June 26th. Finally, Evercore reaffirmed an “outperform” rating and issued a $100.00 price target on shares of CocaCola in a report on Tuesday, July 28th. Fifteen research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, CocaCola has an average rating of “Moderate Buy” and an average target price of $95.76.

Check Out Our Latest Report on KO

Insider Activity at CocaCola
In other news, insider Bruno Pietracci sold 75,727 shares of CocaCola stock in a transaction dated Tuesday, July 28th. The stock was sold at an average price of $89.65, for a total transaction of $6,788,925.55. Following the completion of the sale, the insider directly owned 35,393 shares in the company, valued at $3,172,982.45. The trade was a 68.15% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Jennifer K. Mann sold 23,984 shares of the business’s stock in a transaction that occurred on Wednesday, June 10th. The shares were sold at an average price of $83.41, for a total value of $2,000,505.44. Following the completion of the sale, the executive vice president directly owned 157,400 shares of the company’s stock, valued at approximately $13,128,734. The trade was a 13.22% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 1,433,535 shares of company stock worth $121,922,698. 0.90% of the stock is currently owned by corporate insiders.

CocaCola Profile
(Free Report)

The Coca‑Cola Company (NYSE: KO) is a global beverage manufacturer, marketer and distributor best known for its flagship Coca‑Cola soda. Headquartered in Atlanta, Georgia, the company develops and sells concentrates, syrups and finished beverages across a broad portfolio of brands. Its product range spans sparkling soft drinks, bottled water, sports drinks, juices, ready‑to‑drink teas and coffees, and other still beverages, marketed under both global and regional brand names.

Coca‑Cola’s brand portfolio includes widely recognized names such as Coca‑Cola, Diet Coke, Coca‑Cola Zero Sugar, Sprite, Fanta, Minute Maid, Powerade and Dasani, and in recent years the company has expanded into the coffee and premium beverage categories through acquisitions such as Costa Coffee.

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ATLANTA--(BUSINESS WIRE)--The Coca-Cola Company announced today that CEO Henrique Braun will present at the Barclays Global Consumer Conference Sept. 9 at 11:15 a.m. ET. The company invites investors to join a webcast for this event at coca-colacompany.com/investors. Downloadable files, as well as a transcript, will be available within 24 hours after the event on the company's website. About The Coca-Cola Company The Coca-Cola Company (NYSE: KO) is a total beverage company with products sold in.