Track market-moving stories before they get noisy

Coca-Cola (KO) concluded the recent trading session at $95.34, signifying a +2.87% move from its prior day's close.

The Coca-Cola Company (KO +2.87%) has officially caught up with club retailer Costco Wholesale (COST +1.99%)... almost. Thanks to KO stock's year-to-date 34% rally to record highs, the beverage behemoth's market cap has just eclipsed the $400 billion mark, moving within sight of Costco's $440 billion. That's impressive. Coca-Cola is simply extending a long-lived growth trend that puts it on track to eventually join the $1 trillion club.

Only one of these dividend payers has a realistic shot at getting there within the next 10 years, however. Here's why.

Good, but not built for growth
This isn't to cast any shade on Coca-Cola. It's a fine company with a portfolio of perpetually marketable products like Minute Maid juices, Gold Peak tea, and Powerade sports drinks, in addition to its namesake cola. Its stock is also an income juggernaut, not only paying a quarterly dividend like clockwork for decades now, but raising its dividend payment for 64 consecutive years. Even with this ticker's recent gains, newcomers will be plugging into a respectable forward-looking yield of 2.3%.

However, Coca-Cola is already the leader of a highly saturated drinks market that grows -- at best -- in the mid-single digits. Its opportunity for net growth is limited. For its market cap to reach $1 trillion by 2035, its stock would need to gain 250%. That's an annualized growth rate of nearly 10%, which is possible, but a stretch.

$95.34+$2.66 (+2.87%)

NYSE · As of 4:00 PM ET 10/22/26

Shareholders reinvesting the beverage company's dividends might achieve such a gain. Given the stock's current elevated price and the fact that roughly half of its profits are consumed by dividend payments, however, the stock itself is unlikely to achieve that sort of gain.

That's not the case for Costco.

A bigger, better growth runway
Yes, the brick-and-mortar retailing industry is saturated too. The industry's growth is in the single digits as well. That doesn't mean its growth opportunities are limited, though. The opportunity rests in the ongoing evolution of how people shop.

Cost-effective shopping -- like that offered by Costco's membership-based offering -- is increasingly popular. In addition to last fiscal year's (ending in August) total revenue growth of just over 10%, Costco's same-store sales improved by an industry-beating 6.6%, extending a well-established streak.

However, Costco's growth potential is rooted in what it hasn't done yet.

The much bigger Walmart's (WMT +2.82%) 602 Sam's Club warehouses compete directly with Costco. At the same time, the company's leveraging its several thousand stores to serve its paying Walmart+ members. This reach is nothing to dismiss. Surprisingly, though, Costco remains unfazed. The original powerhouse in this space now boasts a record-breaking 84.1 million paid club memberships, extending a growth trend that's essentially been uninterrupted since the club retailer's launch. Membership renewal rates that are consistently around 90% help on this front.

Image source: Getty Images.

This still only scratches the surface of what awaits. As of August, Costco operates only 647 domestic stores, plus another 292 outside the United States. There's room for more. There are immediate plans for more as well; the company expects to open 28 more locations this fiscal year alone. For comparison, Walmart -- arguably Costco's top threat -- operates around 11,000 stores worldwide.

Although Walmart's massive established presence could be interpreted as a barrier to Costco's expansion, it's also an indication of what consumers are willing to support in terms of a total physical retailing footprint. Indeed, the presence of a Walmart store in a particular market may indicate that the area is already primed for a cost-effective alternative. Whereas Walmart obviously won't want to cannibalize its own stores, Costco's smaller store count means it's got plenty of places to build new locales without competing with itself.

Again, we continue to see a growing consumer preference for smarter shopping.

Do-able
Costco still has plenty of growth to achieve before joining the trillion-dollar club, to be clear. At its current market cap of $440 million, COST shares would need to gain an average of around 8.5% per year to make the company worth $1 trillion by 2036. That's no small feat.

However, Costco's stock has gained more than enough over the past 10 years to do exactly that. While past performance is no guarantee of future results, when the key drivers of that growth haven't really changed, history is a reasonably good indication of what to expect in the future.

COST Costco Wholesale$1,018.21+$19.90 (+1.99%)

NASDAQ · As of 4:00 PM ET 10/22/26

Granted, although it's trailed COST's net return for this same time frame, KO has technically achieved the feat as well. It's only done so because of the uncharacteristic run-up just since 2024, and even then, only with reinvested dividends. You can't count on unusual action repeating itself.

There's one important nuance here. While both stocks are technically dividend payers, with a forward-looking yield of only 0.6%, COST isn't really much of an income holding. It should only be viewed and used as a long-term growth investment, albeit a good one right now after a few months of underperformance. If you need immediate income, Coca-Cola is still the better option.

NEWTOWN, Pa., Oct. 22, 2026 (GLOBE NEWSWIRE) -- Edelson Lechtzin LLP, a national class action law firm, is investigating data privacy claims arising from a reported data breach at Coca-Cola (NYSE: KO). Anyone who received a data breach notice from Coca-Cola, or who believes their personal information may have been exposed, can request a free case evaluation.

Coca-Cola data breach — at a glance

Company: The Coca-Cola Company is a multinational beverage company that produces and distributes a wide range of drinks worldwide, including its signature Coca-Cola soda.Reported: The company notified affected individuals and reported the incident to the US Securities and Exchange Commission (SEC) on or about July 16, 2026.How it reportedly happened: The Anubis ransomware group targeted Coca-Cola’s Fairlife facilities, disrupting production and allegedly stealing 1 TB of confidential data. Coca-Cola confirmed the data was taken.When: The exact date of the cyberattack has not been publicly confirmed at this time.Who may be affected: Individuals who use Coca-Cola services may be affected.Status: Certain details of the incident, including its full scope and the attacker’s identity, remain unconfirmed or have not been publicly detailed.Cost to you: Nothing. Click here for a free evaluation. What Happened

Coca-Cola’s Fairlife facilities suffered a ransomware cyberattack that disrupted production, and the Anubis group claimed to have stolen 1 TB of confidential data. Coca-Cola confirmed that some data was taken, but it has not disclosed the exact details of the attack.

What Personal Information May Be at Risk

Based on public accounts and regulatory filings, the information potentially involved varied by individual. The information that may have been compromised has not been disclosed.

Who May Be Affected

The investigation focuses on Coca-Cola and individuals who were affected by this breach. Anyone who has received a data breach notification connected to this incident may face an increased risk of identity theft and fraud and is encouraged to come forward.

Your Legal Options

Edelson Lechtzin LLP is investigating a potential class action to pursue legal remedies on behalf of individuals whose sensitive personal data may have been compromised in the reported breach. A successful case could recover compensation for losses such as lost time, out-of-pocket costs, and loss of privacy. It could push Coca-Cola to strengthen how it protects personal information. The firm will evaluate your rights and potential claims at no cost.

Recommended Steps to Protect Yourself

Review your account statements and credit reports regularly and stay alert for suspicious activity.Confirm whether your information was involved in the Coca-Cola incident.Preserve any letters or emails you received about the breach.If credit monitoring was offered in your notice, consider enrolling before the stated deadline, and consider placing a fraud alert or security freeze with the three major credit bureaus. Contact Us for a Free Case Evaluation

Speak confidentially with a data privacy attorney today: Marc Edelson, Esq., Edelson Lechtzin LLP, 411 S. State Street, Suite N-300, Newtown, PA 18940; Phone: 844-696-7492; Email: [email protected]; Web: www.edelson-law.com.

About Edelson Lechtzin LLP

Edelson Lechtzin LLP is a national class action law firm with offices in Pennsylvania and California. In addition to data breach litigation, the firm handles class and collective actions involving securities and investment fraud, federal antitrust violations, ERISA employee benefit plans, wage theft, and consumer fraud.

Media and Partnership Inquiries: Use the contact information above to connect with our team regarding interviews, co-counsel opportunities, and referral partnerships.

Legal Notice: This press release may be considered Attorney Advertising in some jurisdictions. Prior results do not guarantee a similar outcome. The reported data breach described above, and certain details concerning it, remain unconfirmed.

KO's Q3 earnings may benefit from strong pricing power, organic revenue growth and margin gains, though weak volumes in key markets remain a concern.

As I write, shares of Coca-Cola (KO -0.87%) are up around 33% in 2026 on price alone, from $69.91 at year-end 2025 to about $93. This puts the drinks giant on pace for its best calendar-year gain since 1996. Shares closed at $93.90 on Oct. 16, a record, and trade just under that mark now.

After a climb like this, it's fair to ask if the gains are about to stop. But the stock's own history surprised me. Coca-Cola has seen 11 other calendar years with price gains of 30% or better since 1963, and the stock rose again the next year in 10 of those.

That record isn't a reason to buy by itself. But I think it's a solid reason not to sell just because this year's been so good.

Image source: Getty Images.

What happened after Coca-Cola's other big years?These numbers use year-end closing prices, adjusted for stock splits. They don't count dividends, which would have lifted all of these returns on a dividend stock like Coca-Cola.

YearPrice change that yearPrice change the next year1963Up 36%Up 22%1967Up 48%Up 8%1971Up 44%Up 22%1975Up 55%Down 4%1982Up 50%Up 3%1985Up 35%Up 34%1986Up 34%Up 1%1989Up 73%Up 20%1991Up 73%Up 4%1995Up 44%Up 42%1996Up 42%Up 27%Data source: Yahoo Finance. Calculations by author.

The median follow-up gain was around 20%. For comparison, the stock climbed in 48 of all 63 years from 1963 to 2025, with a median yearly gain of about 8%.

That said, the history is messier than a 10-out-of-11 count suggests. Three of the follow-up gains were below 5%. And two of the follow-up years (1986 and 1996) were 30%-plus years in their own right, so the best runs turn up twice.

Even the lone exception was mild. After surging 55% in 1975, the stock fell around 4% in 1976.

It's also worth noting that all 11 of these years came before 1997. From 1997 through 2025, the stock's best year was a 27% gain in 2007. That makes 2026 the first test of the pattern in nearly three decades, and a pattern from the 1960s through the 1990s might not apply to today's Coca-Cola.

Earnings grew much less than the stockManagement began 2026 guiding for non-GAAP (adjusted) earnings-per-share growth of 7% to 8%. It raised the range to 8% to 9% in April, then to 9% to 10% in July, bumping the outlook up by one point every time.

The July raise came with a strong second quarter of 2026. Organic revenue (revenue growth excluding foreign exchange, acquisitions, and divestitures) grew 6% year over year, and adjusted earnings per share rose 11% to $0.97.

The stock popped 5% to a record close on July 28, when Coca-Cola reported.

But earnings haven't kept up with the share price. In the last four quarters, Coca-Cola's adjusted earnings per share came to around $3.23, about 8% above its 2025 total of $3.00. The stock's 33% rise is more than four times that.

Put simply, investors now pay around $29 for each dollar of Coca-Cola's adjusted earnings over the past year, up from about $23 at the end of 2025.

Of course, investors can't rely on paying more for each dollar of earnings every year. From here, I think further gains will likely have to come mainly from earnings growth.

$92.68-$0.81 (-0.87%)

NYSE · As of 4:00 PM ET 10/21/26

Should new money wait?Coca-Cola reports third-quarter results before the opening bell on Tuesday, Oct. 27. Management doesn't need to lift its outlook a third time. But the report must show the 9% to 10% target still holding. Investors paying around 29 times adjusted earnings are already relying on growth like that, and the stock might have a tougher time if the target slips.

Should anyone sell after the stock's best year in three decades? In 10 of the 11 past cases, holding for another year paid off. If I owned shares, I wouldn't sell them because of this year's rise alone.

Buying is a different story. With most of the rise coming from a higher valuation, I'd want either a lower price or a few more quarters of earnings growth before putting new money in. Coca-Cola's business is healthy, but the stock costs much more than it did at the start of the year.

Diversify Advisory Services LLC increased its position in CocaCola Company (The) (NYSE:KO – Free Report) by 9.2% in the third quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 179,816 shares of the company’s stock after acquiring an additional 15,216 shares during the quarter. Diversify Advisory Services LLC’s holdings in CocaCola were worth $16,543,000 at the end of the most recent quarter.

Other hedge funds also recently bought and sold shares of the company. Louisbourg Investments Inc. bought a new stake in CocaCola during the 1st quarter worth approximately $25,000. Guardian Partners Inc. purchased a new stake in CocaCola in the 2nd quarter worth approximately $27,000. Horizons Wealth Management bought a new position in CocaCola in the 3rd quarter valued at $31,000. Atomic Invest LLC boosted its holdings in CocaCola by 38.7% in the 2nd quarter. Atomic Invest LLC now owns 437 shares of the company’s stock valued at $36,000 after purchasing an additional 122 shares during the period. Finally, Timbuktu Capital Management LLC bought a new position in CocaCola in the 2nd quarter valued at $41,000. Hedge funds and other institutional investors own 70.26% of the company’s stock.

Wall Street Analysts Forecast Growth A number of research analysts have recently commented on the stock. Rothschild & Co Redburn boosted their price target on shares of CocaCola from $86.00 to $92.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. BNP Paribas Exane increased their price objective on CocaCola from $90.00 to $98.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 29th. The Goldman Sachs Group reiterated a “neutral” rating and issued a $86.00 price objective (up from $82.00) on shares of CocaCola in a research report on Tuesday, July 28th. HSBC lifted their price objective on CocaCola from $90.00 to $98.00 and gave the company a “buy” rating in a research note on Wednesday, July 29th. Finally, Argus boosted their target price on CocaCola from $91.00 to $97.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $96.27.

Get Our Latest Research Report on CocaCola CocaCola Stock Up 0.0% Shares of NYSE:KO opened at $93.44 on Wednesday. CocaCola Company has a 52-week low of $67.27 and a 52-week high of $94.10. The firm has a fifty day moving average of $88.74 and a 200 day moving average of $83.64. The firm has a market capitalization of $402.04 billion, a PE ratio of 28.06, a price-to-earnings-growth ratio of 3.63 and a beta of 0.32. The company has a debt-to-equity ratio of 0.97, a quick ratio of 1.12 and a current ratio of 1.30.

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 business 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 earned $0.87 earnings per share. The firm’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, research analysts anticipate that CocaCola Company will post 3.30 EPS for the current fiscal year.

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

Insider Activity In related news, 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 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 SEC, which is available through the SEC website. Also, CFO John Murphy sold 152,483 shares of the company’s 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 completion of the sale, the chief financial officer directly 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. 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. In the last three months, insiders sold 926,620 shares of company stock worth $83,075,714. 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: Analysts remain bullish: Wells Fargo and UBS both maintained their Buy ratings on Coca-Cola, reinforcing confidence in the company’s growth outlook and defensive qualities. Wells Fargo Coca-Cola rating UBS Coca-Cola rating Positive Sentiment: KFC partnership expands foodservice reach: KFC will replace Pepsi with Coca-Cola beverages in its U.S. restaurants beginning in January 2027, eventually covering roughly 3,700–4,000 locations. The direct revenue impact may be limited, but the deal improves fountain distribution, brand visibility and consumer occasions. Coca-Cola KFC partnership Positive Sentiment: Defensive-investment appeal persists: Articles continue to highlight Coca-Cola’s 64-year record of dividend increases, global scale and low-beta profile, which may attract investors amid renewed market volatility. Defensive stocks article Neutral Sentiment: Coffee strategy is under review: Coverage questions what Coca-Cola may change in its coffee business, signaling potential portfolio adjustments but no clearly identified near-term financial impact. Coca-Cola coffee business Negative Sentiment: Valuation and earnings concerns are emerging: After rising roughly 35%–40% this year, Coca-Cola’s dividend yield has compressed to about 2.2%. Zacks also says the company may lack the usual indicators for an upcoming earnings beat, creating a risk that expectations have outpaced near-term results. Coca-Cola earnings expectations CocaCola Profile (Free Report)

The Coca-Cola Company (NYSE: KO) is a global beverage company headquartered in Atlanta, Georgia. Founded in 1886, it is best known for Coca-Cola, one of the world’s most recognized soft drink brands.

The company owns, licenses, and markets a broad portfolio of beverages, including sparkling soft drinks, water, sports drinks, coffee, tea, juice, dairy and plant-based beverages, and energy drinks. Its brands include Coca-Cola, Diet Coke, Coca-Cola Zero Sugar, Sprite, Fanta, Dasani, smartwater, Powerade, Minute Maid, Simply, fairlife, and Costa Coffee, among others.

The Coca-Cola Company serves consumers in more than 200 countries and territories through a system that includes company-operated operations, independent bottling partners, distributors, retailers, and food-service providers.

Further Reading Five stocks we like better than CocaCola Aurora Rejects Curaleaf’s Higher Bid, But the Takeover Fight Isn’t Over Centrus Energy Is Building a Nuclear Fuel Powerhouse—Why Is Its Stock Struggling? Halliburton Gains Traction: Multiyear Upcycle Ahead Meta Platforms’ AI Comeback Faces an Earnings Test—And a $10 Billion Charge 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.

Whether under Warren Buffett or now under Greg Abel, Berkshire Hathaway's (BRKA +1.36%) (BRKB +1.43%) stock portfolio has always operated with a concentrated approach: When the team sees a stock they really like, they load up.

Buffett has always believed that diversification is an excuse for ignorance, and while he understands that most general investors use the practice, it's not something the Oracle of Omaha has ever deployed.

Abel has no intention of departing from the concentrated approach in Berkshire's roughly $365 billion portfolio. Roughly five stocks make up 61.5% of this portfolio, as of this writing. Here are the two to buy.

Image source: The Motley Fool.

Five stocks that Berkshire loves
While every stock is treated differently, Buffett and Berkshire have always considered themselves long-term investors. Buffett always said that the Berkshire team looks for stocks they can hold forever. This is especially evident in Berkshire's top five holdings, which collectively account for roughly two-thirds of the portfolio:

Apple (AAPL -1.00%) -- 21.5%
American Express (AXP +0.61%) -- 13%
Coca-Cola (KO +0.07%) -- 10.3%
Alphabet (GOOG -1.10%)(GOOGL -1.14%) -- 9.9%
Bank of America (BAC +0.50%) -- 6.8%

Buffett and Berkshire initially bought American Express and Coca-Cola in the 1980s and 1990s and haven't sold a share since completing those initial buying sprees.

Berkshire first initiated Apple in 2016 after Buffett reportedly saw how upset one of his friends got when he thought he lost his iPhone. Strong branding has always been a big part of Buffett's investment thesis because it can build strong moats and, in turn, pricing power.

At one point, Apple made up roughly 40% of Berkshire's portfolio. Berkshire built up its Bank of America stake heavily during the pandemic, clearly choosing it as its big bank.

AAPL Apple$339.50-$3.44 (-1.00%)

NASDAQ · As of 4:00 PM ET 10/20/26

The large conglomerate first got involved with the stock following the Great Recession in 2011, when it injected $5 billion of capital into Bank of America in exchange for preferred stock with a 6% annual dividend and warrants that enabled the company to purchase 700 million common shares at a strike price of $7.14.

Bank of America stock now trades around $51 per share. It's just one example of how Buffett took advantage of a distressed situation.

However, in his first letter to shareholders, Abel did not list Bank of America among its "core holdings," and Berkshire has trimmed its Bank of America positions in recent quarters, so it may end up selling the stock.

Alphabet is Berkshire's newest large position, which Abel has boosted by tens of billions of dollars this year. It's also, interestingly, Berkshire's first heavy bet on an AI hyperscaler.

Buy these two
The two I like the most in this group right now are Apple and Coca-Cola. While Apple is a "Magnificent Seven" company, it also hasn't invested hundreds of billions into building data centers.

Sure, it may not benefit in the same way as hyperscalers that provide compute for AI, but its popular consumer devices are still likely to incorporate AI heavily and serve as a bridge between the technology and consumers.

Not investing so much in AI infrastructure also makes Apple less risky should the AI trade come crashing down. Apple is also a very shareholder-friendly company and has repurchased over $850 billion worth of stock since 2013. I suspect this will continue.

While Coca-Cola is not necessarily a fast-growing AI stock, it's one of the best consumer staples stocks that should provide consistent performance through an entire economic cycle.

KO Coca-Cola$93.49+$0.07 (+0.07%)

NYSE · As of 4:00 PM ET 10/20/26

Investors tend to rotate into these when they are concerned about the economy or market froth. That's evident this year, with Coca-Cola's stock up nearly 35%. Coca-Cola has also generated solid growth this year and is one of the most consistent dividend payers in the entire stock market.

Coca-Cola is a Dividend King, meaning it has increased its annual dividend for at least 50 years; Coca-Cola has done so for 64 years. The trailing dividend yield of nearly 2.3% is also quite solid when you consider the appreciation in the stock this year.

There will never be another Warren Buffett. From 1964 to 2024, the CEO of Berkshire Hathaway (BRKA +0.93%)(BRKB +0.88%) achieved legendary returns of 5,502,284%. That amounts to compounded annual growth of about 19.9% -- nearly twice the gains of the S&P 500 (^GSPC +0.29%), which delivered 10.4% annualized returns during those six decades.

It's highly unlikely that anyone reading this can apply exactly the same playbook that Warren Buffett used to get rich. But there are a few key mindsets and model behaviors from Buffett's career that any investor can emulate.

Former Berkshire Hathaway CEO Warren Buffett. Image source: Getty Images.

Buy great companies that you believe in
Warren Buffett was not a penny-stock buyer. He didn't chase trends or follow fads. Instead, he bought stocks in companies that were often undervalued by the rest of the market. He owned stocks in high-quality companies with steady cash flows, strong business models he understood, and often sold products he personally used and/or enjoyed, like Coca-Cola (KO -0.47%). 

How to be like Buffett: Buy stocks in companies that you understand, that you believe in, that you're rooting for, and that you think can generate long-lasting returns.

2. Hold onto your investments for the long term
Buffett was not a short-term speculator or day trader. When he bought a company's stock, he typically intended to hold it for years. For great companies that Buffett really believed in, he said that his "favorite holding period is forever." 

Does this mean that you should never sell stocks? No. Sometimes investors need to take profits or cut losses. But this mindset shows how a long-term investing approach can help all kinds of investors build serious wealth -- even if they never reach Buffett's level of annualized returns.

How to be like Buffett: Keep investing consistently and hold your stocks for the long term -- for 60 years or more, if you're lucky.

3. Buy index funds
Warren Buffett is perhaps the most successful stock picker of all time. His record of beating the market might never be beaten. But he also famously said that most people should buy low-cost S&P 500 index funds. Buying funds like the Vanguard S&P 500 ETF (VOO +0.27%) can serve as a strong foundation of an investment portfolio in a simple, low-fee way.

VOO Vanguard S&P 500 ETF$706.49+$1.89 (+0.27%)

NYSEMKT · As of 11:33 AM ET 10/20/26

You don't have to beat the market to get rich. If you want to choose individual stocks or sectors you're passionate about and enjoy following the markets and being a more active investor, that's totally fine. But many investors shouldn't try to be like Buffett. Instead, they should follow his advice and keep buying the S&P 500 regularly.

How to be like Buffett: Keep investing in stocks, even if you are just buying the S&P 500, rather than picking individual stocks. Many stock pickers fail to beat the market for long. But it's possible to build significant wealth by investing in the stock market over many years.

Ben Gran has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway and Vanguard S&P 500 ETF. The Motley Fool has a disclosure policy.

Coca-Cola (KO -0.51%) is the classic Dividend King. It has raised its dividend for the past 64 years, and there are few stocks with a better track record.

Historically, the stock hasn't been a market outperformer, but it shines when the economy is in tough circumstances. Today, it's beating the market despite the market's strong bull run this year, 40% to 13%. Since the dividend yield moves conversely with the stock price, Coca-Cola's current yield of 2.2% is well below its typical average of about 3%.

Image source: Getty Images.

If you invest $10,000 today, here's how much you'll get in dividends.

The classic dividend stock
Since Coca-Cola stock is soaring, $10,000 won't by you as many shares as it did last year, hence the lower yield. At the current price of $93.90 per share, $10,000 will buy 106 shares. Coca-Cola pays a quarterly dividend of $0.53 per share, or $2.12 per share annually. If you own 106 shares, therefore, you will get $224.72 annually.

That might sound disappointing, but it highlights the need to invest when you're younger and have a larger foundation, to be prepared for retirement or for whenever you'll need passive income.

At the current price, Coca-Cola's yield isn't as high as it once was, but the company is reliable for paying and raising it. The $224.72 for this year will likely become more next year and every year after, and Coca-Cola could be an excellent element of a well-balanced portfolio.

Berkshire Hathaway has held Coca-Cola since the late 1980s, but what happened to an ordinary investor who bought in at the turn of the millennium tells a more complicated story about patience, timing, and whether the stock still has room

It's common for equity income investors to say they want to generate a specific amount in yearly income from a specific dividend stock. Accruing the capital to hit that goal, particularly if it's of the four-figure or higher variety, right off the bat is another matter.

Take the case of Coca-Cola (KO +2.06%), one of the largest consumer staples companies by market cap. On Thursday, Oct. 15, the beloved soft drink stock hit an all-time high before settling at $92. The stock is up nearly 34% year to date, outperforming all "Magnificent Seven" stocks.

It's expensive to grab $1,000 a year in dividends from Coca-Cola stock, but it is worth it. Image source: Getty Images.

Still, it's not cheap to extract $1,000 in yearly income from this stock. My back-of-the-envelope math tells me that, based on Coke's annual dividend of $2.12 per share and an Oct. 15 closing price of $92, the 472 shares required to get to $1,000 in annual dividends from Coke will cost a cool $43,424. That's not small potatoes, but that capital outlay is worth it for investors who can afford it.

Don't trip on Treasury comparisons Coca-Cola is a Dividend King, or one of the companies with a dividend increase streak of at least 50 years. For the beverage giant, the streak of payout increases spans 65 consecutive years. However, the stock yields just 2.31%.

Sure, that's more than double the dividend yield on the S&P 500, but it's not a knock-your-socks-off yield. It arguably seems paltry at a time when 10- and 30-year Treasuries are yielding north of 5%. Conventional wisdom often dictates that when U.S. government bond yields are unusually high, that's bad news for dividend stocks because investors may be apt to ditch those stocks for the perceived lower-risk attributes of Treasuries.

As noted above, Coca-Cola stock is up nearly 34% this year, so it's defying that wisdom. Plus, the last 10 years of history confirm that shares of Coke have been an infinitely better bet than intermediate-term and long-dated Treasuries from a performance perspective.

KO Total Return Level data by YCharts

The point is that the real risks may well be leaving potentially significant amounts of capital appreciation on the table in the name of safety and high yields. An interesting, related footnote: While researching this article, I came across a 2019 piece about "Coca-Cola millionaires," or folks who bought small amounts of the stock during the Great Depression and went on to become millionaires decades later (or their heirs did). One of the author's points was to embrace dividend growth and not be tricked by yield.

Coke is stackin' dubs As in "W's" for "wins." Not only is Coke performing like a technology stock this year, but more importantly, it's scoring victories, including over rival PepsiCo. On Thursday, KFC announced it's moving to Coca-Cola beverages away from Pepsi.

That sign that the beverage wars rage on is noteworthy because KFC's parent, Yum! Brands was spun out of Pepsi in 1997, and since then, Yum's KFC, Pizza Hut, and Taco Bell have served Pepsi drinks. That news comes on the heels of Marriott International announcing in July that it will switch from Pepsi to Coke; Costco made the same announcement last year.

Those are wins that support the case for Coca-Cola stock, confirming that long-term investors, regardless of starting capital, ought to consider the shares.

A small-town Florida banker spent decades pressing farmers and widows to sink their savings into a single soft drink stock, and what happened to Quincy, Florida over the next century is a story about extraordinary wealth that somehow left most

Coca-Cola (KO - Free Report) closed at $93.52 in the latest trading session, marking a +1.65% move from the prior day. The stock's change was more than the S&P 500's daily loss of 1.09%. At the same time, the Dow lost 0.34%, and the tech-heavy Nasdaq lost 2.15%.

Prior to today's trading, shares of the world's largest beverage maker had gained 4.47% outpaced the Consumer Staples sector's gain of 1.5% and the S&P 500's gain of 2.44%.

Market participants will be closely following the financial results of Coca-Cola in its upcoming release. The company plans to announce its earnings on October 27, 2026. The company's earnings per share (EPS) are projected to be $0.87, reflecting a 6.1% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $12.93 billion, showing a 4.15% escalation compared to the year-ago quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.3 per share and revenue of $49.82 billion. These totals would mark changes of +10% and +4.02%, respectively, from last year.

Investors should also take note of any recent adjustments to analyst estimates for Coca-Cola. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.09% increase. As of now, Coca-Cola holds a Zacks Rank of #2 (Buy).

In the context of valuation, Coca-Cola is at present trading with a Forward P/E ratio of 27.92. Its industry sports an average Forward P/E of 18.46, so one might conclude that Coca-Cola is trading at a premium comparatively.

One should further note that KO currently holds a PEG ratio of 3.58. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Beverages - Soft drinks industry had an average PEG ratio of 1.61 as trading concluded yesterday.

The Beverages - Soft drinks industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 153, this industry ranks in the bottom 38% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

Coca-Cola rose above the 92.49 buy point of a flat base. It was among the actionable stocks Friday.

ATLANTA--(BUSINESS WIRE)--The Board of Directors of The Coca-Cola Company today declared a regular quarterly dividend of 53 cents per common share, payable Dec. 15 to shareowners of record of the company as of the close of business Dec. 1. About The Coca-Cola Company The Coca-Cola Company (NYSE: KO) is a total beverage company with products sold in more than 200 countries and territories. Our company's purpose is to refresh the world and make a difference. We sell multiple billion-dollar brands.

Considering its total growth in the current century is at a relatively modest 218% – for comparison, the S&P 500 benchmark index is up over 490% within the timeframe – Coca-Cola (NYSE: KO) stock has been one of the most surprising top performers of 2026.

Indeed, after starting the year at $69.12, KO shares rallied 32.78% by the Wednesday, October 14, close at $91.78 – the S&P 500 is up 12.55% year-to-date (YTD).

If the Thursday pre-market rally to $93.19 is taken into account, the soft drink giant’s YTD gains extend to 34.82%, putting it just $6.81 short of $100.

Why the October 27 earnings can decide if KO stock hits $100 by 2027 While such momentum appears to strongly indicate that Coca-Cola shares can hit the psychological threshold by 2027, the deciding moment is likely to come only in late October.

Specifically, a key driver behind KO stock’s strong 2026 performance has been its ability to beat analyst forecasts and, perhaps somewhat counterintuitively, reverse the weakness prevalent through much of 2025.

For example, Coca-Cola’s earnings report covering the quarter that ended on December 31 last year showed revenue at $11.82 billion – significantly below the analyst forecast of $12.03 billion.

The subsequent filing – covering the first calendar quarter (Q1) of 2026 – discloses sales amounting to $12.47 billion – $650 million higher than in the preceding period and $230 million higher than the expected $12.24 billion.

Coca-Cola’s performance in Q2 proved even better, with revenue reaching $13.38 billion – once again, $220 million higher than was forecasted – for a $1.56 billion increase in just six months.

Under the circumstances, the October 27 Q3 filing could make or break KO stock’s performance for the final two months of 2026. 

Here’s how Coca-Cola stock performed after each 2026 earnings report KO shares were 0.22% lower one month after the Q4 earnings – published in the February 10 pre-market – and 0.86% higher two months later. 

The situation was noticeably different following the Q2 filing – made early on July 28 – with a 5.94% rally within a month, and gains then diminished to 3.75% by the Monday, September 28, closing bell.

Finally, the Q1 2026 report led to a surge greater than 8% within the first month, and roughly 9.50% by the end of the second. 

The importance of the October 27 earnings report for Coca-Cola stock’s year-end price can also be seen in the fact that the latest KO rally – started after hitting support on October 7 and leading to 6.94% gains by the latest close  – came in the form of quarterly outlook revisions and the strategic decision to sell Costa Coffee.

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NorthCrest Asset Manangement LLC increased its stake in shares of CocaCola Company (The) (NYSE:KO – Free Report) by 75.9% in the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 39,858 shares of the company’s stock after buying an additional 17,193 shares during the quarter. NorthCrest Asset Manangement LLC’s holdings in CocaCola were worth $3,498,000 at the end of the most recent quarter.

A number of other institutional investors have also recently added to or reduced their stakes in the stock. Banco Santander S.A. raised its stake in CocaCola by 3.1% during the 2nd quarter. Banco Santander S.A. now owns 1,090,758 shares of the company’s stock valued at $88,646,000 after acquiring an additional 32,723 shares in the last quarter. Daymark Wealth Partners LLC boosted its position in CocaCola by 68.5% during the 2nd quarter. Daymark Wealth Partners LLC now owns 218,199 shares of the company’s stock worth $17,733,000 after acquiring an additional 88,690 shares during the period. Moore Capital Management LP bought a new position in shares of CocaCola in the second quarter worth $12,905,000. CX Institutional grew its stake in shares of CocaCola by 402.3% in the third quarter. CX Institutional now owns 163,248 shares of the company’s stock worth $14,052,000 after purchasing an additional 130,746 shares in the last quarter. Finally, Cidel Asset Management Inc. increased its holdings in shares of CocaCola by 2,091.3% during the second quarter. Cidel Asset Management Inc. now owns 361,934 shares of the company’s stock valued at $29,414,000 after purchasing an additional 345,417 shares during the period. 70.26% of the stock is currently owned by institutional investors.

Insiders Place Their Bets In other news, EVP Nancy Quan sold 50,000 shares of the company’s stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $90.39, for a total value of $4,519,500.00. Following the completion of the sale, the executive vice president owned 223,330 shares in the company, valued at $20,186,798.70. This represents a 18.29% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Chairman James Quincey sold 145,947 shares of the firm’s stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $90.09, for a total value of $13,148,365.23. Following the transaction, the chairman directly owned 122,833 shares of the company’s stock, valued at $11,066,024.97. This represents a 54.30% 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. Over the last 90 days, insiders have sold 926,620 shares of company stock valued at $83,075,714. 0.90% of the stock is currently owned by insiders.

CocaCola Stock Performance KO opened at $90.21 on Wednesday. The company has a market capitalization of $388.13 billion, a price-to-earnings ratio of 27.09, a price-to-earnings-growth ratio of 3.49 and a beta of 0.32. 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 Company has a 1-year low of $66.75 and a 1-year high of $92.49. The business has a 50 day moving average price of $88.14 and a two-hundred day moving average price of $83.04. CocaCola (NYSE:KO – Get Free Report) last issued its quarterly earnings results on Tuesday, July 28th. The company reported $0.97 earnings per share (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 during the quarter, compared to analyst estimates of $13.17 billion. During the same period last year, the company posted $0.87 EPS. 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. Research analysts predict that CocaCola Company will post 3.30 EPS for the current fiscal year.

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

Positive Sentiment: Coca-Cola raised its full-year adjusted earnings guidance, contrasting with PepsiCo’s lower outlook amid rising costs. The more favorable guidance supports the case for KO’s premium valuation. Coca-Cola vs. PepsiCo: Which Dividend King Deserves a Premium Valuation Right Now? Positive Sentiment: Coca-Cola’s powerful global brands, broad distribution network and marketing investments continue to support a durable competitive moat. AI-assisted marketing, consumer insights and major campaigns are intended to improve volume growth, margins and marketing returns. Can Coca-Cola’s Marketing Investments Keep Improving Returns? Positive Sentiment: The company’s 63-year streak of annual dividend increases reinforces its appeal as a defensive income investment, particularly as markets favor dependable cash-generating businesses. Coca-Cola Has Raised Dividends for 63 Years. Can It Make It Another Decade? Positive Sentiment: Coca-Cola is expanding its presence in the fast-growing prebiotic soda category, positioning its portfolio to compete with Poppi and Olipop and capture changing consumer preferences. Coca-Cola has a gut feeling it can take on Poppi and Olipop Neutral Sentiment: Reports indicate Coca-Cola is reviewing strategic alternatives for Costa Coffee, including a possible sale. A divestiture could improve capital allocation, but the discussions are preliminary and there is no agreed valuation or timetable. Does Coca-Cola Need To Rethink Its Coffee Strategy? Neutral Sentiment: Analyst commentary says KO has outperformed some consumer-staples peers this year, supporting investor interest, though the stock’s elevated valuation leaves less room for execution disappointments. Is Coca-Cola Stock Outpacing Its Consumer Staples Peers This Year? Negative Sentiment: Coca-Cola’s dividend payments reportedly exceeded free cash flow by billions last year. Although the long payout streak is attractive, sustained under-coverage could constrain financial flexibility or increase reliance on borrowing. Coca-Cola Has Raised Dividends for 63 Years. Can It Make It Another Decade? Analyst Upgrades and Downgrades A number of brokerages recently weighed in on KO. CICC Research lifted their price objective on shares of CocaCola from $85.00 to $95.00 and gave the company an “outperform” rating in a research note on Thursday, July 30th. Argus upped their price objective on shares of CocaCola from $91.00 to $97.00 and gave the stock a “buy” rating in a report on Thursday, July 30th. Rothschild & Co Redburn increased their target price on shares of CocaCola from $86.00 to $92.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. Deutsche Bank Aktiengesellschaft raised their target price on shares of CocaCola from $92.00 to $98.00 and gave the company a “buy” rating in a research note on Wednesday, July 29th. Finally, HSBC boosted their price target on shares of CocaCola from $90.00 to $98.00 and gave the stock a “buy” rating in a research report on Wednesday, July 29th. One research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat.com, CocaCola presently has a consensus rating of “Moderate Buy” and an average price target of $95.95.

View Our Latest Stock Report on CocaCola

CocaCola Company Profile (Free Report)

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

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

See Also Five stocks we like better than CocaCola A Chinese Rival Just Spooked Memory Stocks—How Worried Should Micron Investors Be? Could T-Mobile’s Satellite Competition Fears Create a Buying Opportunity? Surgical Precision, Sustainable Returns: Johnson & Johnson Secures Its Cash Flow Runway Tesla’s Robotaxi Lands in Paris—But Europe’s Real Fight Is Over Cheap EVs 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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Key Takeaways Coca-Cola breaks above its 50-day SMA on Oct. 8 and remains above its 200-day SMA, signaling bullish momentum.KO's 28.9% YTD rally outpaces industry peers, backed by brand strength, innovation and operational efficiency.Coca-Cola projects 9-10% EPS growth in 2026, but its 25.92X forward P/E signals a premium valuation. Shares of The Coca-Cola Company (KO - Free Report) have demonstrated resilience in recent months, outperforming key industry benchmarks and exhibiting encouraging technical momentum. The bullish trend gained further traction on Oct. 8, 2026, when KO moved above its 50-day simple moving average (SMA). The stock closed at $87.77, surpassing its 50-day SMA of $87.65, indicating strengthening near-term momentum and renewed buying interest.

A breakout above the 50-day SMA is generally viewed as a positive technical signal, suggesting a shift toward bullish sentiment. This development often reflects improving investor confidence and stronger buying activity, particularly when a stock is recovering from recent weakness. Sustained trading above this level could further reinforce the positive momentum.

Adding to the favorable technical picture, Coca-Cola has been trading above its 200-day SMA since Jan. 8, 2026, reflecting a sustained upward trend. The stock's position above this key long-term indicator suggests underlying price strength and reinforces the broader bullish technical outlook.

The SMA is a widely followed technical indicator that smooths daily price fluctuations, helping investors identify prevailing trends and assess a stock's directional momentum. While the 50-day SMA provides insights into near-term price movements, the 200-day SMA serves as an important gauge of longer-term trend strength.

KO Stock Trades Above 50 & 200-Day SMAs
Image Source: Zacks Investment Research

Coca-Cola has exhibited impressive momentum, with its shares rising 28.9% in the year-to-date period, comfortably outperforming the Beverages – Soft Drinks industry's 14.4% growth. The KO stock has also outpaced the broader Zacks Consumer Staples sector and the S&P 500, which have gained 7.8% and 13.8%, respectively, in the same period. This notable outperformance underscores Coca-Cola's relative strength amid a mixed market environment.

KO's year-to-date performance also stands out against key industry peers, including PepsiCo Inc. (PEP - Free Report) , Monster Beverage Corporation (MNST - Free Report) and Primo Brands Corporation (PRMB - Free Report) . While Coca-Cola has delivered robust gains, PepsiCo has witnessed an 11.3% decline in its share price in the same period. Meanwhile, Monster Beverage and Primo Brands have recorded gains of 13% and 15.5%, respectively, trailing KO's impressive rally. The substantial performance gap between Coca-Cola and its competitors further highlights KO's superior stock-price momentum and stronger relative market positioning.

Coca-Cola's YTD Price Performance
Image Source: Zacks Investment Research

At its current price of $90.11, the KO stock trades 34.7% above its 52-week low mark of $60.71 and 2.6% below its 52-week high mark of $92.49.

What's Fueling KO's Strong Stock Momentum?Coca-Cola continues to benefit from its diversified beverage portfolio, strong brand equity, disciplined revenue growth management and extensive global distribution network. The company's ability to drive balanced growth through volume expansion and strategic pricing, while adapting to evolving consumer preferences, remains central to its growth strategy. Its presence across more than 200 countries and territories, supported by a robust bottling network, strengthens its competitive position and provides resilience amid an uneven global consumer environment.

Coca-Cola's focus on innovation, affordability and premiumization is another key growth catalyst. The company is leveraging its portfolio of 32 billion-dollar brands to capture incremental consumption occasions and expand its consumer base. Strong demand for Trademark Coca-Cola, fairlife, Powerade and Sprite, alongside innovations such as Coca-Cola Zero Zero and Mr. Pibb, underscores its ability to sustain brand relevance. Its FIFA World Cup activations and digital initiatives are also strengthening consumer engagement and market penetration.

Operational efficiency and financial flexibility further support KO's momentum. Its increasingly asset-light business model, disciplined cost management and effective revenue growth strategies are supporting margin expansion. Management raised its 2026 outlook, projecting approximately 5% organic revenue growth and 9-10% comparable earnings-per-share growth. A strong balance sheet and healthy cash generation provide additional flexibility for reinvestment and shareholder returns.

However, persistent pressure on lower-income consumers, geopolitical uncertainty and unfavorable product mix in certain markets remain concerning. Nevertheless, Coca-Cola's brand strength, execution capabilities and improving earnings outlook support its positive long-term growth prospects.

Estimate Revision Trend for KOThe Zacks Consensus Estimate for Coca-Cola's 2026 EPS moved up by a penny in the past seven days. The estimate for 2027 was unchanged in the last 30 days. For 2026, the Zacks Consensus Estimate for KO's revenues and EPS implies 4% and 10% year-over-year growth, respectively. The consensus mark for 2027 revenues and earnings suggests 1.1% and 7% growth, respectively.

Image Source: Zacks Investment Research

Coca-Cola's ValuationKO's current forward 12-month price-to-earnings (P/E) multiple of 25.92X is significantly higher than the Zacks Beverages – Soft Drinks industry average of 19.31X, making the stock appear relatively expensive. However, the company's P/E multiple reflects a significant discount to the S&P 500's multiple of 19.83X.

At 25.92X P/E, Coca-Cola trades at a significant premium to its peers, PepsiCo and Primo Brands, which have forward 12-month P/E multiples of 14.67X and 13.37X, respectively. Nonetheless, Monster Beverage has a forward 12-month P/E ratio of 35.22X, significantly higher than KO.

Image Source: Zacks Investment Research

Should Investors Buy Coca-Cola Stock Now?Coca-Cola's impressive share-price rally, favorable technical indicators and improving earnings outlook reinforce its bullish investment appeal. Trading above both its 50- and 200-day SMAs, KO exhibits encouraging near-term momentum and sustained long-term strength. Its significant outperformance against industry peers and broader market benchmarks further underscores positive investor sentiment.

Although KO trades at a premium to the industry and several peers, its elevated valuation largely reflects the strong share-price rally and heightened investor optimism surrounding its resilient business model, brand strength and long-term growth opportunities. While the rich valuation may limit immediate upside, Coca-Cola's strategic initiatives, operational efficiency and earnings growth prospects support continued momentum in the near and long term. Investors may consider accumulating this Zacks Rank #2 (Buy) stock at suitable entry prices despite its premium valuation. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?

Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Coca-Cola (KO - Free Report) .

Coca-Cola currently has an average brokerage recommendation (ABR) of 1.46, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 26 brokerage firms. An ABR of 1.46 approximates between Strong Buy and Buy.

Of the 26 recommendations that derive the current ABR, 19 are Strong Buy and two are Buy. Strong Buy and Buy respectively account for 73.1% and 7.7% of all recommendations.

Brokerage Recommendation Trends for KO

Check price target & stock forecast for Coca-Cola here>>>

The ABR suggests buying Coca-Cola, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.

Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.

In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.

With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.

Zacks Rank Should Not Be Confused With ABRAlthough both Zacks Rank and ABR are displayed in a range of 1--5, they are different measures altogether.

Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.

It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.

On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.

There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.

Should You Invest in KO?In terms of earnings estimate revisions for Coca-Cola, the Zacks Consensus Estimate for the current year has increased 0.1% over the past month to $3.3.

Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term.

The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Coca-Cola. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Therefore, the Buy-equivalent ABR for Coca-Cola may serve as a useful guide for investors.

Coca-Cola has handed income investors a bigger check every year for six decades, but last year its dividend bill outpaced its free cash flow by billions. Whether that gap signals trouble or a one-time blip could define the next ten…

Coca-Cola (NYSE:KO | KO Price Prediction) marked its 63rd consecutive year of annual dividend increases in 2025. Its quarterly payment record backs that up: the per-share payout has stepped higher every year from $0.16 in 1999 to $0.53 in 2026. Income investors who already own the stock care less about the 2.27% yield than about whether the next decade of raises shows up. That depends on free cash flow, and the cash flow picture has improved in Coca-Cola’s favor in 2026.

Free Cash Flow Is Catching Back Up to the Payout Last year looked weak on paper. Coca-Cola paid $8.8 billion in dividends but generated only $5.296 billion in free cash flow. Most of that gap came from a one-time fairlife contingent consideration payment, which management took out from its 2025 cash outlook.

For 2026, Coca-Cola raised its free cash flow guidance to about $12.4 billion. The 2025 dividend bill would use roughly 71% of that. First-half free cash flow came in at about $6.9 billion, with net debt at 1.4 times EBITDA, below the company’s 2x to 2.5x target. Chief financial officer John Murphy said:

“Given the momentum of our business and the strength of our balance sheet, we have increased flexibility and optionality to continue to both reinvest in our business and return capital to share owners.”

Earnings Are Growing Faster Than the Dividend Earnings growth is outpacing dividend growth. The 2026 raise was about 3.9%, while management now guides comparable EPS up 9% to 10% from $3.00. The $2.12 forward dividend works out to about 64% of trailing EPS of $3.33. Second-quarter operating margin expanded to 34.9% from 34.1%. Murphy credited the shift to a lighter-asset model:

“The structural changes in our overall model becoming more asset-light has, as you know, been one of the primary drivers.”

Pricing, Volume and Currency Decide the Pace Second-quarter unit case volume rose 5%, and Coca-Cola Zero Sugar grew 16%. Chief executive Henrique Braun described a squeezed consumer:

“The lower income continues to be pressured, and we’ve seen that it’s really about value, not only pricing.”

Several other factors can work against growth. Currency adds about 3% to 2026 EPS, and that boost can reverse. The fourth quarter has six fewer days than a year ago. The IRS tax case is also still pending, though Murphy said, “We continue to have confidence that we will ultimately prevail.”

How Coca-Cola Compares With PepsiCo and Keurig Dr Pepper PepsiCo (NASDAQ:PEP) yields more, at 4.42%, and announced its 54th consecutive annual increase. But it cut its 2026 core EPS growth guidance to 2.5% to 3.5% as core operating margin contracted 35 basis points. Keurig Dr Pepper (NASDAQ:KDP) is carrying $30.4 billion in debt principal and 4.4x pro forma leverage after its JDE Peet’s deal, and it plans a separation in early 2027.

Coca-Cola’s main weakness is its price. At 29 times earnings, it costs more than PepsiCo at 21 times. Its shares are up 31.67% this year.

Verdict: Expect Steady Mid-Single-Digit Raises Yes, Coca-Cola can keep raising its dividend, and it has more room to do so than either peer. EPS is growing at more than twice the rate of the most recent raise. Cash flow is recovering after the one-time fairlife payment, and leverage is below management’s own target. That supports raises around the recent 4% rate for years. Annual increases will likely stay in that range rather than speed up, so investors who want a higher starting yield are taking on more risk in PepsiCo’s payout. For current holders, a reversal of the currency boost is the main threat to watch.

Contact [email protected] for any questions or corrections.

Choosing between Kraft Heinz (KHC +0.94%) and Coca-Cola (KO +0.76%)often involves weighing deep value against consistent profitability. Both companies dominate grocery aisles, but their paths for 2026 look very different.

Kraft Heinz focuses on packaged foods and condiments, while Coca-Cola maintains a massive global beverage network. Investors often compare them because they provide stability during economic uncertainty. Each company offers a distinct way to gain exposure to the consumer defensive sector, balancing dividend income against potential turnaround gains or steady growth.

The case for Kraft HeinzKraft Heinz produces a variety of branded foods and condiments for home and restaurant use across more than 40 countries. In its latest annual report, filed for the period ending in 2025, the company noted that Walmart (WMT +1.14%)is a material customer. This retailer represented approximately 21% of net sales in 2025. Customer concentration like this adds a layer of risk to the business.

The company operates as one of the significant players in consumer staples stocks. In FY 2025, revenue reached nearly $24.9 billion, which represented a decline of roughly 3.5% from the previous year. The company reported a net loss of approximately $5.8 billion, resulting in a net margin of -23.4%. This sharp decline in net income was primarily due to non-cash impairment charges.

As of its December 2025 balance sheet, the debt-to-equity ratio was roughly 0.5x. This ratio compares total debt to shareholder equity, indicating a relatively low level of leverage. The current ratio, which measures the ability to cover short-term debts with short-term assets, was approximately 1.2x. For FY 2025, the company generated nearly $3.7 billion in free cash flow, defined as cash from operations minus capital expenditures.

The case for Coca-ColaCoca-Cola is a global beverage company that markets brands across categories like sparkling soft drinks, water, and juice. It operates through a network of independent bottling partners, distributors, and retailers. These partners accounted for nearly 44% of total worldwide unit case volume in 2025. The company sells concentrates and syrups to these partners, who produce and distribute the finished beverages globally.

In FY 2025, revenue reached approximately $47.9 billion, indicating nearly 1.9% growth. The company reported a net income of nearly $13.1 billion. This resulted in a net margin of roughly 27.3%, indicating how much net income is generated per dollar of sales. These figures demonstrate the company's ability to maintain high profitability within the beverage industry.

As of its December 2025 balance sheet, the current ratio was approximately 1.5x. The debt-to-equity ratio was roughly 1.5x, indicating the amount of debt relative to shareholders' equity. For FY 2025, the company generated nearly $5.3 billion in free cash flow. This cash generation provides the company with capital to pay dividends and reinvest in its global brands.

Risk profile comparisonKraft Heinz faces intense competition from both branded and private-label products. The company recorded approximately $9.3 billion in impairment charges in 2025, which reflects risks related to the value of its intangible assets. Its high level of indebtedness may limit financial flexibility and increase sensitivity to changing interest rates. Recent decisions to pause the separation of certain business segments have also introduced new uncertainty into its long-term strategy.

Coca-Cola faces significant risks from commodity cost volatility and inflation, which could affect its net margin. The company is involved in long-standing tax disputes with the IRS regarding historical transfer pricing. It also depends on independent bottling partners whose business goals may not always align with the company's. Competitors like PepsiCo (PEP +0.86%) and Keurig Dr Pepper (KDP +0.56%) continue to fight for global market share.

Valuation comparisonKraft Heinz currently trades at a much lower valuation on both earnings and sales, while Coca-Cola commands a significant premium due to its higher margins.

MetricKraft HeinzCoca-ColaForward P/E10.8x26.6xP/S ratio1.1x7.6xValuation metrics include those sourced from Financial Modeling Prep (FMP) and may differ from those of other data providers.

The P/S ratio measures market value against sales over the past twelve months. Meanwhile, the Forward P/E compares the stock price to future earnings estimates.

When comparing Coca-Cola and Kraft Heinz, investors should consider a few key factors. Let's have a look at them and see what that tells us about each stock.

First off, there's profitability. Over the last five years, Coca-Cola's operating margin has averaged 26.5%. Kraft Heinz, meanwhile, has averaged around 19.1%. Moreover, the difference between the two companies has widened in recent quarters. Coca-Cola has performed very well, and its operating margin has soared to an all-time high of 31.9%. Kraft Heinz, on the other hand, has seen its operating margin dip to 17.1% as input costs have soared.

Another factor to consider is each company's dividend. Both stocks can provide much-needed cash flow for income-oriented investors, although one stock clearly has a lead in this category. Kraft Heinz boasts a massive 7.2% dividend yield, which will obviously appeal to investors seeking to generate income from their portfolio. Coca-Cola offers a more modest 2.4% dividend yield, although the company has raised its dividend in each of the last 64 years. Kraft, by contrast, hasn't raised its dividend at all since 2018. While each company has enough free cash flow to sustain its current payouts, Coca-Cola is better positioned overall.

Last, there's valuation. In this category, Kraft Heinz holds a solid edge. Its 11x forward P/E ratio is less than half of Coca-Cola's 27x multiple. Therefore, value-conscious investors may favor Kraft Heinz stock.

To sum up, both stocks will hold some appeal among value- and income-seeking investors. Ultimately, however, Kraft Heinz stock may hold the greatest appeal, given its deep-value profile and large 7.2% dividend yield.

A federal auditor who never earned more than $4,000 a year died alone in a Manhattan studio, and the fortune she quietly assembled stunned everyone who thought they knew how wealth was built.

A Modest Salary and a Fortune Nobody Expected A retired federal auditor died on January 9, 1995, at 101. In 23 years at the Internal Revenue Service, she never earned more than $4,000 annually. Her stock portfolio was worth about $22 million.

She started with $5,000 in savings, though her executor challenged claims about her investing skill.

A Stalled Career and a Stock Market Obsession She had a law degree but was never promoted. She retired as a government auditor in 1944, in her early fifties, thinking she was held back because she was a woman.

For decades she lived alone in a Manhattan studio, spending nearly all her time following the stock market.

Four Habits Behind the Fortune, as Reported These details come from later secondhand coverage, and some lack attribution in original reporting.

She bought what worked. She noticed wealthy people whose tax returns she reviewed owned stocks and bought similar companies. The AP listed Coca-Cola (NYSE:KO | KO Price Prediction), Paramount, and Schering-Plough among her holdings. Her portfolio eventually covered more than 100 companies.

She did the homework. She studied earnings reports, management quality, and products. The New York Times summed up her approach as “hang tough and seldom sell”.

She reinvested everything. She put nearly all dividends and earnings back into investments.

She tuned out the noise. She ignored market swings and rarely sold on headlines. Her broker said she was never looking for “a quick buck”.

Why the Starting Figure Deserves an Asterisk Her executor called the claims about her skill exaggerated. A separate estimate places her holdings at about $21,000 by 1936, years before she retired, inferred from $900 in dividend income on her tax return that year.

The exact starting point is uncertain, so the headline figure is best read as a reported number open to challenged.

Anne Scheiber Left Her Fortune to Educate Women Her name was Anne Scheiber. She left nearly her entire fortune to Yeshiva University for scholarships for Jewish women at its women’s college and medical school. She also left $50,000 to her niece and $100,000 to the American Society for Technion-Israel Institute of Technology.

University president Norman Lamm said “elation” would be an understatement and that “at first” he didn’t thinking it.

She left nearly everything to educate women, thinking her own career had been limited because of her gender.

A Plain Method Backed by Decades of Patience Her method was plain: buy sound companies, reinvest dividends, hold for decades, ignore the noise. Her edge was time and the patience to do nothing with it. What to watch: whether blue chips she owned, like Coca-Cola, keep growing their dividends.

Contact [email protected] for any questions or corrections.

SummaryThe Coca-Cola Company earns a buy rating, supported by a robust economic moat, premium margins, and unrivaled brand equity.KO's asset-light model, high-margin concentrate sales, and long-term bottler contracts drive sector-leading profitability and efficiency.Emerging markets, especially Asia Pacific, offer significant growth runway, with KO outpacing regional market expansion and gaining share.Valuation concerns exist, but KO's superior margins, earnings growth, and dividend track record justify its premium relative to peers. Mindstyle/iStock Editorial via Getty Images

Introduction The Coca-Cola Company (KO) stock has enjoyed a strong year, with a 30.9% rise. However, this has also sparked concerns about overvaluation, as it now trades at a forward price-to-earnings (P/E) ratio of

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Analyst’s Disclosure: I/we have a beneficial long position in the shares of KO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Galvin Gaustad & Stein LLC cut its stake in CocaCola Company (The) (NYSE:KO – Free Report) by 3.5% in the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 176,856 shares of the company’s stock after selling 6,492 shares during the period. Galvin Gaustad & Stein LLC’s holdings in CocaCola were worth $15,224,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently bought and sold shares of KO. State Street Corp raised its position in CocaCola by 1.2% in the 4th quarter. State Street Corp now owns 167,850,330 shares of the company’s stock valued at $11,734,417,000 after purchasing an additional 1,992,327 shares in the last quarter. Bank of America Corp DE boosted its stake in shares of CocaCola by 4.4% in the 2nd quarter. Bank of America Corp DE now owns 45,958,636 shares of the company’s stock valued at $3,735,058,000 after buying an additional 1,939,673 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in shares of CocaCola by 0.4% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 36,354,414 shares of the company’s stock worth $2,954,523,000 after buying an additional 162,097 shares in the last quarter. Wellington Management Group LLP increased its stake in shares of CocaCola by 9.2% during the second quarter. Wellington Management Group LLP now owns 29,053,752 shares of the company’s stock worth $2,361,198,000 after buying an additional 2,439,026 shares during the period. Finally, Invesco Ltd. increased its stake in shares of CocaCola by 6.7% during the fourth quarter. Invesco Ltd. now owns 28,520,214 shares of the company’s stock worth $1,993,848,000 after buying an additional 1,798,371 shares during the period. 70.26% of the stock is owned by institutional investors and hedge funds.

Insiders Place Their Bets In related news, Chairman James Quincey sold 145,947 shares of the stock in a transaction on Wednesday, July 29th. The shares were sold at an average price of $90.09, for a total transaction of $13,148,365.23. Following the completion of the sale, the chairman owned 122,833 shares in the company, valued at $11,066,024.97. This represents a 54.30% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 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, CFO John Murphy sold 152,483 shares of the firm’s stock in a transaction on Friday, July 31st. The stock was sold at an average price of $87.31, for a total transaction of $13,313,290.73. Following the transaction, the chief financial officer directly 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 SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders sold 926,620 shares of company stock valued at $83,075,714. 0.90% of the stock is owned by insiders.

Analysts Set New Price Targets A number of research analysts recently issued reports on KO shares. Piper Sandler reiterated an “overweight” rating and issued a $95.00 price target (up from $88.00) on shares of CocaCola in a research note on Wednesday, September 16th. Royal Bank Of Canada increased their price objective on shares of CocaCola from $87.00 to $96.00 and gave the company an “outperform” rating in a research report on Wednesday, July 29th. Seaport Research Partners set a $95.00 price objective on shares of CocaCola in a report on Friday, August 14th. Truist Financial set a $88.00 price objective on shares of CocaCola in a research report on Friday, June 26th. Finally, Rothschild & Co Redburn boosted their target price on shares of CocaCola from $86.00 to $92.00 and gave the stock a “buy” rating in a research note on Wednesday, July 29th. One investment analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat, CocaCola currently has a consensus rating of “Moderate Buy” and a consensus price target of $95.95. Check Out Our Latest Stock Analysis on KO

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

Positive Sentiment: Potential Costa Coffee sale: Coca-Cola is reportedly exploring another sale of Costa Coffee. A divestiture could generate cash, simplify the portfolio and allow management to focus on higher-priority beverage businesses, although no transaction has been announced. Coca-Cola looks to sell Costa Coffee again, Semafor reports Positive Sentiment: Healthy volume and guidance trends: Recent coverage highlights approximately 5% volume growth in the second quarter, broader gains across cases sold, pricing and operating margins, and multiple outlook increases. Coca-Cola previously beat earnings expectations, reporting $0.97 in EPS versus a $0.93 consensus estimate and $13.37 billion in revenue versus $13.17 billion expected. Coca-Cola raises its outlook Positive Sentiment: Product innovation: New zero-sugar, prebiotic and flavored soda launches—including banana-vanilla offerings—could support consumer engagement and longer-term growth as preferences shift toward “better-for-you” beverages. Coca-Cola launches new soda products Neutral Sentiment: Defensive appeal remains intact: Coca-Cola continues to attract income-focused investors because of its long dividend history, strong global distribution network and roughly 28.5% net margin. However, comparisons with PepsiCo and other consumer-staples stocks offer no clear new catalyst for KO. Three soda giants pay dividends Negative Sentiment: Valuation and execution risks: Analysts caution that KO trades above its historical average multiple, with a P/E near 26, while its cash-flow-based valuation appears close to fair value. A bearish earnings preview also points to insider selling and limited room for disappointment ahead of results. Coca-Cola Q3 earnings preview CocaCola Stock Performance Shares of KO stock opened at $87.73 on Friday. The stock’s 50-day moving average is $88.00 and its two-hundred day moving average is $82.73. 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 $66.00 and a 1 year high of $92.49. The firm has a market cap of $377.48 billion, a price-to-earnings ratio of 26.35, a PEG ratio of 3.34 and a beta of 0.32.

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, beating analysts’ consensus estimates of $0.93 by $0.04. The firm had revenue of $13.37 billion during the quarter, compared to analysts’ expectations of $13.17 billion. CocaCola had a return on equity of 39.38% and a net margin of 28.56%.The business’s revenue was up 6.2% on a year-over-year basis. During the same period in the prior year, the firm earned $0.87 EPS. CocaCola has set its FY 2026 guidance at 3.270-3.300 EPS. Analysts predict that CocaCola Company will post 3.29 earnings per share for the current year.

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

About CocaCola (Free Report)

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

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

See Also Five stocks we like better than CocaCola Want Private-Market Access to Kalshi and Polymarket? Try This ETF Levi’s Stock Dip Reveals Value Opportunity Despite Q3 Headwinds PepsiCo Stock Looks Poised to Bottom With High Yield, Deep Value Alphabet’s $1.8 Billion Black Hills Deal Powers AI Data Center Push

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Diversified Management Inc. boosted its holdings in shares of CocaCola Company (The) (NYSE:KO – Free Report) by 106.8% in the third quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 18,266 shares of the company’s stock after purchasing an additional 9,434 shares during the period. Diversified Management Inc.’s holdings in CocaCola were worth $1,572,000 as of its most recent SEC filing.

A number of other institutional investors also recently added to or reduced their stakes in the stock. Acropolis Investment Management LLC raised its stake in CocaCola by 22.2% during the third quarter. Acropolis Investment Management LLC now owns 6,338 shares of the company’s stock worth $546,000 after acquiring an additional 1,153 shares in the last quarter. First Heartland Consultants Inc. raised its stake in shares of CocaCola by 28.1% in the third quarter. First Heartland Consultants Inc. now owns 8,512 shares of the company’s stock valued at $733,000 after acquiring an additional 1,868 shares during the last quarter. GAMMA Investing LLC boosted its holdings in shares of CocaCola by 11.3% in the 3rd quarter. GAMMA Investing LLC now owns 146,525 shares of the company’s stock worth $12,613,000 after acquiring an additional 14,819 shares in the last quarter. Allen Mooney & Barnes Investment Advisors LLC boosted its holdings in shares of CocaCola by 1.2% in the 3rd quarter. Allen Mooney & Barnes Investment Advisors LLC now owns 34,310 shares of the company’s stock worth $2,953,000 after acquiring an additional 404 shares in the last quarter. Finally, Farther Finance Advisors LLC grew its position in CocaCola by 22.4% during the 3rd quarter. Farther Finance Advisors LLC now owns 197,252 shares of the company’s stock worth $16,979,000 after acquiring an additional 36,067 shares during the last quarter. 70.26% of the stock is owned by institutional investors and hedge funds.

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

Positive Sentiment: Potential Costa Coffee sale: Coca-Cola is reportedly exploring another sale of Costa Coffee. A divestiture could generate cash, simplify the portfolio and allow management to focus on higher-priority beverage businesses, although no transaction has been announced. Coca-Cola looks to sell Costa Coffee again, Semafor reports Positive Sentiment: Healthy volume and guidance trends: Recent coverage highlights approximately 5% volume growth in the second quarter, broader gains across cases sold, pricing and operating margins, and multiple outlook increases. Coca-Cola previously beat earnings expectations, reporting $0.97 in EPS versus a $0.93 consensus estimate and $13.37 billion in revenue versus $13.17 billion expected. Coca-Cola raises its outlook Positive Sentiment: Product innovation: New zero-sugar, prebiotic and flavored soda launches—including banana-vanilla offerings—could support consumer engagement and longer-term growth as preferences shift toward “better-for-you” beverages. Coca-Cola launches new soda products Neutral Sentiment: Defensive appeal remains intact: Coca-Cola continues to attract income-focused investors because of its long dividend history, strong global distribution network and roughly 28.5% net margin. However, comparisons with PepsiCo and other consumer-staples stocks offer no clear new catalyst for KO. Three soda giants pay dividends Negative Sentiment: Valuation and execution risks: Analysts caution that KO trades above its historical average multiple, with a P/E near 26, while its cash-flow-based valuation appears close to fair value. A bearish earnings preview also points to insider selling and limited room for disappointment ahead of results. Coca-Cola Q3 earnings preview Insider Buying and Selling at CocaCola In related news, insider Bruno Pietracci sold 111,365 shares of the business’s stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $90.93, for a total transaction of $10,126,419.45. Following the completion of the transaction, the insider owned 41,365 shares in the company, 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 document filed with the Securities & Exchange Commission, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Nancy Quan sold 50,000 shares of CocaCola stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $90.39, for a total transaction of $4,519,500.00. Following the transaction, the executive vice president directly owned 223,330 shares in the company, valued at approximately $20,186,798.70. This represents a 18.29% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 926,620 shares of company stock worth $83,075,714 over the last ninety days. 0.90% of the stock is owned by corporate insiders. CocaCola Price Performance KO opened at $87.73 on Friday. The company has a fifty day moving average price of $88.00 and a two-hundred day moving average price of $82.73. 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 52 week low of $66.00 and a 52 week high of $92.49. The firm has a market capitalization of $377.48 billion, a PE ratio of 26.35, a P/E/G ratio of 3.34 and a beta of 0.32.

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, 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 company had revenue of $13.37 billion for the quarter, compared to the consensus estimate of $13.17 billion. During the same quarter in the prior year, the business posted $0.87 EPS. 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. As a group, analysts anticipate that CocaCola Company will post 3.29 earnings per share for the current year.

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

Wall Street Analyst Weigh In A number of brokerages have recently weighed in on KO. Piper Sandler restated an “overweight” rating and issued a $95.00 target price (up from $88.00) on shares of CocaCola in a research note on Wednesday, September 16th. Weiss Ratings raised shares of CocaCola from a “buy (b+)” rating to a “buy (a-)” rating in a report on Thursday, September 3rd. Evercore reaffirmed an “outperform” rating and set a $100.00 price objective (up from $88.00) on shares of CocaCola in a report on Tuesday, July 28th. Jefferies Financial Group increased their price objective on CocaCola from $95.00 to $104.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. Finally, TD Cowen lifted their target price on CocaCola from $90.00 to $100.00 and gave the company a “buy” rating in a research note on Wednesday, July 29th. One research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, CocaCola currently has a consensus rating of “Moderate Buy” and a consensus price target of $95.95.

Read Our Latest Stock Report on CocaCola

CocaCola Company Profile (Free Report)

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

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

Recommended Stories Five stocks we like better than CocaCola Want Private-Market Access to Kalshi and Polymarket? Try This ETF Levi’s Stock Dip Reveals Value Opportunity Despite Q3 Headwinds PepsiCo Stock Looks Poised to Bottom With High Yield, Deep Value Alphabet’s $1.8 Billion Black Hills Deal Powers AI Data Center Push 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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