Research

KO – Market expectations are for record-high Uniform ROA, and management is confident about their momentum, EPS, and market opportunities

  • The Coca-Cola Company (KO:USA) currently trades above corporate averages relative to UAFRS-based (Uniform) Earnings, with a 30.6x Uniform P/E, implying bullish expectations for the firm, and management is confident about their momentum, EPS growth, and market opportunities
  • Specifically, management is confident there has been good momentum through the first half of the year, and they are confident they have seen 3% EPS growth so far. Furthermore, they are confident in the market opportunity they see for expanding into developing countries and that industry investments have led to stronger customer demand. Finally, they are confident they are gaining market share across several categories in North America, and they are confident they are seeing improving trends in their vending channel.