New Value Analysis of The Coca Cola Company (NYSE:KO) 2017
New Value Analysis of The Coca Cola Company (NYSE:KO)
A new value analysis of The Coca Cola Company (NYSE:KO), a company listed on the New York Stock Exchange, has been added to our research pages here. Coca-Cola makes a carbonated soft drink produced in Atlanta, Georgia, United States. Originally intended as a patent medicine, it was invented in the late 19th century by John Pemberton.
KO is one of those stocks that can form the cornerstone of an investment portfolio for value investors. The dividend and earnings record is so good that the only thing a value investor really has to worry about is the price that is paid to get access to the dividend stream and earnings potential of KO.
Therefore, when the current price is about 30 times reported earnings in the 2016 Annual Report it looks as if KO is expensive. Buying common stocks when they are expensive makes it very difficult to make money from capital growth. The dividend yield at around 3.2% is reasonable, but not great.
To buy KO at the current price requires an intention to hold the stock for a long period – ideally forever.
The more advanced or entrepreneurial value investor can make a judgement about the company’s return on equity number, which is excellent now and has been excellent for quite a long time.
To find out why a value investor would consider an investment in Coca Cola common stock click here to download the new analysis.
OR
Click the button below to review options on becoming a member.
Free sample
For a free sample of the type of analysis you get from our reports please click Apple Inc or download the PDF on the link below.
[smlsubform prepend=”To receive updates when we add content to our website please use this form to register your e-mail”]
