Coca-Cola (KO) closed at $68.44 in the latest trading session, marking a +1.26% move from the prior day. The stock outperformed the S&P 500, which registered a daily gain of 0.53%. Elsewhere, the Dow saw an upswing of 0.52%, while the tech-heavy Nasdaq appreciated by 0.52%.
The world's largest beverage maker's shares have seen an increase of 1.7% over the last month, surpassing the Consumer Staples sector's loss of 1.68% and the S&P 500's gain of 0.71%.
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 21, 2025. In that report, analysts expect Coca-Cola to post earnings of $0.78 per share. This would mark year-over-year growth of 1.3%. In the meantime, our current consensus estimate forecasts the revenue to be $12.43 billion, indicating a 4.87% growth compared to the corresponding quarter of the prior year.
KO's full-year Zacks Consensus Estimates are calling for earnings of $2.97 per share and revenue of $48.42 billion. These results would represent year-over-year changes of +3.13% and +2.9%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Coca-Cola. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.16% lower within the past month. Currently, Coca-Cola is carrying a Zacks Rank of #4 (Sell).
In terms of valuation, Coca-Cola is currently trading at a Forward P/E ratio of 22.75. This indicates a premium in contrast to its industry's Forward P/E of 18.11.
Meanwhile, KO's PEG ratio is currently 3.52. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. KO's industry had an average PEG ratio of 2.55 as of yesterday's close.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 205, which puts it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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CocaCola Company (The) (KO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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