Fundamental analysis · SEC EDGAR · TTM through 03/04/2026

Fundamental analysis of Coca Cola Co

KO · NYSE · Consumer

Fundamental quality

ATTRACTIVE

83

out of 100

Coca Cola Co fits the profile of a quality compounder: it pairs high return on capital (ROE 40.7%) with wide margins (net margin 27.8%) and a business that keeps growing (7.9% a year). On fundamental quality it scores 83 out of 100, profiling it as a company with solid fundamentals. Its weakest area is its growth (revenue +7.9%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

Coca-Cola is the world's largest beverage company. It sells concentrates and brands (Coca-Cola, Fanta, Sprite, waters, juices) that local bottlers distribute. Its value lies in the strength of its brands and its global distribution.

What will shape its future

  • Its brand power to raise prices without losing sales, key during inflation.
  • The consumer shift toward healthier, lower-sugar options.
  • Its currency exposure, since it sells worldwide and reports in dollars.

Breakdown by area

I.Growth
59

EPS growth: 11.5% · Revenue growth: 7.9%

II.Profitability
93

Net margin: 27.8% · ROE: 40.7% · ROIC: 19.4%

III.Financial health
84

Net debt/EBITDA: 1.84x · FCF: 25.5%

Source: SEC EDGAR · TTM through 03/04/2026

The score includes +4 for dividend strength: 64 consecutive years of increases. Keeping that streak demands growing cash generation and balance-sheet discipline.

The score combines growth, profitability and financial strength. Here its profitability weighs in its favor, while its growth drags it down the most.

Versus its sector

Percentile against the other 98 Consumer companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 98%
ROEbeats 84%
Growthbeats 52%
Cash generationbeats 96%
Less debtbeats 43%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Coca Cola Co strengths

  • Excellent free-cash-flow generation (FCF margin of 25.5%): profit turns into real cash.
  • High gross margin (61.7%), pointing to pricing power.
  • Exceptional net margin (27.8%), high even for its sector: the business is clearly profitable.
  • Reasonable return on capital: its ROE (40.7%) is inflated by buybacks, but ROIC —which strips that out— is 19.4%.

Coca Cola Co risks and weaknesses

  • No clear weaknesses in the recent fundamentals, though the system doesn't assess qualitative factors (competition, regulation, management).

Coca Cola Co historical evolution

YearRevenueNet incomeFree cash flowNet debt
202033,0147,7478,66733,815
202138,6559,77111,25829,770
202243,0049,5429,53427,257
202345,75410,7149,74728,141
202447,06110,6314,74131,547
202547,94113,1075,29631,849

Between 2020 and 2025, revenue went from $33,014M to $47,941M (+45%) and net income went from $7,747M to $13,107M (+69%). Meanwhile, its margins have widened (from 23% to 27%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the quarter ended April 3, 2026, versus the quarter ended March 28, 2025 (SEC filings):

  • Revenue+12.1%
  • Net income+17.8%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$2.04

per share, yearly

67% of earnings

Payout

64 straight years raising it

Growth

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is Coca Cola Co cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Coca Cola Co a good company to invest in?

In terms of business quality, Coca Cola Co scores 83 out of 100 in our analysis, placing it as a company of high fundamental quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Coca Cola Co a profitable company?

Very. Coca Cola Co shows a net margin of 27.8% and an ROE of 40.7%, typical of a highly profitable business.

Does Coca Cola Co have a lot of debt?

A moderate level: its net debt is 1.84 times its EBITDA.

Is Coca Cola Co growing?

Its revenue has grown 7.9% annualized in recent years and its earnings per share 11.5%, and without interruption since 2020.

Does Coca Cola Co generate cash?

Yes. It converts about 25.5% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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