CocaCola (NYSE:KO) Posts Earnings Results, Beats Estimates By $0.03 EPS

CocaCola (NYSE:KO) released its quarterly earnings results on Tuesday. The company reported $0.91 earnings per share for the quarter, topping the consensus estimate of $0.88 by $0.03, Zacks reports. CocaCola had a net margin of 28.56% and a return on equity of 39.38%. The company’s revenue was up 7.2% on a year-over-year basis. During the same period in the previous year, the company earned $0.82 EPS.

Here are the key takeaways from CocaCola’s conference call:

• Coca-Cola reported a strong third quarter, with 5% unit case growth, 7% organic revenue growth, and 11% comparable EPS growth. Comparable gross and operating margins expanded, while the company said it gained value share for the 22nd consecutive quarter.
• Management raised its full-year 2026 outlook, now expecting at least 5% organic revenue growth, 11% comparable EPS growth, and $13 billion in free cash flow. The company cited strong underlying performance, working-capital improvements, and a strengthened balance sheet.
• Growth is increasingly reliant on affordability initiatives, zero-sugar offerings, digital execution, and local market activation as consumers remain value-conscious. Pricing contributed four points, but unfavorable mix reduced price-mix growth to just 1%, while logistics and transportation costs are adding pressure.
• Coca-Cola expects the planned refranchising of Coca-Cola Beverages Africa to create an 8-point comparable revenue headwind and a 2-point EPS headwind in 2027, despite anticipated margin and return-profile benefits. Management also expects slight currency headwinds next year and acknowledged ongoing consumer and restaurant-industry weakness in several markets.

CocaCola Price Performance

NYSE:KO traded down $0.41 during mid-day trading on Tuesday, reaching $92.29. The stock had a trading volume of 3,644,418 shares, compared to its average volume of 16,856,510. CocaCola has a one year low of $67.27 and a one year high of $95.37. The company has a debt-to-equity ratio of 0.97, a quick ratio of 1.12 and a current ratio of 1.30. The firm has a 50 day moving average price of $89.11 and a two-hundred day moving average price of $81.49. The stock has a market capitalization of $397.07 billion, a P/E ratio of 27.81, a P/E/G ratio of 3.61 and a beta of 0.32.

CocaCola Announces Dividend

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

Wall Street Analysts Forecast Growth

KO has been the subject of several research analyst reports. DZ Bank reissued a “buy” rating on shares of CocaCola in a research note on Wednesday, July 29th. Jefferies Financial Group upped their target price on CocaCola from $95.00 to $104.00 and gave the stock a “buy” rating in a research note on Wednesday, July 29th. Rothschild & Co Redburn raised their price target on CocaCola from $86.00 to $92.00 and gave the company a “buy” rating in a report on Wednesday, July 29th. JPMorgan Chase & Co. dropped their price target on CocaCola from $96.00 to $95.00 and set an “overweight” rating for the company in a research report on Monday, September 28th. Finally, Barclays lifted their price target on CocaCola from $93.00 to $98.00 and gave the company an “overweight” rating in a research report on Friday, October 16th. One research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $96.59.

Insider Activity

In related news, insider Bruno Pietracci sold 111,365 shares of the stock in a transaction 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 transaction, the insider owned 41,365 shares of the company’s stock, valued at approximately $3,761,319.45. This trade represents a 72.92% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 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 CocaCola 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 completion of the transaction, the chief financial officer owned 279,917 shares in the company, valued at approximately $24,439,553.27. The trade was a 35.26% decrease in their position. 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 469,753 shares of company stock valued at $41,968,942. Insiders own 0.90% of the company’s stock.

CocaCola News Summary

Here are the key news stories impacting CocaCola this week:

• Positive Sentiment: Earnings and revenue beat expectations: Coca-Cola reported adjusted EPS of $0.91, above the $0.88 consensus estimate, while revenue increased 7.2% year over year. Higher product volumes and pricing helped drive the stronger results. Coca-Cola Raises Outlook as Increased Volumes, Prices Boost Results
• Positive Sentiment: Full-year outlook raised: Management now expects comparable EPS growth of at least 11% in 2026, up from its prior forecast of 9% to 10%. The increase reflects resilient demand for zero-sugar sodas, premium beverages and other products. KO Stock Rises as Coca-Cola Raises 2026 Outlook
• Positive Sentiment: Momentum extends beyond core soda: Analysts and investors are highlighting volume growth, premium drinks and sports beverages such as Powerade, with major marketing opportunities including the FIFA World Cup potentially supporting demand. Coca-Cola’s Sports Beverage Portfolio
• Neutral Sentiment: Defensive appeal remains strong: KO is a Dividend King with more than five decades of payout increases, and its low beta may continue attracting investors seeking stability. However, its roughly 2.2% yield is substantially below PepsiCo’s approximately 4.3% yield. Coca-Cola Versus PepsiCo Dividend Yield
• Negative Sentiment: Valuation raises the bar: After a roughly 30%-plus rally and a new all-time high, KO trades at an elevated valuation, with a P/E near 28 and a PEG ratio above 3.6. Investors may be vulnerable to a pullback if upcoming results fail to sustain the upgraded growth expectations.

About CocaCola

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.