# The Coca-Cola Company (KO) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Defensive / Beverages. Price $88.07, market value $378.9 billion.

## Valuation
- **P/E (trailing): 26.4×** (5-yr avg 23.7×, 3-yr avg 23.0×). The Coca-Cola Company trades at 26.4× trailing earnings, close to its own five-year average of 23.7×. The Consumer Defensive median in the September 2026 study was 20.1×. Forward P/E is 25.0×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 1.06**. A PEG of 1.06 is in the range usually read as fairly priced for its growth.
- **Price / sales: 7.6×**. Each dollar of revenue is priced at 7.6×.
- **Price / book: 10.5×**. The shares trade at 10.5× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 24.2×**. Enterprise value is 24.2× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 3.8%** (5-yr avg 3.3%). Free cash flow equals 3.8% of the market value, in line with its five-year average of 3.3%.
- **Earnings yield: 3.8%**. The inverse of the P/E: 3.8% of the price is earned each year.

## Profitability
- **Gross margin: 61.9%**. The Coca-Cola Company keeps 61.9% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 29.7%**. 29.7% of revenue is left after running the business, an exceptional level.
- **Net margin: 27.3%**. 27.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 40.7%**. 40.7% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 17.9%**. Return on all capital, debt included, is 17.9%: comfortably above what that capital costs.
- **Return on assets: 13.7%**. Each dollar of assets produces 13.7% of profit.

## Growth
- **Revenue growth (1 yr): 1.9%** (3-yr 3.7%/yr, 5-yr 7.7%/yr). Revenue grew 1.9% over the last year, against 7.7% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 23.6%** (3-yr 11.6%/yr, 5-yr 11.2%/yr). Earnings per share rose 23.6%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): -17.8%/yr**. Free cash flow has compounded at -17.8% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 1.37**. Debt is 1.37 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 2.0×**. It would take 2.0 years of operating earnings to repay net borrowings, within the comfortable range.
- **Current ratio: 1.46** (quick 1.46). Current assets cover the next year's liabilities 1.46 times.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 2.41%** ($2.08 per share, trailing). The Coca-Cola Company yields 2.41%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 67%** (77% of free cash flow). 67% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 23**. 23 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 4.5%/yr** (1-yr 5.2%). The dividend has grown 4.5% a year over five years.

## Analyst view
- **Analyst consensus: buy** (23 analysts). 23 analysts cover The Coca-Cola Company; the consensus is buy, with an average price target of $94.70 (+8% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 32.7%** (YTD 27.7%, 3-mo 11.5%). The shares are up 32.7% over twelve months including dividends.
- **From 52-week high: -4.8%** (34.8% above the low). Trading within 5% of its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 50**. An RSI of 50 is neutral.
- **Beta (1 yr): -0.25** (volatility 19%). Beta of -0.25 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=KO · Page: https://foliofundamentals.com/stocks/ko

Not investment advice.