With a legacy spanning over a century, the beverage giant Coca Cola has become a household name for all generations. With a lasting impression on the hearts and taste buds of people all over the world, it also holds immense financial significance in the market. In this article, we delve into Coca Cola net worth, stock price, and valuation.
Coca Cola Net Worth, Stock Price, Revenue
Coca Cola Net Worth, Stock Price, Revenue
Over the course of more than a century, Coca Cola Company has consistently satisfied customers’ thirst by offering a diverse range of products, including its famous cola drink, various juices, waters, soft drinks, and sports drinks. As a result, it has established a globally recognized brand and expanded into a formidable empire. Those who have been long-term investors in Coca Cola stock have enjoyed substantial returns on their investment.
Source: Coca Cola Income Statement
About Coca Cola
Coca Cola is an American corporation established in 1892. It is primarily involved in producing and selling syrup and concentrate for Coca-Cola, a popular sweetened carbonated beverage that has become a cultural icon in the United States and a global representation of American preferences. Apart from this, the company also manufactures and sells various soft drinks and citrus beverages. With a wide array of over 2,800 products available in more than 200 countries, Coca Cola holds the title of the world’s largest beverage manufacturer and distributor. It is one of the major corporations in the United States and is renowned as one of the most successful brands in the history of marketing.
In July 1886, John Stith Pemberton, a pharmacist from Columbus, Georgia, developed the initial Coca Cola beverage. Originally intended as a remedy for headaches, it was initially available as a syrup in pharmacies. Over time, as the company gained popularity, they began producing it in the form of a carbonated drink.
Coca Cola Net Worth
The beverage company has established a strong foothold in the beverage industry, contributing to its impressive net worth. As per the latest reports, Coca Cola net worth stands at $265 billion in 2023. This value reflects the company’s extensive assets, brand equity, and market capitalization. Coca Cola, with its long-standing reputation, has been a favored choice for investors. The stock has demonstrated resilience and consistent growth, attracting both short-term and long-term investors.
Coca Cola Valuation
With a market capitalization of $267.95 billion, Coca Cola holds the 32nd position among the world’s most valuable companies. Coca Cola valuation reflects the market’s perception of its future potential and the overall financial health of the business. The company’s market value is influenced by various factors, including its net worth, revenue, and market position. Coca Cola’s enterprise value was $290.36 billion as of May 26, 2023.
Coca Cola Revenue
Net revenues of the company increased by 6% to reach $12 billion, with organic revenues (non-GAAP) experiencing even stronger growth at 11%. Coca Cola revenue growth was driven by a 10% increase in price/mix and a 1% rise in concentrate sales. Concentrate sales outperformed unit case volume by 1 percentage point, primarily attributed to the timing of concentrate shipments.
EPS (Earnings per share) experienced a remarkable 34% growth, reaching $0.59, while comparable EPS (non-GAAP) also showed solid growth of 11%, amounting to $0.78. This growth in comparable EPS was achieved despite a 6-point currency headwind impacting the performance.
Cash flow from operations for the year-to-date period amounted to $4.6 billion, showing an increase of $83 million compared to the previous year. This improvement was primarily driven by strong business performance and effective working capital initiatives. However, there was a partial offset due to a transition tax payment made during the second quarter. On the other hand, free cash flow (non-GAAP) for the year-to-date period amounted to $4.0 billion, which represented a decrease of $45 million compared to the previous year.
Coca Cola Stock Price and Market Share
Coca Cola’s current stock price is 61.69 USD, which represents a decrease of 0.27 USD (0.44%) from its previous value. According to various predictions, the company’s 12-month share price forecast has a median target of 71.00, ranging from a high estimate of 76.00 to a low estimate of 63.00. This median estimate suggests a potential increase of approximately 14.59% from the last recorded price of 61.96.
The company’s value share in the nonalcoholic ready-to-drink (NARTD) beverages increased, and Coca Cola now commands a significant 43.7% market share of global sales in the non-alcoholic beverage industry.
Owner Net Worth
James Quincey, the current Chairman and CEO of The Coca Cola Company, has a long history with the company, starting in 1996 and holding various leadership positions worldwide. He took on the role of CEO in 2017 and later became Chairman of the Board in 2019.
Under Quincey’s leadership, Coca Cola has been undergoing a transformation into a total beverage company, expanding its product offerings beyond traditional soft drinks. Prior to becoming CEO, he served as the President and Chief Operating Officer of the company from 2015 to 2017. Quincey is actively engaged in various industry and corporate boards, including co-chairing The Consumer Goods Forum and being a founding member of the New York Stock Exchange Board Advisory Council. Additionally, he serves as a director of Pfizer Inc.
He is bilingual, fluent in both English and Spanish, and earned a bachelor’s degree in electronic engineering from the University of Liverpool. Before joining Coca Cola, Quincey was involved in strategy consulting as a partner at The Kalchas Group, which originated from Bain & Company and McKinsey. Originally from Britain, James Quincey currently holds approximately 493,528 shares of Coca Cola Co (KO) stock, valued at over $30 Million, making his estimated net worth at least $30 Million as of 2023.
Mergers and Acquisitions
Coca Cola Company boasts a diverse portfolio of over 500 individual brands across the globe. These brands were obtained through various means, including new product development and strategic mergers, acquisitions, and partnerships with other major companies.
Here are some significant mergers and acquisitions in the company’s history:
- In 1960, Coca Cola acquired Minute Maid, a well-known producer of juices, soft drinks, and popular beverages like Hi-C.
- In 1993, facing challenges in the Indian market, the company purchased the local brand Thums Up, which now accounts for over 40 percent of the cola business in India.
- In 1999, Coca Cola acquired 50 percent of Inca Kola for $200 million, gaining control of its marketing and bottling operations.
- In 2008, the company purchased 40 percent of Honest Tea, an acclaimed iced tea producer, and eventually obtained full ownership in 2011.
- In 2014, it acquired 16.7 percent of Monster Beverage, a prominent energy drink manufacturer, forming a long-term strategic partnership.
- In 2018, Coca Cola acquired Costa Coffee, becoming the owner of the second-largest coffeehouse chain worldwide, just behind Starbucks Coffee.
Coca-Cola Foundation donates 1 percent of its annual operating profits to various charitable causes. The foundation is committed to supporting essential principles such as education, recycling, entrepreneurship, conservation, and youth development. Since its inception, the foundation has contributed over $800 million to philanthropic initiatives.
Also Read: BYJU’S Net Worth, Share Price, Valuation
Coca Cola’s immense net worth indicates its financial strength and market dominance. As the company continues to innovate and expand its product offerings, its valuation is expected to remain robust.
Source: Coca Cola Revenue