Wang & Lee Group board approves 250-to-1 reverse share split
On Tuesday, Barclays (LON:BARC) expressed continued confidence in Coca-Cola (NYSE:KO) by maintaining an Overweight rating and a $73.00 price target, positioning the stock near its 52-week high of $74.38. The affirmation comes despite a slight downward revision in the company’s full-year forecast for earnings per share (EPS) on a constant currency basis. InvestingPro data reveals that analysts maintain a strong buy consensus, with price targets ranging from $59.60 to $85.00.
The analyst noted that Coca-Cola remains a popular choice among investors and anticipates that the recent financial update will further solidify its standing. The company’s organic revenue growth was reported at 6%, which, adjusted for concentrate shipment timing, aligns closely with the market’s expectation of 5%. With an impressive gross profit margin of 61.06% and a market capitalization of $310.16 billion, Coca-Cola continues to demonstrate its market leadership position.
Despite facing potential consumer boycotts, Coca-Cola’s North American business experienced softer volume growth than anticipated. However, the impact was offset by a robust price and product mix, continuing a trend observed over previous quarters. The company’s financial resilience is reflected in its "GOOD" Financial Health score from InvestingPro, which offers comprehensive analysis of 1,400+ top stocks through its Pro Research Reports.
Asia Pacific operations, particularly in India and China, delivered strong performance with a 6% increase in unit case volume. The company’s effective marketing initiatives in these regions were highlighted as a key factor in this success.
Coca-Cola’s financial outlook has been slightly impacted by a 1% reduction in the forecast for FXN EPS for the year. However, the analyst pointed out that tariffs mentioned in the company’s release are considered manageable. Additionally, no definitive pricing strategies have been established within the U.S. System at this time.
Investors may find reassurance in these insights as Coca-Cola navigates the current economic landscape while continuing to demonstrate resilience in key markets. The company’s impressive dividend track record, having raised dividends for 54 consecutive years, further reinforces its stability. The company’s stock price target at Barclays remains unchanged, reflecting a positive outlook on its financial health and market position, though InvestingPro analysis suggests the stock is currently trading above its Fair Value.
In other recent news, Coca-Cola reported its first-quarter earnings for 2025, showing a slight beat on earnings per share (EPS) but a miss on revenue expectations. The company posted an EPS of $0.73, surpassing the forecast of $0.72, while its revenue of $11.1 billion fell short of the anticipated $11.2 billion. Despite the revenue miss, Coca-Cola achieved a 6% organic revenue growth, driven by a 5% price-mix growth. The company maintained its 2025 guidance, projecting organic revenue growth of 5-6% and comparable currency-neutral EPS growth of 7-9%. Analysts from Morgan Stanley (NYSE:MS) and Bank of America discussed the challenges Coca-Cola faces, including consumer sentiment in North America and geopolitical tensions affecting performance in Mexico. The company also highlighted strong performance in the Asia Pacific region, particularly in India and China, where volume growth reached 6%. Coca-Cola’s management emphasized innovation in wellness and functional beverages as a key growth driver, addressing inquiries about market challenges and margin sustainability.
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