Coca-Cola-In Business Forever

Coca-Cola is an American multinational beverage corporation that primarily produces soft drinks. The secret formula which has changed several times was originally developed by John Stith who sold it to businessman Asa Griggs Candler ,an American Business Tycoon responsible for the creation of the Coca-Cola Company as we know it.Coca-Cola changed hands again in 1919 from Candler to Ernest Woodruff who finally took the company public in the same year with an initial price of 40$ per share.

Coca-Cola currently trades at 54-56$ with a market cap of 240B $.Coca-Cola is almost a staple food item and is considered to have oligopoly in the soft drink market.They have a stronghold on the market which ensures constant growth and less volatility.Coca-Cola is considered a safe stocks as even amidst the pandemic Coca-Cola stocks stayed fairly consistent and did not take as big of a hit as other sector stocks did.

Coca-Cola has a rising stock price with a median target of 63.00, with a high estimate of 67.00 and a low estimate of 55.00. The median estimate represents a +14.28% increase from the last price of 55.13.Coca-cola has a saturated market share which is highlighted by a diminishing sales growth from 15.60% to a predicted sales growth of 5.60%.Coca-Cola has never been subject to price shocks and is always consistent in their performance.

Coca-Cola represents a majority portion of the beverage sector globally and has been extremely active in takeovers of competing beverage brands.One great example would be the the acquisition of Bodyarmor for 5.6B $ which was a growing company that would have posed a big threat to the Coca-Cola legacy.Coca-Cola is preferred heavily by value investors as it has been a company of strong fundamentals with consistent performance and returning customers.They have seen a constant demand in the market but this soon might change.With increasing health consciousness amongst all sections of the society and bans by certain governments, the company does face some objections to their products.Rising beverage brands that provide a healthy alternative to soft drinks are also a threat to the empire but Coca-Cola is active in their approach in dealing with such companies and more than often acquires them.They have always been showcased as unhealthy which has caused a reduction in the beverage industry as a whole.Coca-Cola has also been involved in many controversies such as the Colombian death-squad allegations where they were accused of using political far-right wing death squads to kill Colombian bottle workers who were associated with trade union activity.Coca-Cola also faces heavy criticism in their use of plastic which is highlighted from the fact that BreakFreeFromPlastic named Coca-Cola the single biggest plastic polluter in the world.Although Coca-Cola faces heavy criticism from all agencies and organisations, it still has enough demand to be successful and is currently developing a new formula that does not compromise on the flavour of their beverage but reduces the harmful effects of the beverage.It represents a winning proposition for investors as they have been giving quarterly dividends for the past 21 years and provide steady returns thereby safeguarding the investment.