KO · NYSE
The Coca-Cola Company
$85.82Close 7 Oct 2026
Consumer staples · United States · Market cap ≈ $370.2B
Coca-Cola sells concentrate and syrups to bottling partners around the world, who make and distribute the drinks. It owns brands such as Coca-Cola, Sprite, Fanta and fairlife.
Why it's here: Berkshire Hathaway has owned it since 1988. A slow grower with one of the strongest brands in the world.
KO vs S&P 500
Price only, USD. S&P 500 in USD. S&P 500 +69%.
A solid business with a few dents. The checks below show where.
Return on capital
14.6%Good
Every 100 it keeps earns about 15 a year. Solidly above average.
Free cash flow
25.5%Great
Real cash left over in 10 of the last 10 years. About 25 of every 100 in sales becomes real cash.
Consistent growth
+7.8%/yrGood
Sales per share grew 8% a year over 5 years.
Margins
28.7%Great
Keeps 29 of every 100 in sales as operating profit, rising. That is pricing power.
Debt
2.1× profitsGood
Debt equals about 2.1 years of profits. Manageable.
Buybacks vs dilution
0%/yrGood
Share count is flat. No quiet dilution.
Red flags
Profits are on paper: less cash comes in than the income statement claims.
Where the money goes · FY2025
Where the money comes from
- Concentrate sold to bottlers59%
- Finished drinks41%
- Revenue$47.9B
- Cost of sales$18.4B38%
- Gross profit$29.5B62%
- Sales, admin & other$15.8B33%
- Other income$2.2B5%
- Operating profit$13.8B29%
- Tax$2.9B6%
- Net profit$13.1B27%
Return on capital
Margins
Shares outstanding
What it does with the cash
FY2025: 180% of free cash flow went back to owners.
Balance sheet · 3 Apr 2026
- Buy below
- $40.91
- Fair value
- $58.44
- Price
- $85.82
Today's price only works if earnings grow ~11% a year for a decade. The past 5 years delivered 8%.
The quick check
27× earnings for 15% returns on capital. The math is against you.
Five ways to value it
Price $85.82
Marketdaddy fair value
$58.44
Steady earnings × 18.4
32% below the price
Scenario range
$38.75 – $106.02
Bad case to good case
16% below the price
Graham number
$23.60
Graham's ceiling for careful investors
72% below the price
Lynch fair value
$34.93
Earnings × 11% growth
59% below the price
No-growth value
$31.76
If it never grows again
63% below the price
When most lenses sit far below the price, the market is betting on growth the past hasn't shown yet.
Margin: default until you answer question 03.
How the multiple is built
Your scenarios
Your turn. Drag the assumptions.
If it goes as expected
$69
The market does 8 to 10% a year. Ask more and every price gets stricter.
Your weighted fair value
$71
Today $86
A great price: below $49. That is your fair value minus a 30% safety cushion (default until you answer question 03).
Not there today. Add it to your watchlist with an alert at $49 and let the price come to you.
Some good years, some bad — sales rose in 6 of 9 years. Predicting this takes real knowledge.
A tight band. Boring — which is good.
Worth knowing
Your call
Only you know what you really understand.
Could you explain how it makes money in one minute?
If you can't, you're guessing.
Do you know this world from your job or daily life?
A doctor reads medical companies better. A builder reads housing better. That is your edge.
Will people still need this in ten years?
Cars will still crash. People will still snore. Will this still be needed?
Do you know what could kill it?
A competitor, a new technology, a law. If you can name the danger, you can watch it.
Answer all four. Your safety margin in question 02 moves with you.
Revenue per share, up or down
Up in 6 of 9 years.
Where the growth came from · 2023–2025
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Sources
Figures from the 10-K for FY2025, filed with the SEC on 20 Feb 2026. Trailing twelve months to 3 Apr 2026. Open the report
Monthly closing prices to 7 Oct 2026, adjusted for splits.
Marketdaddy does not own Coca-Cola. This is not investment advice.