Key Highlights:
- Coca-Cola has raised its quarterly dividend for the 63rd year, reinforcing its Dividend King status.
- The stock offers a forward dividend yield of 2.94%, attracting legendary investor Warren Buffett (Trades, Portfolio)'s interest.
- Analysts predict a modest upside of 6.46% based on current price targets.
Coca-Cola's Persistent Dividend Growth
Coca-Cola (KO, Financial) remains a beacon for dividend investors by marking its 63rd consecutive year of dividend increases, with a recent surge of 5.2%. This accomplishment firmly establishes its reputation as a Dividend King. The company's forward dividend yield stands at an impressive 2.94%, capturing the attention of prominent investors like Warren Buffett (Trades, Portfolio). Although Buffett has cherished Coca-Cola since 1988, he has refrained from expanding his stake, potentially due to valuation concerns as the shares are priced at 23.3 times forward earnings.
Wall Street Analysts' Perspective
According to projections from 25 analysts, the average one-year price target for Coca-Cola Co (KO, Financial) is $74.92, with estimates ranging from a high of $85.00 to a low of $59.60. This range suggests a potential upside of 6.46% from the present price of $70.37. Investors can find more comprehensive estimate data on the Coca-Cola Co (KO) Forecast page.
Brokerage Firm Recommendations
Consensus from 28 brokerage firms gives Coca-Cola Co (KO, Financial) an average recommendation of 2.0, indicating an "Outperform" status. This rating operates on a scale from 1 to 5, with 1 representing a Strong Buy and 5 signifying a Sell.
GuruFocus Valuation Analysis
According to GuruFocus's calculations, the estimated GF Value for Coca-Cola Co (KO, Financial) over the next year is $68.79, indicating a potential downside of 2.25% from the current price of $70.37. The GF Value represents GuruFocus' derived fair value of the stock, calculated using historical trading multiples, past growth trends, and future performance predictions. Investors can delve into detailed data on the Coca-Cola Co (KO) Summary page.
