Coca-Cola FEMSA (KOF) Stock Sinks As Market Gains: What You Should Know
Coca-Cola FEMSA (KOF) closed the most recent trading day at $88.38, moving -0.26% from the previous trading session. This move lagged the S&P 500's daily gain of 0.93%. Elsewhere, the Dow gained 0.56%, while the tech-heavy Nasdaq added 1.71%.
Coming into today, shares of the bottling company had lost 0.14% in the past month. In that same time, the Consumer Staples sector lost 4.15%, while the S&P 500 gained 4.61%.
Investors will be hoping for strength from Coca-Cola FEMSA as it approaches its next earnings release. The company is expected to report EPS of $1.33, up 20.91% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.45 billion, up 20.4% from the prior-year quarter.
KOF's full-year Zacks Consensus Estimates are calling for earnings of $5.17 per share and revenue of $13.49 billion. These results would represent year-over-year changes of +14.63% and +19.47%, respectively.
Investors might also notice recent changes to analyst estimates for Coca-Cola FEMSA. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.38% higher. Coca-Cola FEMSA is currently sporting a Zacks Rank of #2 (Buy).
Investors should also note Coca-Cola FEMSA's current valuation metrics, including its Forward P/E ratio of 17.16. This valuation marks a discount compared to its industry's average Forward P/E of 23.36.
Meanwhile, KOF's PEG ratio is currently 1.27. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Beverages - Soft drinks was holding an average PEG ratio of 2.48 at yesterday's closing price.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 25, which puts it in the top 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Coca Cola Femsa S.A.B. de C.V. (KOF) : Free Stock Analysis Report
