In the latest trading session, Coca-Cola FEMSA (KOF) closed at $83.64, marking a -0.08% move from the previous day. This change was narrower than the S&P 500's 0.21% loss on the day. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, lost 0.64%.
Coming into today, shares of the bottling company had gained 10.76% in the past month. In that same time, the Consumer Staples sector gained 6.42%, while the S&P 500 gained 7.71%.
Investors will be hoping for strength from Coca-Cola FEMSA as it approaches its next earnings release. On that day, Coca-Cola FEMSA is projected to report earnings of $1.04 per share, which would represent year-over-year growth of 55.22%. Our most recent consensus estimate is calling for quarterly revenue of $2.98 billion, up 19.5% from the year-ago period.
KOF's full-year Zacks Consensus Estimates are calling for earnings of $4.86 per share and revenue of $12.8 billion. These results would represent year-over-year changes of +7.76% and +13.35%, respectively.
Investors might also notice recent changes to analyst estimates for Coca-Cola FEMSA. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 1.67% higher within the past month. Coca-Cola FEMSA is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Coca-Cola FEMSA is holding a Forward P/E ratio of 17.22. This represents a discount compared to its industry's average Forward P/E of 24.91.
Investors should also note that KOF has a PEG ratio of 1.44 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Beverages - Soft drinks stocks are, on average, holding a PEG ratio of 2.95 based on yesterday's closing prices.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 29, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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