Coca-Cola's 30 Billion-Dollar Brands: Can They Keep The Momentum?

Coca-Cola just flexed its portfolio muscle—30 billion-dollar brands backing the company’s growth engine. That’s almost a quarter of ALL billion-dollar beverage brands out there. Not bad.

What’s interesting: KO is actually outperforming. Stock’s up 16.6% YTD vs. the industry’s 7.1%. But here’s the catch—it’s trading at 22.7X forward P/E, sitting above the industry average of 18.02X. Premium valuation alert 🚨

The growth story? Modest. Consensus estimates project 3.5% EPS growth in 2025, then bumping to 8% in 2026. So the market’s pricing in some upside, but it’s not screaming “explosive growth.”

Coca-Cola’s plays are solid though—Fanta’s Halloween collab with Universal, Sprite + Tea in North America, BACARDÍ mix launches in Europe. Smart marketing, solid execution. But PepsiCo (with its snacks + beverages combo) and Monster Energy (dominating the energy drink space) are nipping at the heels.

Bottom line: Coca-Cola’s brand portfolio is a moat, but valuations are getting stretched. Growth is real but incremental. Zacks rates it a Hold (#3 Rank). Not a screaming buy, but not a disaster either.