Business
Coca-Cola FEMSA (KOF) Gains As Market Dips: What You Should Know
Coca-Cola FEMSA (KOF) Gains As Market Dips: What You Should Know
About this update from Coca-cola Femsa Sab De Cv Units Cons Of 5 Shs -l- + 3 Shs Series -b-
Coca-Cola FEMSA (KOF) closed the most recent trading day at $81.63, moving +0.12% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.29%. Meanwhile, the Dow lost 0.55%, and the Nasdaq, a tech-heavy index, added 1.24%.Heading into today, shares of the bottling company had lost 7.26% over the past month, lagging the Consumer Staples sector's gain of 3.48% and the S&P 500's gain of 3.1% in that time.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, the Zacks Consensus Estimate for revenue is projecting net sales of $3.45 billion, up 20.4% from the year-ago period.For the full year, our Zacks Consensus Estimates are projecting earnings of $5.17 per share and revenue of $13.49 billion, which would represent changes of +14.63% and +19.47%, respectively, from the prior year.Investors should also note any recent changes to analyst estimates for Coca-Cola FEMSA. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.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 remained stagnant. Coca-Cola FEMSA is currently a Zacks Rank #2 (Buy).Digging into valuation, Coca-Cola FEMSA currently has a Forward P/E ratio of 15.78. Its industry sports an average Forward P/E of 23.24, so we one might conclude that Coca-Cola FEMSA is trading at a discount comparatively.Investors should also note that KOF has a PEG ratio of 1.17 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. The Beverages - Soft drinks industry currently had an average PEG ratio of 2.54 as o...