Market Overview

Coca-Cola Has 'Accelerated Growth Potential,' Wells Fargo Says


In a report published Thursday, Wells Fargo analyst Bonnie Herzog commented on a recent investor meeting with The Coca-Cola Co's (NYSE: KO) management team and came away "incrementally more positive" in its ability to drive accelerated top-line growth.

The analyst detailed four key takeaways from the meeting:

1. The bulk of productivity and cost savings will be reinvested to drive growth with "some incremental upside potential" to its $3 billion target.

2. Increased media spend could boost top-line growth.

3. Price and pack architecture will drive pricing power.

4. The company's equity stakes in both Monster Beverage Corp (NASDAQ: MNST) and Keurig Green Mountain Inc (NASDAQ: GMCR) provides another avenue for growth.

"Despite the challenging macro environment, we are encouraged by Coca-Cola's ability to drive incremental share gains and net price realization through its increased media spend and best-in-class price/pack architecture," Herzog wrote.

Shares are Outperform rated with a valuation range of $46 to $48 per share.

Latest Ratings for KO

Oct 2019UpgradesNeutralBuy
Oct 2019MaintainsMarket Perform
Jul 2019Initiates Coverage OnOverweight

View More Analyst Ratings for KO
View the Latest Analyst Ratings

Posted-In: Bonnie Herzog Coke soft drinksAnalyst Color Analyst Ratings


Related Articles (KO)

View Comments and Join the Discussion!

Latest Ratings

VTRArgus ResearchUpgrades
HPArgus ResearchDowngrades
FTNTBank of AmericaReiterates120.0
FTNTCowen & Co.Maintains105.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at

Report: Apple Removed Competing Fitness Bands From Website Ahead Of Watch Launch

Top Performing Industries For March 12, 2015