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The Coca-Cola Company (COLA) Fair Value & Analysis

Financial Services · CA · Market cap C$487B

TC The Coca-Cola Company COLA · NEO
PriceC$27.96
Fair ValueC$10.91
Upside-61.0%
Quality65/100
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Mixed Growth
Highly profitable · 27.8% net margin
Moderate debt · generates free cash flow
7.22% dividend yield
Mixed vs. peers (7/12)
Wide moat 75/100
Evidence: High Range C$5.79 – C$13.82 Share as image

Fair value as of: Jul 15, 2026

From 25 valuation models · updated 26 days ago

Share price −1.0% over the past month.

A solid business, but screening 61% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (C$13.82). The favourable scenario is already priced in.
  • Solid but not exceptional quality (65/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (C$5.79 to C$13.82) leaves room in how you read the outcome.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (4 years)

C$29.31 C$18.04 Fair Value C$10.91 Jul 2022 Jun 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 15, 2026.

How to read this chart

47‑month range C$18.04 – C$29.31 · fair‑value band C$5.79 – C$13.82 · the C$27.96 price screens above the C$10.91 fair value. Dashed = 300-day average. As of Jul 15, 2026.

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Analysis

The Coca-Cola Company (COLA) currently trades at C$27.96, while our model-based Fair Value estimate is C$10.91, implying the stock looks roughly 61.0% overvalued today. The Quality Score stands at 65/100 (solid quality), in the Financial Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, The Coca-Cola Company generated revenue of C$49.3B at a net margin of 27.8%. Revenue grew 12.1% year over year. It earns a return on equity of 43.4%. Net debt stands at C$35.2B. Fundamentals as of Jul 15, 2026

Our scenario range runs from C$5.79 (bear case) to C$13.82 (bull case); at C$27.96, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 5% below its 52-week high and 21% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -61% fair-value upside, at -61%, COLA screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF C$1.87 C$3.59 C$6.10 80
Residual Income C$5.18 C$6.44 C$34.78 76
Rev-Margin DCF C$1.23 C$2.92 C$4.75 74
All 25 models by family
DCF Models
FCF DCF C$1.75 C$3.61 C$6.45 38
Owner Earnings C$6.49 C$10.72 C$17.16 31
5Y Revenue Exit C$1.23 C$2.88 C$4.91 39
5Y EBITDA Exit C$4.84 C$9.36 C$14.50 41
5Y P/E Exit C$6.64 C$12.60 C$18.65 38
10Y Revenue Exit C$1.29 C$2.83 C$4.75 36
10Y EBITDA Exit C$3.70 C$7.34 C$11.97 37
10Y P/E Exit C$4.86 C$9.59 C$15.10 35
Earnings-Based
Graham-Dodd C$5.50 C$13.77 C$17.87 54
PEG = 1.0 C$2.52 C$3.60 C$4.69 46
EPV C$5.30 C$6.58 C$7.72 59
Dividend Discount
Gordon GGM C$5.21 C$10.21 C$17.89 70
DDM Multi-Stage C$5.21 C$8.04 C$11.25 61
Multiples
P/E Multiple C$12.73 C$16.97 C$21.22 63
P/S Multiple C$3.55 C$4.73 C$5.91 58
P/B Multiple C$8.18 C$10.91 C$13.64 55
EV/EBIT C$9.76 C$13.67 C$17.57 53
EV/EBITDA C$7.63 C$10.83 C$14.03 54
EV/Revenue C$1.14 C$2.47 C$3.80 43
Asset-Based
NCAV (Graham) C$0.9900 C$1.33 C$1.98 50
Growth DCF
Growth DCF C$1.87 C$3.59 C$6.10 80
Rev-Margin DCF C$1.23 C$2.92 C$4.75 74
Economic Profit
Residual Income C$5.18 C$6.44 C$34.78 76
ROIC Compounder C$5.67 C$7.61 C$9.81 72
Growth Earnings
Growth-Adj P/E C$9.82 C$14.02 C$18.23 68

Widest divergence: Growth Earnings (C$14.02) versus Asset-Based (C$1.33). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) C$49.3B
Revenue growth (YoY) +12.1%
Net margin 27.8%
Return on equity 43.4%
Free cash flow C$5.3B FY2025
P/E ratio 25.3
More key figures
Operating margin 35.1%
EPS (TTM) C$1.12
Dividend yield 7.2%
EPS growth (YoY) +18.2%
Net debt C$35.2B FY2025

Figures from reported company fundamentals · as of Jul 15, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 65/100

Of which business quality 60 · Market factors (momentum, volatility) 67

Profitability 71
Margins and returns on capital today
Quality Growth 48
Are margins and returns improving?
Cashflow 44
Earnings quality: real cash, not paper profit
Fin. Strength 52
Balance sheet, leverage, solvency risk
Investment 72
Disciplined investing over empire-building
Low Volatility 99
Calm price path (market factor)
Momentum 49
Price trend over the last 3–12 months (market factor)
52W Momentum 62
Distance to the 52-week high (market factor)
Net Issuance 83
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

The Coca-Cola Company, a beverage company, manufactures and sells various nonalcoholic beverages in the United States and internationally. The company provides Trademark Coca-Cola, sparkling soft drinks and flavors; water, sports, coffee, and tea; juice, value-added dairy, and plant-based beverages; and emerging beverages.

Full company description

The Coca-Cola Company, a beverage company, manufactures and sells various nonalcoholic beverages in the United States and internationally. The company provides Trademark Coca-Cola, sparkling soft drinks and flavors; water, sports, coffee, and tea; juice, value-added dairy, and plant-based beverages; and emerging beverages. It also offers beverage concentrates and syrups, as well as fountain syrups to fountain retailers comprising restaurants and convenience stores. The company sells its products under the Coca-Cola, Diet Coke/Coca-Cola Light, Coca-Cola Zero Sugar, caffeine free Diet Coke, Cherry Coke, Fanta, Sprite, Simply, Fanta Orange, Fanta Zero Orange, Fanta Zero Sugar, Fanta Apple, Sprite Zero Sugar, Simply Orange, Simply Apple, Simply Grapefruit, Fresca, Schweppes, Thums Up, Aquarius, Ayataka, BODYARMOR, Ciel, Costa, Crystal, Dasani, Fuze Tea, Georgia, glacéau smartwater, glacéau vitaminwater, Gold Peak, I LOHAS, Powerade, Topo Chico, Core Power, Del Valle, fairlife, innocent, Maaza, Minute Maid, Minute Maid Pulpy, Santa Clara, and dogadan brands. It operates through a network of independent bottling partners, distributors, wholesalers, and retailers, as well as through bottling and distribution operators. The Coca-Cola Company was founded in 1886 and is headquartered in Atlanta, Georgia.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

The Coca-Cola Company reported revenue of C$47.9B in FY2025 versus C$38.7B in FY2021, a compound +5.5%/yr. Reported net income was C$13.1B in FY2025, compounding +7.6%/yr from FY2021.

Growth Quality 76/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
C$47.9B
Latest YoY
+1.9%
Avg. growth/yr (3Y)
+3.7%
Avg. growth/yr (5Y)
+7.7%
Revenue +5.5%/yr
FY21 C$38.7B
FY22 C$43.0B
FY23 C$45.8B
FY24 C$47.1B
FY25 C$47.9B
Net income +7.6%/yr
FY21 C$9.8B
FY22 C$9.5B
FY23 C$10.7B
FY24 C$10.6B
FY25 C$13.1B

COLA screens 61% overvalued. Compare with Lionheart III Corp →

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Cite: Fair Value Calculator (2026). "The Coca-Cola Company Fair Value". https://www.fairvalue-calculator.com/stock/COLA

Peer Group

Shell Companies · 71 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 65 · Top 25%
Fair Value upside −61% · Below median
Return on equity (TTM) 43% · Top 25%
Return on assets 10% · Top 25%
Net margin (TTM) 28% · Top 25%
Operating margin (TTM) 35% · Top 25%
Revenue growth 12% · Top 25%
Debt / equity 1.31× · Higher than 75% of peers

Valuation Multiples vs Shell Companies median · lower = cheaper

P/E (TTM) 25.3× · Cheaper than median
P/B 10.87× · Pricier than 75% of peers
P/S (TTM) 7.10× · Pricier than median
P/FCF 66.0× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 0
FUTURE 61 · sector 0
PAST 100 · sector 0
HEALTH 35 · sector 100
DIVIDEND 100 · sector 0

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

Is The Coca-Cola Company (COLA) overvalued or undervalued?
As of Jul 15, 2026, our model estimates a fair value of C$10.91 versus a price of C$27.96, about −61% (overvalued).
What is the fair value of COLA?
Our model-based fair value for The Coca-Cola Company is C$10.91 (as of Jul 15, 2026), built from audited fundamentals. The current price is C$27.96.
What is the quality score of COLA?
The Coca-Cola Company has a Quality Score of 65/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of The Coca-Cola Company (COLA)?
The Coca-Cola Company reported trailing-twelve-month revenue of about C$49.3B (latest available figure, as of Jul 15, 2026).
What is the net profit margin of COLA?
The net profit margin of The Coca-Cola Company is about 27.8%, meaning it keeps roughly 27.8% of revenue as net income. Based on the latest reported figures.
Does The Coca-Cola Company pay a dividend?
The Coca-Cola Company currently shows a dividend yield of about 7.22% relative to its recent price (as of Jul 15, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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