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Coca-Cola Pitched as a Defensive Buy as Valuations Run Hot

A Yahoo Finance analysis touts Coca‑Cola's dividend consistency as a buffer against volatility.

Overview

  • With the S&P 500 near record levels and its P/E at the high end of historical ranges, the piece flags mounting bear market concerns.
  • The article highlights Coca‑Cola’s above‑market dividend yield and a below‑average P/E, noting a roughly 2.9% payout cited in separate coverage.
  • Coca‑Cola is presented as a Dividend King with 63 consecutive annual increases, underscoring a long record of shareholder payouts.
  • The thesis leans on consumer‑staples resilience, strong brand loyalty for affordable luxuries, global reach, and the scale to add brands through acquisitions.
  • Operational details cited include an asset‑light concentrate model and recent performance such as Q3 2025 revenue up 5% to $12.5 billion, net income up 30% to $3.7 billion, and projected 2025 free cash flow of about $9.8 billion.