KO — The Coca-Cola Company
Beverages — Non-Alcoholic · Founded 1886 · Atlanta, Georgia · CEO: James Quincey
Coca-Cola is the world's largest beverage company, selling over 200 brands in 200+ countries. Beyond the iconic Coca-Cola brand, the portfolio includes Sprite, Fanta, Minute Maid, Dasani, Powerade, and Costa Coffee. Warren Buffett's Berkshire Hathaway is a major shareholder.
How The Coca-Cola Company Makes Money
Concentrate sales to bottling partners (asset-light, high-margin model)
Finished product sales in markets where Coca-Cola owns bottling operations
Licensing fees and brand partnerships
Fountain beverage sales to restaurants and venues
Key Metrics Investors Watch
- Organic revenue growth (volume vs. pricing/mix)
- Unit case volume by geography
- Operating margins and concentrate economics
- Currency impact on international earnings
- Market share trends in key categories
Competitive Advantages
- The Coca-Cola brand is one of the most recognized and valuable brands in the world
- Global distribution network reaching virtually every country — unmatched scale
- Asset-light concentrate model generates extremely high margins and capital efficiency
- 60+ consecutive years of dividend increases (Dividend King)
Key Risks
- Health and wellness trends reducing sugary beverage consumption in developed markets
- Currency headwinds from strong US dollar impacting 60%+ international revenue
- Input cost inflation (sugar, aluminum, transportation)
- Regulatory risks including sugar taxes in multiple countries
Dividend & Capital Return
Coca-Cola is a Dividend King with 60+ consecutive years of dividend increases. It is one of Warren Buffett's favorite holdings and a cornerstone of income portfolios.
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Frequently Asked Questions
Is Coca-Cola stock a good investment?
Coca-Cola is considered a classic defensive dividend stock with one of the strongest brands in the world. It offers stability and reliable income but limited high-growth potential. This is educational content, not financial advice.
How does Coca-Cola make money?
Coca-Cola primarily sells beverage concentrates to bottling partners who manufacture, package, and distribute the finished products. This asset-light model generates high margins.
Does Coca-Cola pay a dividend?
Yes, Coca-Cola is a Dividend King with more than 60 consecutive years of dividend increases. It is one of the most popular dividend stocks for income investors.
Does Warren Buffett own Coca-Cola stock?
Yes, Berkshire Hathaway owns approximately 400 million shares of Coca-Cola, a position Buffett has held since 1988. He has called it one of his best investments.
Is Coca-Cola growing?
Coca-Cola grows primarily through pricing/mix improvement and emerging market volume expansion. Developed market volume growth is limited, but the company has diversified into water, coffee, sports drinks, and other categories.
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Read moreCompany information is based on publicly available disclosures and widely-known business facts. No specific price, earnings, or real-time market data is included. This is educational content — not investment advice.