This classic beverage company is using its status as the most recognized brand in the world to deliver new products to its thirsty customers. But that's not why we're so bullish about KO.
Coca-Cola
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Buy, Sell or Hold: Is Coca-Cola Still the "Real Thing" For Investors?
The Coca-Cola Co.'s (NYSE: KO) Personal Approach Puts the Fizz Back In Its Stock
The Coca-Cola Co. (NYSE: KO) is taking an innovative approach to product development and renewing its home base markets as it looks to reassert its dominance in the soft-drink market. Coke, the world's largest manufacturer, marketer and distributor of non-alcoholic beverages, on Wednesday posted solid fourth-quarter growth on increased sales around the globe and took […]
Buy, Sell or Hold: Even After a Near-30% Gain Campbell Soup Co. (NYSE: CPB) Still Has Room to Run
I first recommended Campbell Soup Co. (NYSE: CPB) on June 1, 2009. At the time of our recommendation, our price target was a minimum of $32. The stock is now trading just above $35 today - a 27% increase.
What's more is that Campbell, which boasts a strong brand and above-average international sales potential, is poised to keep its winning streak intact.
The market sometimes offers us compelling propositions, like it did last year, when the stock inexplicably sold off. We took ready advantage of the situation. Campbell Soup has a very large, stable and increasing cashflow. It is so stable that it is almost boring. In fact, this company's stability qualifies it more as a dividend play than anything else.
In the two consecutive quarters following our initial recommendation, Campbell Soup torched estimates, as analysts on Wall Street had not caught on to our emerging markets growth story. The Street caught on in the last quarter but still has not fully recognized this company's potential.
What's more is that Campbell, which boasts a strong brand and above-average international sales potential, is poised to keep its winning streak intact.
The market sometimes offers us compelling propositions, like it did last year, when the stock inexplicably sold off. We took ready advantage of the situation. Campbell Soup has a very large, stable and increasing cashflow. It is so stable that it is almost boring. In fact, this company's stability qualifies it more as a dividend play than anything else.
In the two consecutive quarters following our initial recommendation, Campbell Soup torched estimates, as analysts on Wall Street had not caught on to our emerging markets growth story. The Street caught on in the last quarter but still has not fully recognized this company's potential.
Seven Cash Cows That Point the Way to Profit
In uncertain economic times, every investor needs a little extra cash in their pocket. These stocks should do the trick. We're not talking about commodity plays here, rather these "cash cows" are the companies with enough "moo-lah" to invest in their own growth... something that should definitely pay off in the long run for investors. Check out our "cash cow" stocks in this report.
Coca-Cola Follows PepsiCo's Lead and Buys Its Largest Bottler
The soda rivalry continues as Coca-Cola takes a page out of PepsiCo's playbook.
The Coca-Cola Co. (NYSE: KO) plans to buy the North American operations of its largest bottler Coca-Cola Enterprises Inc. (NYSE: CCE) in a $12.3 billion deal. This move comes 24 years after Coca-Cola separated from bottling giant CCE, and six months after PepsiCo's similar purchase of its two largest bottlers.
Coke's initial strategy of separating market and beverage development from product and distribution was initially used to free up the segments' respective balance sheets, while using regional bottlers as a gateway to local retail markets. However, changes in consumer tastes have led to a decline in soda sales, meaning business must change, too.
The Coca-Cola Co. (NYSE: KO) plans to buy the North American operations of its largest bottler Coca-Cola Enterprises Inc. (NYSE: CCE) in a $12.3 billion deal. This move comes 24 years after Coca-Cola separated from bottling giant CCE, and six months after PepsiCo's similar purchase of its two largest bottlers.
Coke's initial strategy of separating market and beverage development from product and distribution was initially used to free up the segments' respective balance sheets, while using regional bottlers as a gateway to local retail markets. However, changes in consumer tastes have led to a decline in soda sales, meaning business must change, too.
The Five Factors That Could Rescue U.S. Stocks
When the stock market is enduring as much trouble as it has been lately, it pays to remember that there are still many positive catalysts that are in place and working to buoy securities prices.
Let's take a few moments to consider the top candidates:
Let's take a few moments to consider the top candidates:
- A Friendly Fed: The current U.S. Federal Reserve under Chairman Ben S. Bernanke is the most accommodative in history and is likely to keep short-term interest rates at or near zero for the remainder of this year. Occasionally there will be rumblings of an increase - as there was in The Wall Street Journal last Monday, but they are likely just smoke screens.
What China's Investment Trends Are Telling Us Now
Many investors have reaped their biggest gains by playing the stock-market equivalent of "follow the leader." In the past, investors pursuing this strategy have followed the moves of such luminaries as Warren Buffett, Jim Rogers, Bill Gross, and even the late Sir John Templeton.
But there's now a potential new "leader of the pack" whose moves investors need to watch and even emulate.
We're talking about China.
But there's now a potential new "leader of the pack" whose moves investors need to watch and even emulate.
We're talking about China.
Buy, Sell or Hold: Keep Your Portfolio Healthy With Campbell Soup Co. (NYSE: CPB)
On June 1 of last year I recommended buying Campbell Soup Co. (NYSE: CPB). It was a contrarian call at the time, since many brokers and independent analysts had rated the stock a "hold."
That's because most analysts think of Campbell the same way they think of many other consumer staples businesses - as a stable, slow moving business with no real short-term catalyst for growth.
You see, very few remember the tremendous upside that Warren Buffet realized when he invested in another "dull" staples business, The Coca-Cola Co. (NYSE: KO), just prior to a major overseas expansion.And it's precisely that kind of campaign Campbell has mounted - expanding its businesses in Russia, China, and other emerging economies to great success.
That's because most analysts think of Campbell the same way they think of many other consumer staples businesses - as a stable, slow moving business with no real short-term catalyst for growth.
You see, very few remember the tremendous upside that Warren Buffet realized when he invested in another "dull" staples business, The Coca-Cola Co. (NYSE: KO), just prior to a major overseas expansion.And it's precisely that kind of campaign Campbell has mounted - expanding its businesses in Russia, China, and other emerging economies to great success.
Investment News Briefs
With our investment news briefs, Money Morning provides investors with a quick overview of the most important investing news stories from all around the world. Apple Stock Hits 52-Week High; Buffet: Wall Street Pay Needs "Downside"; Housing Starts Rise, Producer Prices Fall; Obama Administration to Unveil New Small Business Assistance; Coke Profit Flat, Revenue Misses […]
Buy, Sell or Hold: H.J. Heinz Co. (NYSE: HNZ) Is a Long-Term Keeper, but Will Struggle in the Months Ahead
H.J. Heinz Co. (NYSE: HNZ) dominates in the ketchup market. There is no second. And Heinz has taken advantage of its revered ketchup brand over the years to develop organically and acquire other brands. However, its overdependence on developed markets and a sluggish U.S. consumer are currently holding the company back. Emerging markets are where […]
Three Ways to Connect With China's Profit Pathway
[Editor's Note: Money Morning Investment Director Keith Fitz-Gerald is currently in Mainland China. Look for additional installments of his investment travelogue later this week.] XIAN, People's Republic of China - During the politically charged period in the late 1980s and early 1990s - when China believed it really needed friends - a small number of […]
Hot Stocks: Coca-Cola's Strong International Sales Serve Up Sparkling Third-Quarter Results
[“Hot Stocks” is a new Money Morning feature that analyzes the investment outlook of global companies that are in the news. This is the fourth installment of this ongoing investment series.] By Jennifer Yousfi Managing Editor Money Morning The Coca-Cola Co. (KO) yesterday (Wednesday) reported a double-digit increase in third-quarter earnings – a showing that […]
China Huiyuan Quenches Coca-Cola's Thirst for Foreign Exposure, but Still Faces Regulatory Scrutiny
By Jason Simpkins Associate Editor The Coca-Cola Co. (KO) announced yesterday (Wednesday) that it will buy China Huiyuan Juice Group Ltd. for $2.3 billion (HK$17.9 billion) in an effort to diversify its presence in one of the world's fastest-growing beverage markets. But the deal still requires government approval, which is anything but guaranteed. Coca-Cola's offer […]
International Markets Guzzle Coca-Cola, Drive 79% Increase in 4Q Net Income
By Mike Caggeso Associate Editor International sales drove fourth-quarter earnings for Coca-Cola Co. (KO), the world's biggest soft-drink producer, which posted a 79% rise in net income to $1.21 billion, or 52 cents a share, and a 26% increase in net operating revenues for the quarter. For the year, worldwide unit case volume was up […]