Coca-Cola (KO)
is the gold standard in the beverage industry.
The company is the largest seller of non-alcoholic beverages
in the world.
Coca-Cola operates a tremendously strong business model.
This is evident in their dividend history.
With 54 years of consecutive dividend increases and
counting, Coca-Cola is a Dividend Aristocrat (25+ years of rising dividends)
and a Dividend King (50+ years of rising dividends).
Coca-Cola is one of 18 businesses with 50+ years of
consecutive dividend raises. Click here to download your free detailed Dividend Kings Excel
Spreadsheet so you can see other businesses with strong and durable
competitive advantages like Coca-Cola.
This level of dividend growth would not exist unless the
company operated a recession resistant business model with distinct competitive
advantages and a wide economic moat.
That being said, there are some that believe that
Coca-Cola’s best days are behind it. Soda sales have dropped for 11
straight years. Fiscal 2015 fanned this flame, as investors watched total
revenues fall 4% and operating profits drop by 10%.
In short, many believe that Coca-Cola is on the
decline. This is not the case.
In fact, the company still has plenty of room to grow. The
beverage industry is expected to increase by $300 billion between 2015 and 2020, and the
company continues to hold dominant market share.
This article examines Coca-Cola’s growth potential and
market share in detail.
Source: TalkMarkets
Comments
Post a Comment