Consumer Sector Ideas

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Coca-Cola - >>> At the other end of the pricing spectrum is Coca-Cola, which sells a wide range of beverages at low prices. Coca-Cola might initially seem like a shaky long-term investment because soda consumption rates are declining worldwide, but the company isn't a one-trick pony. It also sells brands of bottled water, tea, juice, sports drinks, energy drinks, coffee, and even alcoholic beverages.


https://www.fool.com/investing/2023/04/18/why-ferrari-hermes-and-coca-cola-are-no-brainer-bu/


Coca-Cola has also been constantly refreshing its flagship sodas with new flavors, healthier versions, and smaller serving sizes to attract new customers. As a result, its growth has remained remarkably consistent.

Its organic sales grew 16% in both 2021 and 2022 -- partly driven by the food-service industry's post-pandemic recovery -- and it expects 7% to 8% growth in 2023. The company expects its comparable EPS to grow 7% to 9% on a constant-currency basis in 2023 even as higher commodity costs squeeze its gross margins.

Coca-Cola's stock still looks reasonably valued at 24 times forward earnings, it pays a decent forward dividend yield of 2.9%, and it's a dependable Dividend King that has raised its payout annually for 61 consecutive years. So if you're looking for a no-brainer blue chip stock to simply buy and forget for a few decades, Coca-Cola easily fits the bill.

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