The Screen · Consumer Defensive · Beverages - Non-Alcoholic
Coca-Cola Company (The)
KO · a US exchange · USD · Market cap $380.2B · 65,900 employees
The Coca-Cola Company, a beverage company, manufactures and sells various nonalcoholic beverages in the United States and internationally.
FAIL · Does not pass the screen
88.36 USD
At the last full screen 2026-09-08
Screened 2026-09-08 · the tape above runs as of 22:12 UTC · 11 Sep · two dates, stated on purpose · verdict and workings shown in full · never trimmed
The Label · The Season, Not the Day
This name holds its markup label.
Coca-Cola Company (The) holds its Markup at $88.36. The statistical read favours the buyers, held for 2 days.
As held on the ledger · 2026-09-08
Phase
Markup
Quantitative state
The statistical read favours the buyers, held for 2 days
Price at the screen
$88.36
Valuation
26.53 trailing · 25.06 forward price to earnings
Values screen
FAIL· score 10.0
Beta
0.34
The Workings
Five Screens, Shown in Full
Does not pass. Debt ratio
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
43.40%
Below 33%
Interest-bearing debt is 43.4% of its assets, above the one-third ceiling the screen allows.
Fail
Interest-bearing cash
19.31%
Below 33%
Cash held in interest-bearing accounts and securities is 19.3% of assets, under the one-third limit.
Pass
Receivables
12.70%
Below 49%
Money owed to the company is 12.7% of assets, under the 49% limit.
Pass
Revenue purity
1.64%
Below 5%
Only 1.6% of revenue comes from non-compliant sources, under the 5% line.
Pass
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Conscience Overlay
Conscience flag · BDS Movement
The quantitative screen above is arithmetic. Separately, community boycott lists cite this company: Cited by BDS movement for maintaining bottling operations in Israel through Central Bottling Company (CBC). The desk records that flag here without folding it into the verdict: the screen measures the balance sheet, the overlay informs the conscience, and they are different judgements that belong to different owners. The second one is yours.
What the Numbers Say It Is Worth
The Fair Value Range
Our framework reads AVOID: it trades above our $70.37 fair value estimate, strong competitive moat, 6.70% revenue growth.
Fair value range in USD, drawn from the 2026-09-08 screen. The gold marker is the market price at the same screen. The price runs 20.4% above the base estimate.
Third-party analyst targets: 23 covering, consensus Buy. The average target sits +9% from the screen price.
Reading the gap · Our more conservative model reads it as fully-to-richly valued here, while the Street is more bullish: a quality-at-a-fair-price name rather than a deep-value one.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-09-08 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Pouring Cold Water on Coca-Cola's Valuation
Imagine you're reaching for a refreshing Coke, but the can costs you more than you expected. That's the situation with Coca-Cola's stock price at $90.50, while our fair value calculation pegs it at a more reasonable $70.37 - a substantial discount of 22%. Why it stands out, or rather, why we are cautious, is because despite Coca-Cola's robust 7% revenue growth and a strong 42% return on equity, the stock is overvalued when compared to our valuation model.
The market consensus seems overly optimistic with a buy rating and a median target of $96, but the numbers tell a different story. The forward P/E of 25.7x does not align well with our valuation, and the ethical screen failure on debt ratio is a red flag. Risk sits in the form of an overvalued stock and ethical concerns, which is why we're suggesting to steer clear.
The risks · The main risks here are ordinary market swings and the chance our fair-value read proves too optimistic.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
KO trades on a US exchange. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The Dated Journal · Newest First, Never Edited
Every Entry, As Written
2026-08-22Markup$90.50+11.0%Entry 9
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 11.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it A, carrying a low risk profile. Technically it is holding around 11% above its long-term trend line with momentum reading bullish. Over the past year the shares are up 19%. Our forward projection puts the odds of a 10% gain over the next month near 8%. The street (23 analysts) rates it buy, with a mean price target of $86.
2026-07-21Markup$81.56+0.0%Entry 8
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it A, carrying a low risk profile. Technically it is holding around 11% above its long-term trend line with momentum reading bullish. Over the past year the shares are up 19%. Our forward projection puts the odds of a 10% gain over the next month near 8%. The street (23 analysts) rates it buy, with a mean price target of $86. It reported earnings in this window, a natural checkpoint for the thesis.
2026-07-20Markup$81.56+0.0%Entry 7
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it A, carrying a low risk profile. Technically it is holding around 11% above its long-term trend line with momentum reading bullish. Over the past year the shares are up 19%. Our forward projection puts the odds of a 10% gain over the next month near 8%. The street (23 analysts) rates it buy, with a mean price target of $86. It reported earnings in this window, a natural checkpoint for the thesis.
2026-07-19Markup$81.56+2.6%Entry 6
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 2.6% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it A, carrying a low risk profile. Technically it is holding around 11% above its long-term trend line with momentum reading bullish. Over the past year the shares are up 19%. Our forward projection puts the odds of a 10% gain over the next month near 8%. The street (23 analysts) rates it buy, with a mean price target of $86. It reported earnings in this window, a natural checkpoint for the thesis.
2026-07-18Markup$79.48+0.0%Entry 5
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it A, carrying a low risk profile. Technically it is holding around 11% above its long-term trend line with momentum reading bullish. Over the past year the shares are up 19%. Our forward projection puts the odds of a 10% gain over the next month near 8%. The street (23 analysts) rates it buy, with a mean price target of $86. It reported earnings in this window, a natural checkpoint for the thesis.
2026-07-17Markup$79.48+0.0%Entry 4
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it A, carrying a low risk profile. Technically it is holding around 11% above its long-term trend line with momentum reading bullish. Over the past year the shares are up 19%. Our forward projection puts the odds of a 10% gain over the next month near 8%. The street (23 analysts) rates it buy, with a mean price target of $86. It reported earnings in this window, a natural checkpoint for the thesis.
2026-07-16Markup$79.48+0.0%Entry 3
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it A, carrying a low risk profile. Technically it is holding around 11% above its long-term trend line with momentum reading bullish. Over the past year the shares are up 19%. Our forward projection puts the odds of a 10% gain over the next month near 8%. The street (23 analysts) rates it buy, with a mean price target of $86. It reported earnings in this window, a natural checkpoint for the thesis.
2026-07-03Markup$79.48+0.0%Entry 2
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns.
2026-07-02Markup$79.48Entry 1
The framework reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
