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PREVIEW: Coca-Cola Q1 EPS seen dipping, rev estimated to rise

ReutersApr 29, 2025 9:32 AM

** Shares in Coca-Cola KO.N lose a little fizz in broader market decline, down ~0.7% on Monday; Q1 report due before market open on Tuesday

** Wall Street sees the soft drinks co reporting adj EPS of $0.71 vs $0.72 in year-ago quarter on rev of $11.14 bln vs $11.23 bln year-ago, according to latest data from LSEG

** In last 8 quarters KO beat Street on rev every time and EPS met or beat every quarter

** On April 24 rival PepsiCo PEP.O cut FY profit forecast, signaling higher costs, subdued consumer spending on uncertainty from U.S. President Trump's expansive tariff policies

** But in contrast with Q4 weakness at PEP, KO had, in early Feb, reported a surprise Q4 rev increase with help from limited edition soda flavors and price hikes amid sluggish demand in broader packaged foods industry

** KO, on track for 4th straight day of declines, last traded at $71.42 vs median PT of $78, up from $77 a month ago, as per LSEG

** Of 28 analyst ratings, recommendation breakdown is 5 'strong buy,' 18 'buy,' and 5 'hold'

** Including move on Monday, shares up close to 15% YTD vs near 4% gain for S&P 500 consumer staples index .SPLRCS

** KO options imply a 3.3% swing for the shares, in either direction, by Friday, compared with the stock's 1.6% eight-quarter avg move on the day of results, according to Trade Alert

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