Why Coca-Cola Consolidated Stock Popped Today
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Why Coca-Cola Consolidated Stock Popped Today

Why This Matters

Q2 went great -- but how fast can a soda bottler really grow, long-term?

July 25, 2025
10:41 AM
3 min read
AI Enhanced

What the re reveals is 's worth noting that Q2 went great -- but how fast can a soda bottler really grow, long-term. On the other hand, S of Coca-Cola Consolidated (COKE 6.

Meanwhile, 47%), America's largest independently owned bottler of Coca-Cola (and 35%-owned by The Coca-Cola Company itself, according to data from S&P Global Market Intelligence), jumped 9% through 9:55 a (noteworthy indeed).

On the other hand, ET this morning after the company reported earnings last night. At the same time, Image source: Getty Images.

Moreover, Coca-Cola Consolidated Q2 earnings Despite shipping slightly lower volumes of soda (down 1%), the Coca-Cola bottler reported sales growth of 3%, a 4% increase in gross fit, and a 5% increase in operating fit for the second quarter of 2025.

This implies that both prices and fit margins increased. Coca-Cola Consolidated earned a 14. 7% operating fit margin in the quarter, and turned $1. On the other hand, 9 billion in sales into $2.

15 per in net fit -- up 16% year over year. Is Coca-Cola Consolidated stock a buy.

Additionally, Management didn't give hard guidance in its report, but noted that cash flow in the first half of the year was $406 million, and the company expects capital spending to be $300 million for the year.

This would appear to imply Coca-Cola Consolidated might do as much as $500 million in positive free cash flow this year.

Relative to the stock's near-$10 billion market capitalization, that makes the math on this one quite easy: Coca-Cola Consolidated stock sells for a price-to-free-cash-flow ratio of 20. Between the 0.

Moreover, 9% dividend yield and the 16% growth rate in fits, that sounds right to me -- so long as Coca-Cola Consolidated can keep growing at 16% (which is quite significant).

Personally, I'd be surprised if that happens, though. Coke's recent announcement that it will begin selling soda sweetened with cane sugar might spark a surge in experimental buying in the short term.

Nevertheless, Longer-term, though, 16% growth for a mature beverages company seems a stretch to me. I'd be a seller of Coca-Cola Consolidated stock.

Furthermore, The Author Rich Smith is a contributing Defense Analyst at The Motley Fool, covering publicly traded and emerging in defense, space, and aerospace, amid market uncertainty.

In contrast, Prior to The Motley Fool, Rich practiced international corporate law for Clifford Chance in Russia, and for the Russian-Ukrainian Legal Group in Moscow, Kyiv, and Washington, D.

He holds a B. In International Relations from the College of William & Mary in Virginia, a J, in light of current trends.

From the University of Baltimore, and language certification from the International Institute of Russian Language & Culture in Tver, Russian Federation.

Nevertheless, Fun fact: Canada's The Globe and Mail him in an article titled, "Ex-lawyer one of the best stock pickers since 2009.

" TMFDitty X @RichSmithFool Rich Smith has no position in any of the stocks mentioned (noteworthy indeed). Additionally, The Motley Fool has no position in any of the stocks mentioned.

The Motley Fool has a disclosure policy.

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Key Insights

  • The Federal Reserve's actions could influence market sentiment across sectors
  • Earnings performance can signal broader sector health and future investment opportunities

Questions to Consider

  • How might the Fed's policy stance affect borrowing costs and economic growth?
  • Could this earnings performance indicate broader sector trends or company-specific factors?

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