Coca-Cola Consolidated is the largest independent bottler in the US for Coca-Cola. The company has rights to produce, market, and distribute Coca-Cola products across 14 US states representing a market of 65 million people. The company is effectively the operations arm of Coca-Cola and its future is closely tied with that of Coca-Cola. As Coca-Cola is one of the most iconic beverages in the world with unparalleled brand strength, Coca-Cola Consolidated is one of the best beverage stocks to buy now.
Coca-Cola Consolidated purchases syrups and concentrates from beverage manufacturers. This purchase happens under a license agreement. The company then produces the beverage, packages it, and distributes it to retailers. It markets Coca-Cola as well as other beverages like Dr. Pepper, Monster Energy, BodyArmor products, Dunkin’ Donuts Iced Coffee, Dasani products, etc. About 85% of the sales volumes are comprised of Coca-Cola products while the rest come from other brands. All of Coca-Cola Consolidated’s brands are well-known. That makes Coca-Cola Consolidated one of the best beverage stocks to buy. The sales of Coca-Cola are divided into two segments. The first comprises of plastic bottle and aluminum can sales. The second comprises of sales to other Coca-Cola bottlers and includes items like post-mix, generally used in fountain machines, and services like transport and equipment maintenance.
The Stock Performance of Best Beverage Stocks To Buy
Coca-Cola Consolidated has had a decent month. It has risen by more than 6.5% in the past 30 days. The stock closed at $266.75 on 16th November 2020. The dividend yield isn’t meaningful at 0.37%. However, the stock is up 23% since the March market fall. Pepsico’s stock closed at $145.76 on 16th November 2020, up 4.3% for the past month. On a longer-term (5-year) basis, Pepsico’s stock is up 45%. Keurig Dr Pepper, meanwhile, is almost flat for the past month and up 47% since the March market fall.