Coca-Cola Company (KO) swung lower in Tuesday morning trading after reporting 1% unit case volume in Q4 and a 3% rise in net income. However, Coca-Cola (KO) noted some pressure on middle- and lower-income consumers that may be impacting its full-year expectations. Despite the mixed results, Wall Street analysts are generally positive on the upside for Coca-Cola (KO).
Evercore ISI analyst Robert Ottenstein sees a positive set-up into 2026 as FX pressures turn to tailwinds, Fairlife ramps with new capacity, and the company invests behind the FIFA World Cup and America 250 in the U.S. “KO has easier weather comps in key markets, and KO continues to take share. However, we believe the Street and investors likely will be disappointed by the top-line outlook, which could weigh on shares today,” updated Ottenstein.
Morgan Stanley analyst Dara Mohsenian expects a negative reaction from investors to the organic sales miss in Q4, which he noted was exacerbated by temporary mix/timing dynamics, and 2026 guidance towards the lower end of expectations. Monsenian reminded investors that the 4% to 5% organic sales guidance for 2026 highlights that the beverage giant is still operating well above peers.
RBC Capital Markets analyst Nik Modi believes the Atlanta-based company’s latest restructuring and organizational design changes will facilitate better allocation of resources, which should ultimately lead to better share gains and white space expansion. “In the near term, KO’s North America business is focused on reengaging consumers with Coca-Cola Classic and scaling Fairlife as increased capacity comes online. Among the broader CPG space, we believe the beverage industry has much more pricing optionality given advanced RGM capabilities (various pack sizes that provide affordability),” he advised. Modi and his team expect Coca-Cola’s (KO) top- and bottom-line momentum to continue into 2026 and, while FX trends continue to be volatile, see further upside if the dollar weakens.
Jefferies analyst Kaumil Gajrawala highlighted that Coca-Cola (KO) finally cleared the “two-dollar” full-year EPS handle. The firm reiterated its Buy rating on the beverage stock after taking in the report.
Shares of Coca-Cola (KO) fell 1.6% in premarket action to $76.63. The 52-week high for the Dow 30 stock is $79.20.