Why Coca-Cola Stock Jumped 11% in June
Shares of Coca-Cola (NYSE: KO) stock gained 11% in July according to data provided by S&P Global Market Intelligence. There wasn't any important news, but investors are confident in Coca-Cola as it powers through inflation.
Coca-Cola reported strong earnings in the 2024 first quarter, and investors are doubling down on the investing thesis. It has one of the most recognizable brands in the world and incredible pricing power, and it has come up with innovative ways to modify product sizes and pad prices without turning off buyers. As the largest beverage company in the world, with more than $46 billion in trailing-12-month sales, every little bit of a price increase can show up in a big way.
That doesn't mean it isn't feeling any inflationary pressure. Sales growth trickled to 3% year over year, but it reported increases in earnings per share (EPS) and an expansion in comparable operating margin. It also gained market share in its core non-alcoholic, ready-to-drink categories.
Source Fool.com
