COCA-COLA FEMSA SAB-SP ADR (KOF) Stock Fundamental Analysis
USA - NYSE:KOF - US1912411089 - ADR
82.45 USD
+1.21 (+1.49%)
82.45 USD
0 (0%)
Overall KOF gets a fundamental rating of 5 out of 10. We evaluated KOF against 33 industry peers in the Beverages industry. While KOF is still in line with the averages on profitability rating, there are concerns on its financial health. KOF is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year KOF was profitable.
In the past year KOF had a positive cash flow from operations.
In the past 5 years KOF has always been profitable.
Each year in the past 5 years KOF had a positive operating cash flow.
1.2 Ratios
The Return On Assets of KOF (7.52%) is better than 69.70% of its industry peers.
Looking at the Return On Equity, with a value of 17.23%, KOF is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
With a decent Return On Invested Capital value of 11.33%, KOF is doing good in the industry, outperforming 66.67% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for KOF is in line with the industry average of 10.78%.
The 3 year average ROIC (10.37%) for KOF is below the current ROIC(11.33%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.52% | ||
| ROE | 17.23% | ||
| ROIC | 11.33% |
ROA(3y)7.23%
ROA(5y)6.28%
ROE(3y)15.7%
ROE(5y)13.77%
ROIC(3y)10.37%
ROIC(5y)9.3%
1.3 Margins
KOF has a Profit Margin of 8.18%. This is comparable to the rest of the industry: KOF outperforms 57.58% of its industry peers.
In the last couple of years the Profit Margin of KOF has grown nicely.
The Operating Margin of KOF (13.97%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of KOF has remained more or less at the same level.
KOF has a Gross Margin of 46.02%. This is comparable to the rest of the industry: KOF outperforms 51.52% of its industry peers.
In the last couple of years the Gross Margin of KOF has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.97% | ||
| PM (TTM) | 8.18% | ||
| GM | 46.02% |
OM growth 3Y0.02%
OM growth 5Y1.31%
PM growth 3Y1.7%
PM growth 5Y6.39%
GM growth 3Y0.39%
GM growth 5Y0.45%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), KOF is creating some value.
The number of shares outstanding for KOF remains at a similar level compared to 1 year ago.
KOF has about the same amout of shares outstanding than it did 5 years ago.
The debt/assets ratio for KOF is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.89 indicates that KOF is not a great score, but indicates only limited risk for bankruptcy at the moment.
KOF has a Altman-Z score of 2.89. This is in the better half of the industry: KOF outperforms 63.64% of its industry peers.
KOF has a debt to FCF ratio of 12.76. This is a negative value and a sign of low solvency as KOF would need 12.76 years to pay back of all of its debts.
KOF's Debt to FCF ratio of 12.76 is on the low side compared to the rest of the industry. KOF is outperformed by 63.64% of its industry peers.
A Debt/Equity ratio of 0.58 indicates that KOF is somewhat dependend on debt financing.
KOF's Debt to Equity ratio of 0.58 is in line compared to the rest of the industry. KOF outperforms 54.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 12.76 | ||
| Altman-Z | 2.89 |
ROIC/WACC1.53
WACC7.4%
2.3 Liquidity
A Current Ratio of 1.12 indicates that KOF should not have too much problems paying its short term obligations.
KOF has a worse Current ratio (1.12) than 60.61% of its industry peers.
KOF has a Quick Ratio of 1.12. This is a bad value and indicates that KOF is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.90, KOF is doing good in the industry, outperforming 60.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.12 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
KOF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 41.61%, which is quite impressive.
KOF shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.46% yearly.
The Revenue for KOF has decreased by -11.22% in the past year. This is quite bad
The Revenue has been growing slightly by 7.55% on average over the past years.
EPS 1Y (TTM)41.61%
EPS 3Y23.13%
EPS 5Y14.46%
EPS Q2Q%-5.24%
Revenue 1Y (TTM)-11.22%
Revenue growth 3Y12.83%
Revenue growth 5Y7.55%
Sales Q2Q%4.98%
3.2 Future
Based on estimates for the next years, KOF will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.34% on average per year.
Based on estimates for the next years, KOF will show a small growth in Revenue. The Revenue will grow by 6.54% on average per year.
EPS Next Y4.55%
EPS Next 2Y8.73%
EPS Next 3Y8.34%
EPS Next 5YN/A
Revenue Next Year9.35%
Revenue Next 2Y8.69%
Revenue Next 3Y7.67%
Revenue Next 5Y6.54%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.52 indicates a correct valuation of KOF.
Compared to the rest of the industry, the Price/Earnings ratio of KOF indicates a somewhat cheap valuation: KOF is cheaper than 75.76% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.90, KOF is valued rather cheaply.
A Price/Forward Earnings ratio of 11.36 indicates a reasonable valuation of KOF.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KOF indicates a somewhat cheap valuation: KOF is cheaper than 78.79% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.36, KOF is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.52 | ||
| Fwd PE | 11.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KOF is valued cheaper than 87.88% of the companies in the same industry.
KOF's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.15 | ||
| EV/EBITDA | 6.73 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates KOF does not grow enough to justify the current Price/Earnings ratio.
KOF has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.97
PEG (5Y)0.94
EPS Next 2Y8.73%
EPS Next 3Y8.34%
5. Dividend
5.1 Amount
KOF has a Yearly Dividend Yield of 3.76%.
Compared to an average industry Dividend Yield of 2.98, KOF pays a better dividend. On top of this KOF pays more dividend than 84.85% of the companies listed in the same industry.
KOF's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.76% |
5.2 History
On average, the dividend of KOF grows each year by 11.58%, which is quite nice.
KOF has been paying a dividend for at least 10 years, so it has a reliable track record.
KOF has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)11.58%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
58.19% of the earnings are spent on dividend by KOF. This is a bit on the high side, but may be sustainable.
KOF's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP58.19%
EPS Next 2Y8.73%
EPS Next 3Y8.34%
82.45
+1.21 (+1.49%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners19.86%
Inst Owner Change0.06%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap17.32B
Analysts79.05
Price Target88.69 (7.57%)
Short Float %4.85%
Short Ratio1.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.76% |
Yearly Dividend0.42
Dividend Growth(5Y)11.58%
DP58.19%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-9.76%
Min EPS beat(2)-15.54%
Max EPS beat(2)-3.97%
EPS beat(4)2
Avg EPS beat(4)-0.76%
Min EPS beat(4)-15.54%
Max EPS beat(4)13.99%
EPS beat(8)5
Avg EPS beat(8)-8.66%
EPS beat(12)6
Avg EPS beat(12)-8.3%
EPS beat(16)7
Avg EPS beat(16)-18.55%
Revenue beat(2)0
Avg Revenue beat(2)-1.24%
Min Revenue beat(2)-2.46%
Max Revenue beat(2)-0.03%
Revenue beat(4)2
Avg Revenue beat(4)0.53%
Min Revenue beat(4)-2.46%
Max Revenue beat(4)3.56%
Revenue beat(8)6
Avg Revenue beat(8)1.1%
Revenue beat(12)8
Avg Revenue beat(12)17.35%
Revenue beat(16)12
Avg Revenue beat(16)32.49%
PT rev (1m)0.96%
PT rev (3m)-9.01%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-11.52%
EPS NY rev (1m)-2.5%
EPS NY rev (3m)-8.19%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.6%
Revenue NY rev (1m)-0.34%
Revenue NY rev (3m)-1.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.52 | ||
| Fwd PE | 11.36 | ||
| P/S | 1.1 | ||
| P/FCF | 48.15 | ||
| P/OCF | 9.66 | ||
| P/B | 2.33 | ||
| P/tB | 9.43 | ||
| EV/EBITDA | 6.73 |
EPS(TTM)6.1
EY7.4%
EPS(NY)7.26
Fwd EY8.8%
FCF(TTM)1.71
FCFY2.08%
OCF(TTM)8.53
OCFY10.35%
SpS74.63
BVpS35.41
TBVpS8.74
PEG (NY)2.97
PEG (5Y)0.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.52% | ||
| ROE | 17.23% | ||
| ROCE | 16.56% | ||
| ROIC | 11.33% | ||
| ROICexc | 13.4% | ||
| ROICexgc | 26.87% | ||
| OM | 13.97% | ||
| PM (TTM) | 8.18% | ||
| GM | 46.02% | ||
| FCFM | 2.29% |
ROA(3y)7.23%
ROA(5y)6.28%
ROE(3y)15.7%
ROE(5y)13.77%
ROIC(3y)10.37%
ROIC(5y)9.3%
ROICexc(3y)12.23%
ROICexc(5y)11.22%
ROICexgc(3y)26.27%
ROICexgc(5y)24.99%
ROCE(3y)15.19%
ROCE(5y)13.64%
ROICexcg growth 3Y0.34%
ROICexcg growth 5Y1.42%
ROICexc growth 3Y6.85%
ROICexc growth 5Y6.54%
OM growth 3Y0.02%
OM growth 5Y1.31%
PM growth 3Y1.7%
PM growth 5Y6.39%
GM growth 3Y0.39%
GM growth 5Y0.45%
F-Score4
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 12.76 | ||
| Debt/EBITDA | 1.49 | ||
| Cap/Depr | 199.77% | ||
| Cap/Sales | 9.14% | ||
| Interest Coverage | 7.68 | ||
| Cash Conversion | 61.66% | ||
| Profit Quality | 28.07% | ||
| Current Ratio | 1.12 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 2.89 |
F-Score4
WACC7.4%
ROIC/WACC1.53
Cap/Depr(3y)192.91%
Cap/Depr(5y)155.89%
Cap/Sales(3y)8.49%
Cap/Sales(5y)7.2%
Profit Quality(3y)91.44%
Profit Quality(5y)132.71%
High Growth Momentum
Growth
EPS 1Y (TTM)41.61%
EPS 3Y23.13%
EPS 5Y14.46%
EPS Q2Q%-5.24%
EPS Next Y4.55%
EPS Next 2Y8.73%
EPS Next 3Y8.34%
EPS Next 5YN/A
Revenue 1Y (TTM)-11.22%
Revenue growth 3Y12.83%
Revenue growth 5Y7.55%
Sales Q2Q%4.98%
Revenue Next Year9.35%
Revenue Next 2Y8.69%
Revenue Next 3Y7.67%
Revenue Next 5Y6.54%
EBIT growth 1Y-9.75%
EBIT growth 3Y12.85%
EBIT growth 5Y8.96%
EBIT Next Year52.88%
EBIT Next 3Y20.95%
EBIT Next 5Y13.09%
FCF growth 1Y-63.3%
FCF growth 3Y-9.86%
FCF growth 5Y-3.15%
OCF growth 1Y-7.02%
OCF growth 3Y9.06%
OCF growth 5Y6.29%