Publicação
Equity valuation: Coca-Cola Company
| Resumo: | The Coca-Cola Company, a leader in the non-alcoholic beverage industry, has been dedicated to refreshing people and making a difference in the world. Currently, the company is traded on the New York Stock Exchange under the symbol KO. The primary goal of this equity valuation is to determine the fair price of Coca-Cola shares on the last day of 2023. Based on the comparison between the fair value and the market share price recorded on that date, an investment decision was made for the company’s shareholders. Among the various methodologies used in company valuation, the Discounted Cash Flow Valuation, from the company’s perspective, and Relative Valuation, based on financial multiples, were the selected approaches to value the company. The estimated fair value of shares in both valuation methods is higher than the market price at which they were traded on December 29, 2023 ($58.93). This scenario suggests that on that date the shares were undervalued, reflecting an opportunity for share appreciation. Therefore, on that date, investors should have bought Coca-Cola shares. |
|---|---|
| Autores principais: | Vicente, Carolina dos Santos |
| Assunto: | Coca-Cola Company Equity valuation DCF Discounted Cash Flow -- Relative valuation Indústria de bebidas -- beverage industry Avaliação de empresas -- Business valuation Fluxos de caixa descontados Avaliação relativa |
| Ano: | 2024 |
| País: | Portugal |
| Tipo de documento: | dissertação de mestrado |
| Tipo de acesso: | acesso aberto |
| Instituição associada: | ISCTE |
| Idioma: | inglês |
| Origem: | Repositório ISCTE |
| Resumo: | The Coca-Cola Company, a leader in the non-alcoholic beverage industry, has been dedicated to refreshing people and making a difference in the world. Currently, the company is traded on the New York Stock Exchange under the symbol KO. The primary goal of this equity valuation is to determine the fair price of Coca-Cola shares on the last day of 2023. Based on the comparison between the fair value and the market share price recorded on that date, an investment decision was made for the company’s shareholders. Among the various methodologies used in company valuation, the Discounted Cash Flow Valuation, from the company’s perspective, and Relative Valuation, based on financial multiples, were the selected approaches to value the company. The estimated fair value of shares in both valuation methods is higher than the market price at which they were traded on December 29, 2023 ($58.93). This scenario suggests that on that date the shares were undervalued, reflecting an opportunity for share appreciation. Therefore, on that date, investors should have bought Coca-Cola shares. |
|---|