It’s kind of like the title speaks for itself. Look, at Biz Bites N’ More we love Coca-Cola, not for its fizzy, sugar filled drinks, but it’s stock. Any Dividend or Value investor can tell you that Coke ($KO) is in the top 3 of most ever list, most every time. They are an enormous brand, they control a giant piece of the beverage industry, and as I will always point out, they pay a fucking DOPE ass dividend. Coca-Cola has been owning the market for years. Even when shit falls around them, and they say it’s getting bad, the stock still rises.
Coke isn’t impervious to the current conditions; look, the market they have led and followed for so long is fuckkkked. Sports events, concerts, movies, you fucking name it and they wanted to be apart of that “experience” but now those experiences are gone, and they don’t seem to be making a comeback anytime soon. Coca-Cola isn’t a weak ship, they have weathered plenty of storms in the past, the titan of industry just needs to make small adjustments to keep that sucker running. From changing up the way they get to consumers, to getting rid of “zombie” brands, even after this shitty earning season, Coke seems to have eyes on the future.
Coca-Cola is one of a kind, even with their rival Pepsi, Coke seems to always take dominance in the field they know best: beverages. I am personally not afraid for Coke. They fell about 33% in revenue for the second quarter of 2020 but the stock just keeps climbing. Now, to ignore the past is just fucking yourself to relive the consequences. Coke has seen that its entire market can be swept away. The old brands out of the 400 need to be shuttered or given to new management. Now is their time to innovate and incentivize the consumer into buying their stuff first. The ways to get to that consumer are endless and with COVID even more opportunities arise. Coke has blown the competition out of the water in the past, whether it’s sales, marketing, or just a better taste, Coke remains top dog.
Will this be the end for an iconic brand? Fucccccckkkkk no. That’s a dumb fucking question. Coke is doing just fine and will come out of COVID alive and well. Coca-Cola is just too big of a brand and has way too many brands under their belt to really ever fuck up. Not saying this company is invincible but time and time again, they make it out with just a couple nicks and bruises. It is on Coca-Cola as a beverage empire to start creating their path forward and out of this rut. The old ways just don’t seem to be cutting it. Worry not, Coke has killed it in the past, and BBNM is confident that it will kill it in the future. A few bumps in the road, but that’s all they are, bumps.
Coke is a great company, a fantastic stock, and something to consider if you’re looking for your investments to pay YOU.
Anyway, that’s my take on it. Until next time.-GS
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