Coca-Cola FEMSA vs Coca-Cola Which Is More Lucrative?

Coca-Cola FEMSA and Coca-Cola are two prominent companies operating in the beverage industry but with distinct differences in terms of ownership and market share. Coca-Cola FEMSA is a franchise bottler of Coca-Cola products in Latin America, while Coca-Cola is the global beverage giant that owns the iconic brand. Both companies have their own stocks that investors can trade on the stock market, with each offering unique investment opportunities and potential for growth. Understanding the differences and similarities between Coca-Cola FEMSA and Coca-Cola stocks can help investors make informed decisions and maximize their investment portfolios.

Coca-Cola FEMSA or Coca-Cola?

When comparing Coca-Cola FEMSA and Coca-Cola, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Coca-Cola FEMSA and Coca-Cola.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Coca-Cola FEMSA has a dividend yield of 3.95%, while Coca-Cola has a dividend yield of 3.79%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Coca-Cola FEMSA reports a 5-year dividend growth of 12.94% year and a payout ratio of 42.58%. On the other hand, Coca-Cola reports a 5-year dividend growth of 3.36% year and a payout ratio of 78.28%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Coca-Cola FEMSA P/E ratio at 16.05 and Coca-Cola's P/E ratio at 26.24. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Coca-Cola FEMSA P/B ratio is 2.49 while Coca-Cola's P/B ratio is 10.30.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Coca-Cola FEMSA has seen a 5-year revenue growth of 0.34%, while Coca-Cola's is 0.31%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Coca-Cola FEMSA's ROE at 16.94% and Coca-Cola's ROE at 39.75%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $81.32 for Coca-Cola FEMSA and $63.25 for Coca-Cola. Over the past year, Coca-Cola FEMSA's prices ranged from $78.35 to $104.38, with a yearly change of 33.22%. Coca-Cola's prices fluctuated between $56.60 and $73.53, with a yearly change of 29.91%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.