Coca Cola Femsa S.A.B. de C.V. American Depositary Shares, each representing 10 Units (each Unit consists of 3 Series B Shares and 5 Series L Shares) (KOF) Company Bio
Coca-Cola FEMSA a franchise bottler, produces, markets, sells, and distributes Coca-Cola trademark beverages. The company was founded in 1979 and is based in Mexico, Mexico.
KOF Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Coca Cola Femsa Sab De Cv. To summarize, we found that Coca Cola Femsa Sab De Cv ranked in the 21th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Coca Cola Femsa Sab De Cv, consider:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 100. Notably, its equity weight is greater than 96.33% of US equities in the Consumer Defensive sector yielding a positive free cash flow.
The business' balance sheet suggests that 0% of the company's capital is sourced from debt; this is greater than merely 3.34% of the free cash flow producing stocks we're observing.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Consumer Defensive that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as KOF, try KO, SMPL, COST, VLGEA, and AGFS.
Investment Thesis Coca-Cola FEMSA (KOF) is the world’s largest Coca-Cola bottling company with operations throughout Latin America. It is a stable business with significant barriers to entry that should grow at a mid-single-digit pace. Despite the stability of the business, the strength of the competitive position, and growth outlook, it...
One of the primary appeals for FEMSA (FMX) for some time has been its status as a "defensive growth" stock. Rising populations and incomes in Central and South America meant growth opportunities for the Coca-Cola FEMSA (KOF) beverage operations, as well as the company's multiple retail formats, with incremental opportunities...
Stephen Simpson, CFA on Seeking Alpha | July 29, 2020