Coca-Cola FEMSA (NYSE:KOF) Hits New 1-Year Low - Should You Sell?

Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF) reached a new 52-week low on Wednesday, trading as low as $73.37 before closing at $73.78. This decline came along with a trading volume of 97,612 shares, down from a previous close of $75.55.

Wall Street Analysts Forecast Growth

Despite the drop in share price, several analysts remain optimistic about Coca-Cola FEMSA's outlook. For instance, Barclays recently decreased their price target from $110.00 to $108.00 while maintaining an "overweight" rating on the stock. Meanwhile, Citigroup upgraded their assessment from "neutral" to "buy," raising their price target from $93.00 to $102.00. Additionally, StockNews.com has upgraded the stock from a "buy" to a "strong-buy" rating.

As per MarketBeat data, six analysts have rated Coca-Cola FEMSA with a "buy" and one has assigned a "strong-buy" rating, resulting in an average rating of "Buy" with an average target price of $104.75.

Coca-Cola FEMSA Stock Down 0.5 %

The company's current financial metrics show a quick ratio of 0.94, a current ratio of 1.14, and a debt-to-equity ratio of 0.47. Coca-Cola FEMSA boasts a market capitalization of $126.30 billion and a price-to-earnings ratio of 12.76, along with a price-to-earnings-growth ratio of 0.55 and a beta of 0.83. At present, the stock's 50-day moving average stands at $78.66, while the 200-day moving average sits at $83.97.

Coca-Cola FEMSA Cuts Dividend

On a separate note, the company recently announced its semi-annual dividend, which shareholders received on December 19th. Those on record as of December 6th were granted a dividend of $0.7433 per share, yielding 3.7%, with the ex-dividend date being the same day. Coca-Cola FEMSA's payout ratio is currently at 11.71%.

Hedge Funds Weigh In On Coca-Cola FEMSA

Institutional investors have also been active with Coca-Cola FEMSA stock. For example, JPMorgan Chase & Co. increased its stake by 90.5% in the third quarter and now holds 796,574 shares valued at $70,672,000 after acquiring an additional 378,325 shares. Other firms like Allspring Global Investments and Marshall Wace LLP also made new investments in the company, highlighting increased interest from hedge funds and institutional investors.

Coca-Cola FEMSA Company Profile

Coca-Cola FEMSA, S.A.B. de C.V., is a leading franchise bottler and is responsible for the production, marketing, selling, and distribution of Coca-Cola products across multiple countries, including Mexico, Guatemala, and Brazil. The company offers a wide range of beverages, including sparkling drinks, water, juices, coffee, teas, milk, energy drinks, and even some alcoholic beverages like hard seltzer under the Topo Chico brand.

Should You Invest $1,000 in Coca-Cola FEMSA Right Now?

As an investor, if you are considering putting money into Coca-Cola FEMSA, you may want to think twice. Although the company carries a "Buy" rating from analysts, there are five other stocks that experts recommend over Coca-Cola FEMSA. It is always beneficial to assess various investment options before deciding where to allocate funds.

Coca-Cola, Investment, Analysis