Overview
- Coca‑Cola drew a wave of target increases following Wednesday's results, with Bank of America lifting to $90, Morgan Stanley to $89, and both Citigroup and TD Cowen to $90.
- Q1 delivered 10% organic revenue growth, $0.86 comparable EPS, 3% unit case gains, and about a 70‑basis‑point lift in operating margin, and shares rose roughly 3.9% on the report.
- Management raised 2026 comparable EPS growth guidance to 8%–9% due to a lower ~19.9% tax rate and modest currency tailwinds, while keeping organic revenue growth at 4%–5%.
- Executives flagged timing and regional factors, saying Easter pulled forward about 0.5 points of Q1 volume that should reverse in Q2, and a one‑time Asia‑Pacific inventory item pressured gross margin.
- Morgan Stanley highlighted structural pricing power, durable volume and the Fairlife dairy brand as key growth drivers, as investors seek low‑beta dividends and stability while some peers face Iran‑linked cost pressure.