Coca-Cola rises par excellent benefits of the fourth quarter while the market goes back through Trump tariffs

  • Coca-Cola’s actions rose for their results in the fourth quarter on Tuesday.
  • The actions rose almost 4% thanks to a better organic growth.
  • KO’s actions lead with a serious bassist doji despite the profits.
  • The European Union said it would respond in the same way to Trump’s tariffs on aluminum and steel.

Coca-Cola (KO) It rose 3.7% on Tuesday morning thanks to a solid earnings report of the fourth quarter that showed considerable organic growth in the beverage leader. In addition, the management presented a perspective for 2025 that foresees continuous global growth.

Simultaneously, the market in general is in a moderate decline after President Donald Trump signed an order on Monday night to impose 25% tariffs on all steel and aluminum imported to the US with promises to return the favor, which unleashed fears of a broader commercial war.

The Dow Jones industrial average (DJIA), which includes Coca-Cola as a component, fell 0.3% in the morning session, and the S&P 500 and the Nasdaq were in nearby alignment.

Coca-Cola Profit News

Coca-Cola reported sets adjusted by the action of the fourth quarter of 0.55 $, 3 cents or 6% above the average forecast on Wall Street.

The income of 11,500 million dollars showed an annual growth close to 7% and exceeded 800 million dollars the consensus of the street. Added organic income increased by 14% compared to the previous year. The global volume of units increased by 2%, while analysts expected a slight decrease.

However, the management says that this organic income growth should be reduced to 5% or 6% in 2025, due in part to the winds against currency and other structural impacts.

Those same winds against the currency are expected to push the growth of neutral earnings in currency of 8% -10% to 2% -3% in a comparable EPS base in 2025. However, the market is not surprised by This discrepancy, since many other companies are guiding for the same winds against the currency.

The results of the fourth quarter of Coca-Cola reach the end of a difficult period for the company. The full -year operating cash flow fell 41% to 6,800 million dollars, while the adjusted free cash flow collapsed 51% to 4.7 billion dollars. Excluding certain provisions, Coca-Cola foresees a free cash flow of 9,500 million dollars in 2025.

Forecast of Coca-Cola actions

Until now, Coca-Cola’s actions have formed a severe serious dreaded as a daily sail. Tuesday’s session is not over yet, but the price action so far tells us to sell. The initial emotion for the earnings of the beverage manufacturer sent the shares up to $ 67.64, a level that the shareholders had not seen since the end of October last year.

But the long wick at the top tells us that the operators took their benefits and do not expect recovery to continue. This does not necessarily mean that KO’s shares backed into the support by $ 61, but it cools the hopes of recovering the previous level of $ 69.

More evidence that the current bearish trend could continue is that mobile socks are inverted. The simple mobile average (SMA) is above 100 days, which in turn is well above 50 days. This tells us that there is a lack of trust that supports the price of Coca-Cola shares.

KO Actions Daily Chart

Source: Fx Street

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