Coca-Cola FEMSA, S.A.B. de C.V. (KOF) AI Stock Analysis

Coca-Cola FEMSA, S.A.B. de C.V. operates as a franchise bottler specializing in the production, marketing, sales, and distribution of Coca-Cola trademark beverages across Latin America. Headquartered in Mexico City, Mexico, the company produces sparkling beverages, waters, juice drinks, coffee, teas, dairy products, sports and energy drinks, and plant-based beverages. Its operations span Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Brazil, Argentina, and Uruguay. Products are distributed through wholesale supermarkets, discount stores, convenience stores, and institutional venues such as restaurants, bars, and stadiums. In Brazil, the company also distributes and sells Heineken beer products.

Between FY2020 and FY2025, Coca-Cola FEMSA delivered a revenue compound annual growth rate of 9.7%. Annual revenue expanded from $194.80B in FY2021 to $291.75B in FY2025, accompanied by net income growth from $15.71B to $23.84B. Gross margin held steady over this timeframe, ending FY2025 at 45.1%, while operating margin closed at 14.0%. For the trailing twelve months ending June 30, 2026, revenue totaled $296.20B, delivering a net profit margin of 8.1%. During the latest quarter ending June 30, 2026, quarterly revenue grew 4.7% year-over-year, and quarterly earnings grew 16.9% year-over-year.

As of June 30, 2026, Coca-Cola FEMSA held $43.03B in cash and short-term investments against total debt of $89.46B, resulting in net debt of $46.43B. Shareholders' equity stood at $142.58B, with a debt-to-equity ratio of 0.63 and a current ratio of 1.04. In FY2025, operating cash flow reached $27.76B, which funded capital expenditures of $21.67B and generated free cash flow of $6.10B. Cash was also deployed toward financing activities, with dividends paid amounting to $15.73B in FY2025.

Coca-Cola FEMSA trades at an enterprise value of $25.41B and a trailing price-to-earnings ratio of 150.6x, compared to 18.6x for the median of its US-listed Consumer Defensive peers. Its forward price-to-earnings ratio is 123.5x versus the peer median of 14.3x. However, its EV/EBITDA of 10.3x sits below the peer median of 11.7x. Over the past year, KOF stock delivered a 45.1% return, outperforming the S&P 500 return of 16.8%. Over a 5-year timeframe, the stock gained 162.7% compared to 83.0% for the index.

Coca-Cola FEMSA provides an annual forward dividend of $4.32 per share, representing a dividend yield of 3.63%. The company has paid consecutive dividends for 23 years, posting a 5-year annualized dividend growth rate of 12.6%. Its payout ratio is 66.2%, and distributions are paid on a quarterly schedule, with the last ex-dividend date on October 9, 2026.

Wall Street coverage includes 6 Strong Buy, 2 Buy, and 6 Hold recommendations, with zero Sell or Strong Sell ratings. The mean price target is $121.21, reflecting a 1.9% premium over the last close of $118.95. Consensus estimates project current fiscal year earnings per share of $7.13, representing 8.0% annual growth. Over the last 4 quarters, the company beat earnings estimates 2 times. The next earnings date is October 27, 2026.

This page is an AI-written research summary of Coca-Cola FEMSA, S.A.B. de C.V. (KOF). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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