Coca-Cola (KO) is expected to report Q2 earnings before the open on Tuesday, July 17, with a conference call scheduled for 9:30 am ET.
Analysts are looking for a profit of $1.19 on revenue of $12.99B. The consensus range is $1.16-$1.21 for EPS on revenue of $12.69B-$13.28B, according to First Call. During its last earnings conference call, Coca-Cola said that its fiscal year commodity cost inflation forecast remained at $350M-$450M, but added that the commodity inflation outlook may slowly improve in the coming months. Investors will be interested to learn where the company now stands on the topic in light of the recent run-up in corn prices and the worsening corn crop condition forecasts. The company may also offer interesting commentary on two ongoing stories in which it is involved: New York City's proposed ban on large sizes of sugary drinks and soda makers' jointly sponsored lobbying efforts to eliminate the U.S. government sugar program.
Wells Fargo wrote in a note to investors today that the firm thinks investors will value Coca-Cola's defensive, reliable nature more highly in the current macro economic environment. Wells maintains an Outperform rating and raised its valuation range on the stock to $84-$86. However, shares are down about 1% to $76.51 in mid-afternoon trading. :