Seeking Alpha

Morgan Stanley cautious on Coca-Cola

  • Morgan Stanley doesn't think the recent decline in Coca-Cola (KO +0.6%) provides investors an attractive entry point on concerns the increased marketing spend from the compny will take time to drive volume higher.
  • The investment firm thinks consensus revenue estimates are too high with many of Coca-Cola's headwinds (F/X, macro, emerging markets) still very much in play.
  • Shares of KO are down 9.4% YTD.
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Comments (9)
  • BAHAMAS1
    , contributor
    Comments (3153) | Send Message
     
    How many shares does Morgan wish to purchase on these lame comments ?

     

    Same old crap, in 2 to 3 months ,after they bot for themselves and high rate clients, they will upgrade KO.
    24 Feb 2014, 11:25 AM Reply Like
  • isenior
    , contributor
    Comments (19) | Send Message
     
    52 annual dividen increases.......
    24 Feb 2014, 01:18 PM Reply Like
  • bikeguy
    , contributor
    Comments (4) | Send Message
     
    So what is Morgans entry point??
    24 Feb 2014, 02:50 PM Reply Like
  • mosheoskar
    , contributor
    Comments (66) | Send Message
     
    36
    24 Feb 2014, 03:29 PM Reply Like
  • slcUTAH
    , contributor
    Comments (542) | Send Message
     
    YYYAAAWWWNNN.

     

    Cheers.
    24 Feb 2014, 03:50 PM Reply Like
  • Tim McAleenan Jr.
    , contributor
    Comments (2086) | Send Message
     
    I wish these investment houses would be honest and acknowledge that Coca-Cola's see-through earnings growth is currently constrained by two temporary phenomena: (1) bottling transactions, and (2) unfavorable currency translations when you convert profits back to the U.S. dollar.

     

    Those are about as temporary as headwinds can get.

     

    Even with these problems, Coca-Cola is still going to increase net profits over the course of this year. How many stocks out there can have "bad" years and still grow profits by 5%, 6%, or 7%?

     

    This is a gilt-edged holding for people that are interested in building sustainable, intergenerational wealth for the super long-term, and I have no problem ignoring this kind of Morgan Stanley nonsense. It's my empathy for honest, well-meaning folks that take these trash recommendations seriously that bothers me.
    25 Feb 2014, 12:16 AM Reply Like
  • lipzig
    , contributor
    Comment (1) | Send Message
     
    are there any forever stocks left ?

     

    If so, one would want to add Coke to this list.

     

    Although they will surely solve their operational problems, they face a massive headwind of medical demographics ( obesity,Diabetes) over which they have no control and very little room to out manouvre.
    25 Feb 2014, 01:54 AM Reply Like
  • CassandraSees
    , contributor
    Comments (430) | Send Message
     
    KO could make a guideline suggestion to it's customers that they would be well advised to moderate their intake, lets say 8 oz rather than a 32 oz big gulp at a meal - - Look at pictures of consumers from the 1950's and the size of drinks that they had then, compared to what you see today - - Anything done to excess is harmful to the body, including water if drunk in gallons per day
    25 Feb 2014, 10:11 AM Reply Like
  • BAHAMAS1
    , contributor
    Comments (3153) | Send Message
     
    I have one further thing to say about this subject and I truly believe it , especially since it involves such a well managed portfolio stalwart as KO...

     

    "This too shall pass" !

     

    Buy more KO and ,as Coca-Cola says , Buy HAPPINESS !
    25 Feb 2014, 09:27 AM Reply Like
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