Recently, people are starting to re-awaken to the fact that Coca-Cola is a business that earns 28.2% net profit margins, controls 3.5% of the entire world’s liquid supply, has the most vast distribution network of any manufacturer in the entire world, and has probably the most valuable intellectual property ever invented on its Coca-Cola assortment of brands that have truly global recognition.
The stock, which had traded in the $40s per share more or less since 2012, is starting to show that smaller packaging with higher unit costs and a ruthless focus on automation (that is largely underreported in the financial media) is driving a return to 7-9% earnings per share growth. With a dividend yield still north of 3%, it is now positioned for 10% to 12% returns over a multi-decade period.
That is especially true if you reinvest.
Maybe it all feels the same to investors who look … Read the rest of this article!
The post Coca-Cola Stock: Those Reinvested Dividends first appeared on The Conservative Income Investor.