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Coca Cola Acquired BodyArmour, Kobe Bryant Made A Wise Decision

Before the death of Kobe Bryant, he earned a total of $323.3 million in NBA salary in his 20 years as a professional basketballer. In March 2014 Kobe decided to invest in the sports beverage company BodyArmor. Kobe paid $6 million for a 10% stake in BodyArmor. In August 2018, Coca-Cola bought 15% of BodyArmor for $300 million. At that point, Kobe’s $6 million investment had turned into $200 million on paper. Kobe’s $6 million investment in 2014 is now worth $400 million after Coca-Cola took complete ownership of the brand.

Now looking at the Coca-Cola stock, the month of October was uncertain for $KO investors as prices ranged between $53.76 and $54.87. Towards the end of October, there was a gap-up to $55.44 from the range. Since the announcement of the acquisition of BodyArmour, the price of $KO has continued to appreciate.

On the daily chart, the trendline has not been broken to the downside since the beginning of the year. The price of $KO tried to touch the trendline with a dip in February and October, but the bulls overpowered the bears. RSI has shown that the price has been oversold in October. This is an indication of a possible rally, which might reach this year’s resistance at $57.58. The recent take over of BodyArmour by Coca-Cola might also lead to increase sales of the BodyArmour, which can only help the stock price further.

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