Since Coca-Cola acquired BodyArmour, the share price has continued to appreciate in value, which was spot on according to our analysts. Coca-Cola is one of the very few companies that has existed for 100years and the share price keeps rallying. According to Coke, Fresca is surging in popularity recently, as the fastest-growing soda trademark in the beverage giant’s U.S. portfolio. Coca-Cola has seen a reason to team up to create ae alcoholic Fresca cocktails. The previous all-time high of $KO was at $60.15 which was February 2020.
Since the previous all-time high was reached at $60.15, the price of Coca-Cola fell by almost 50%, which was a result of the global lockdown. Since the ease of the lockdown, the appreciation has occurred gradually till it surpassed the $60.15. A new all-time was reached on the 5th of January, 2022 at $61.15. On November 4, 2021, our article on the acquisition of Body Armour shows that price could rally, price has eventually rallied. Will Coca-Cola, a non-alcoholic company teaming up with an alcoholic company like Fresca should be a reason for a price drop in the value of Coca-Cola?
This might be a reason our analysts are forecasting the price to drop to $53.90, which is about a 10% dip in price. Or could be it a result of Coca-Cola CEO James Quincey in October 2020 getting rid of beloved beverages. This means he was killing off half the company’s portfolio. Since the beginning of this year, the all-time high has been reached, the price has been ranging, which shows consolidation. On the daily chart, RSI still shows price has been overbought as the price maintains the upper region of the Bollinger bands. Though the bulls took over from the bears in December 2021, there are indications the bears are gathering momentum.
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