Coca-Cola FEMSA, S.A.B. de C.V.
Coca-Cola FEMSA, S.A.B. de C.V. Fundamental Analysis
Coca-Cola FEMSA, S.A.B. de C.V. (COCSF) shows weak financial fundamentals with a PE ratio of 136.79, profit margin of 7.85%, and ROE of 16.37%. The company generates $9.2B in annual revenue with moderate year-over-year growth of 4.27%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 46.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze COCSF's fundamental strength across five key dimensions:
Efficiency Score
WeakCOCSF struggles to generate sufficient returns from assets.
Valuation Score
ModerateCOCSF shows balanced valuation metrics.
Growth Score
WeakCOCSF faces weak or negative growth trends.
Financial Health Score
ExcellentCOCSF maintains a strong and stable balance sheet.
Profitability Score
ModerateCOCSF maintains healthy but balanced margins.
Key Financial Metrics
Is COCSF Expensive or Cheap?
P/E Ratio
COCSF trades at 136.79 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, COCSF's PEG of -0.20 indicates potential undervaluation.
Price to Book
The market values Coca-Cola FEMSA, S.A.B. de C.V. at 22.81 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 1.25 times EBITDA. This is generally considered low.
How Well Does COCSF Make Money?
Net Profit Margin
For every $100 in sales, Coca-Cola FEMSA, S.A.B. de C.V. keeps $7.85 as profit after all expenses.
Operating Margin
Core operations generate 14.27 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $16.37 in profit for every $100 of shareholder equity.
ROA
Coca-Cola FEMSA, S.A.B. de C.V. generates $6.92 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Coca-Cola FEMSA, S.A.B. de C.V. produces operating cash flow of $1.14B, showing steady but balanced cash generation.
Free Cash Flow
Coca-Cola FEMSA, S.A.B. de C.V. produces free cash flow of $512.66M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.98 in free cash annually.
FCF Yield
COCSF converts 16.65% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
136.79
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.20
vs 25 benchmark
P/B Ratio
Price to book value ratio
22.81
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.34
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.66
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.10
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.16
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How COCSF Stacks Against Its Sector Peers
| Metric | COCSF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 136.79 | 21.22 | Worse (Expensive) |
| ROE | 16.37% | 1162.00% | Weak |
| Net Margin | 7.85% | -5683.00% (disorted) | Weak |
| Debt/Equity | 0.66 | 0.73 | Neutral |
| Current Ratio | 1.10 | 2.51 | Neutral |
| ROA | 6.92% | -609038.00% (disorted) | Weak |
COCSF outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Coca-Cola FEMSA, S.A.B. de C.V.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
58.89%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
131.35%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
-60.50%
Industry Style: Defensive, Dividend, Low Volatility
Declining