Equity valuation Coca-Cola company

  • Alessio Billardello (Student)

Student thesis: Master's Thesis


This dissertation aims to determine the fair value per share of Coca-Cola Company (KO), one of the leaders in the Soft Drink industry. The main purpose of this dissertation is to provide to potential investors an overview of KO and an investment recommendation. The thesis begin with a theoretical overview of the economic doctrine, to examine the various valuation tools and then decided to use two valuation approaches: discounted cash flows and valuation through multiples that helped to smooth the price, enriching the valuation with considerations derived from the Peer choices, operating in related markets. The sensitivity analysis was then carried out to understand how the variation of two critical variables, WACC and Growth Rate, within the DCF, can affect the stock price. The final recommendation is BUY, coherent with an expected increase in the share price by approximately 16%; a recommendation that has been shown to be consistent with the results of the Coca-Cola Equity report published by Trefis.
Date of Award12 Oct 2020
Original languageEnglish
Awarding Institution
  • Universidade Católica Portuguesa
SupervisorJosé Carlos Tudela Martins (Supervisor)


  • Carbonated soft drink industry
  • Beverage industry
  • Equity research
  • Firm valuation
  • Coca-Cola Company


  • Mestrado em Finanças

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