COKE
Coca-Cola Consolidated, Inc.
$204.55
Stable Earnings Power
80%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Overvalued
Trading 43.0% above fair value
You pay
$204.55
Bear
$122.58
Fair
$143.01
Bull
$163.44
Bear
$122.58
-40.1%
$6.81 × 18x P/E
Fair
$143.01
-30.1%
$6.81 × 21x P/E
Bull
$163.44
-20.1%
$6.81 × 24x P/E
Adjust Assumptions
21.0x
6.81$
Key Value Driver
Normalized P/E multiple (21x base case)
Implied Market Multiple
30.0x
Summary
Applying a 21x P/E to adjusted EPS of $6.81, the base-case value is $143.01 per share.
Key Risks
- Growth DCF inappropriate — terminal value assumptions dominate
- EV/EBITDA misleading for regulated businesses where capex is mandated
- Regulatory risk is a fat tail not visible in normal multiples