What is Coca-Cola Co Preferred Stock?
Preferred stock is a special equity security that has properties of both equity and debt. Coca-Cola Co's preferred stock for the quarter that ended in Dec. 2023 was $0 Mil.
The market value of preferred stock needs to be added to the market value of common stocks in the calculation of Enterprise Value. Coca-Cola Co's Enterprise Value for the quarter that ended in Dec. 2023 was $283,810 Mil.
In the calculation of book value, the par value of preferred stocks needs to subtracted from total equity. Coca-Cola Co's Book Value per Share for the quarter that ended in Dec. 2023 was $6.02.
Dividends paid to preferred stocks need to be subtracted from net income in the calculation of Earnings per Share (Diluted). Coca-Cola Co's Earnings per Share (Diluted) for the threemonths ended in Dec. 2023 was $0.46.
Coca-Cola Co Preferred Stock Historical Data
The historical data trend for Coca-Cola Co's Preferred Stock can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
Coca-Cola Co Preferred Stock Chart
| Coca-Cola Co Annual Data | ||||||||||||||||||||
| Trend | Dec14 | Dec15 | Dec16 | Dec17 | Dec18 | Dec19 | Dec20 | Dec21 | Dec22 | Dec23 | ||||||||||
| Preferred Stock | Get a 7-Day Free Trial | - | - | - | - | - | ||||||||||||||
| Coca-Cola Co Quarterly Data | ||||||||||||||||||||
| Mar19 | Jun19 | Sep19 | Dec19 | Mar20 | Jun20 | Sep20 | Dec20 | Mar21 | Jun21 | Sep21 | Dec21 | Mar22 | Jun22 | Sep22 | Dec22 | Mar23 | Jun23 | Sep23 | Dec23 | |
| Preferred Stock | Get a 7-Day Free Trial | - | - | - | - | - | ||||||||||||||
Coca-Cola Co Preferred Stock Calculation
Preferred Stock is a special equity security that has properties of both equity and debt. It is generally considered a hybrid instrument. Preferred stock is senior to common stock, but is subordinate to bonds in terms of claim or rights to their share of the assets of the company.
Preferred stock has priority over common stock in the payment of dividends and any payments received when a company liquidates.
Preferred stock comes in many forms. It can be:
Convertible or Non-Convertible
Cumulative or Non-Cumulative
Voting or Non-Voting
Callable or Non-Callable
Maturity Date or No Maturity Date
A preferred stock without a maturity date is called a perpetual preferred stock. These are relatively rare. A good example of perpetual preferred stock is the many series of Public Storage (PSA) preferred shares that trade on the New York Stock Exchange.
Before investing in preferred stock, it is important to know which of the above groups the stock belongs to. Is it convertible or non-convertible? Are dividends cumulative or non-cumulative?
It is also critical that an investor knows what bonds the company has in front of the preferred stock. Bondholders get paid first. So the decision to buy a preferred stock can be similar to the decision to buy a bond. But, remember, the preferred stock of a company with bonds is junior to those bonds.
Unless a preferred stock is convertible, the upside in a preferred stock investment is more limited than in a common stock investment. If a company doubles its earnings, it is usually under no more obligation to double the dividends paid to preferred shareholders than it is to double the interest paid to its bankers and bondholders.So preferred stock is very different from common stock.
Coca-Cola Co(NYSE:KO) Preferred Stock Explanation
When a company needs capital but does not wish to issue debt, they may sell preferred stocks to investors.
For instance, during the financial crisis of 2008, Goldman Sachs (GS) issued a combination of preferred stock and common stock options for $5 billion of capital to Warren Buffetts Berkshire Hathaway (BRK.A)(BRK.B). In this deal, Berkshire Hathaway paid $5 billion for 10% cumulative perpetual preferred stock and warrants to buy 43.5 million shares of Goldman Sachs at $115 a share. Goldman Sachs bought back the preferred in 2010. Guess how much money Warren Buffett made in this deal in two years? Read How Much Did Warren Buffetts Berkshire Hathaway (BRK.B) Make on Its Goldman Sachs (GS) Preferred Stock?
1. The market value of Preferred Stocks needs to be added to the market value of common stocks in the calculation of enterprise value.
Coca-Cola Co's Enterprise Value for the quarter that ended in Dec. 2023 is calculated as
| Enterprise Value | |||||||||
| = | Market Cap | + | Preferred Stock | + | + | + | Minority Interest | ||
| = | 253870.44 | + | 0 | + | 35547 | + | 6517 | + | 1539 |
| - | Cash, Cash Equivalents, Marketable Securities | ||||||||
| - | 13663 | ||||||||
| = | 283,810 |
2. In the calculation of Book Value, the par value of Preferred Stocks needs to subtracted from total equity.
Coca-Cola Co's Book Value per Share for the quarter that ended in Dec. 2023 is calculated as
| Book Value per Share | = | (Total Stockholders Equity | - | Preferred Stock) | / | Shares Outstanding (Diluted Average) |
| = | (25941 | - | 0) | / | 4308 | |
| = | 6.02 |
3. Dividends paid to Preferred Stocks need to be subtracted from net income in the calculation of earnings per share.
Coca-Cola Co's Earnings per Share (Diluted) (EPS) for the three months ended in Dec. 2023 is calculated as
| Earnings per Share (Diluted) | = | (Net Income | - | Preferred Dividends) | / | Shares Outstanding (Diluted Average) |
| = | (1973 | - | 0) | / | 4330.000 | |
| = | 0.46 |
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Coca-Cola Co Preferred Stock Related Terms
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Coca-Cola Co (Coca-Cola Co) Business Description
Industry
GURUFOCUS.COM »STOCK LIST »Consumer Defensive » Beverages - Non-Alcoholic » Coca-Cola Co (NYSE:KO) » Definitions » Preferred Stock
Comparable Companies
PEP MNST KDP COCSF CELH co*kE FIZZ COCO SHOT ZVIA HKSE:09633 LSE:CCEP NSE:VBL AC LSE:CCH TSE:2267 IST:CCOLA SHSE:603156 HKSE:00220 TSX:PRMW
Traded in Other Exchanges
Address
One Coca-Cola Plaza, Atlanta, GA, USA, 30313
Website
Founded in 1886, Atlanta-headquartered Coca-Cola is the world's largest nonalcoholic beverage company, with a strong portfolio of 200 brands covering key categories including carbonated soft drinks, water, sports, energy, juice, and coffee. Together with bottlers and distribution partners, the company sells finished beverage products bearing Coca-Cola and licensed brands through retailers and food-service locations in more than 200 countries and regions globally. Coca-Cola generates around two thirds of its total revenues overseas, with a significant portion from emerging economies in Latin America and Asia-Pacific.
Executives
| James Quincey | other: Group President | THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Henrique Braun | other: Operating Unit President | C/O THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Beatriz R Perez | officer: Senior Vice President | ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Monica Howard Douglas | officer: SVP & General Counsel | 535 MADISON AVENUE, 20TH FLOOR, NEW YORK NY 10022 |
| John Murphy | other: Group President | THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Thomas Sinnickson Gayner | director | C/O MARKEL CORP, 4521 HIGHWOODS PARKWAY, GLEN ALLEN VA 23060 |
| Amity Millhiser | director | C/O THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Manuel Arroyo | other: Group President | THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Nikolaos Koumettis | other: Group President | THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Nancy Quan | officer: Senior Vice President | THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Erin L May | officer: Vice President & Controller | C/O THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Bruno Pietracci | other: President, Latin America OU | C/O THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Brian John Smith | other: Group President | THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Mark Randazza | officer: Principal Accounting Officer | THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313 |
| Allen Herbert A Iii | director | ALLEN & COMPANY LLC, 711 FIFTH AVENUE, NEW YORK NY 10022 |
Coca-Cola Co (Coca-Cola Co) Headlines
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