WallStSmart

Flowers Foods Inc (FLO)vsThe Coca-Cola Company (KO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Coca-Cola Company generates 851% more annual revenue ($50.13B vs $5.27B). KO leads profitability with a 28.6% profit margin vs 1.4%. KO appears more attractively valued with a PEG of 3.99. KO earns a higher WallStSmart Score of 63/100 (C+).

FLO

Buy

57

out of 100

Grade: C

Growth: 6.0Profit: 5.0Value: 6.0Quality: 4.0
Piotroski: 2/9Altman Z: 1.89

KO

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 9.5Value: 3.3Quality: 6.0
Piotroski: 6/9Altman Z: 2.49
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FLOUndervalued (+64.4%)

Margin of Safety

+64.4%

Fair Value

$32.85

Current Price

$5.94

$26.91 discount

UndervaluedFair: $32.85Overvalued
KOSignificantly Overvalued (-39.6%)

Margin of Safety

-39.6%

Fair Value

$63.08

Current Price

$88.25

$25.17 premium

UndervaluedFair: $63.08Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FLO2 strengths · Avg: 9.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

EPS GrowthGrowth
20.0%8/10

Earnings expanding 20.0% YoY

KO5 strengths · Avg: 9.4/10
Market CapQuality
$379.87B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
39.6%10/10

Every $100 of equity generates 40 in profit

Operating MarginProfitability
34.9%10/10

Strong operational efficiency at 34.9%

Profit MarginProfitability
28.6%9/10

Keeps 29 of every $100 in revenue as profit

Free Cash FlowQuality
$5.10B8/10

Generating 5.1B in free cash flow

Areas to Watch

FLO4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.894/10

Grey zone — moderate risk

Market CapQuality
$1.30B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
5.4%3/10

ROE of 5.4% — below average capital efficiency

Profit MarginProfitability
1.4%3/10

1.4% margin — thin

KO4 concerns · Avg: 3.3/10
P/E RatioValuation
26.5x4/10

Moderate valuation

Price/BookValuation
10.5x4/10

Trading at 10.5x book value

Debt/EquityHealth
1.203/10

Elevated debt levels

PEG RatioValuation
3.992/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : FLO

The strongest argument for FLO centers on Price/Book, EPS Growth.

Bull Case : KO

The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.6% and operating margin at 34.9%.

Bear Case : FLO

The primary concerns for FLO are Altman Z-Score, Market Cap, Return on Equity. Debt-to-equity of 1.52 is elevated, increasing financial risk. Thin 1.4% margins leave little buffer for downturns.

Bear Case : KO

The primary concerns for KO are P/E Ratio, Price/Book, Debt/Equity.

Key Dynamics to Monitor

FLO profiles as a value stock while KO is a mature play — different risk/reward profiles.

FLO carries more volatility with a beta of 0.40 — expect wider price swings.

FLO is growing revenue faster at 6.8% — sustainability is the question.

KO generates stronger free cash flow (5.1B), providing more financial flexibility.

Bottom Line

KO scores higher overall (63/100 vs 57/100), backed by strong 28.6% margins. FLO offers better value entry with a 64.4% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Flowers Foods Inc

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

Flowers Foods, Inc. produces and markets packaged bakery products in the United States. The company is headquartered in Thomasville, Georgia.

The Coca-Cola Company

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.

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