The Coca-Cola Company (KO)vsSprouts Farmers Market LLC (SFM)
KO
The Coca-Cola Company
$78.19
+0.37%
CONSUMER DEFENSIVE · Cap: $336.45B
SFM
Sprouts Farmers Market LLC
$80.69
-0.62%
CONSUMER DEFENSIVE · Cap: $7.64B
Smart Verdict
WallStSmart Research — data-driven comparison
The Coca-Cola Company generates 454% more annual revenue ($49.28B vs $8.90B). KO leads profitability with a 27.8% profit margin vs 5.7%. SFM appears more attractively valued with a PEG of 1.12. KO earns a higher WallStSmart Score of 65/100 (B-).
KO
Strong Buy65
out of 100
Grade: B-
SFM
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-21.9%
Fair Value
$64.15
Current Price
$78.19
$14.04 premium
Margin of Safety
+55.2%
Fair Value
$146.67
Current Price
$80.69
$65.98 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Strong operational efficiency at 35.1%
Keeps 28 of every $100 in revenue as profit
Generating 1.8B in free cash flow
Every $100 of equity generates 37 in profit
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Areas to Watch
Trading at 10.0x book value
Elevated debt levels
Expensive relative to growth rate
4.1% revenue growth
5.7% margin — thin
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : KO
The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.8% and operating margin at 35.1%. Revenue growth of 12.1% demonstrates continued momentum.
Bull Case : SFM
The strongest argument for SFM centers on Return on Equity, Altman Z-Score, P/E Ratio. PEG of 1.12 suggests the stock is reasonably priced for its growth.
Bear Case : KO
The primary concerns for KO are Price/Book, Debt/Equity, PEG Ratio.
Bear Case : SFM
The primary concerns for SFM are Revenue Growth, Profit Margin, Debt/Equity.
Key Dynamics to Monitor
KO profiles as a mature stock while SFM is a value play — different risk/reward profiles.
SFM carries more volatility with a beta of 0.67 — expect wider price swings.
KO is growing revenue faster at 12.1% — sustainability is the question.
KO generates stronger free cash flow (1.8B), providing more financial flexibility.
Bottom Line
KO scores higher overall (65/100 vs 54/100), backed by strong 27.8% margins and 12.1% revenue growth. SFM offers better value entry with a 55.2% margin of safety. Both earn "Strong 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.
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.
Visit Website →Sprouts Farmers Market LLC
CONSUMER DEFENSIVE · GROCERY STORES · USA
Sprouts Farmers Market, Inc. offers fresh, natural and organic food products in the United States. The company is headquartered in Phoenix, Arizona.
Visit Website →Compare with Other BEVERAGES - NON-ALCOHOLIC Stocks
Want to dig deeper into these stocks?