Should I buy Coca-Cola stock in 2025? NZ Edition

What is Coca-Cola?

How much is the Coca-Cola stock?

The price of Coca-Cola stock is rising this week. As of now, Coca-Cola shares are trading at $71.49 USD, showing a 0.48% increase in the past 24 hours but a slight drop of 0.49% over the week.

Coca-Cola is known for its stable performance, making it an appealing choice for NZ investors seeking reliable returns in global markets.

Our full analysis of the Coca-Cola stock

After an in-depth review of The Coca-Cola Company’s most recent financial disclosures and stock movements spanning the past three years, our proprietary modelling—blending financial metrics, technical trends, sector intelligence, and robust peer comparison—highlights an intriguing dynamic emerging around KO shares. With this holistic perspective, it becomes imperative to revisit one of the world’s most iconic consumer brands through an updated, rigorously analytical lens. So, why might Coca-Cola once again represent a strategic entry point into the global defensive consumer sector as we look toward 2025?

Recent Performance and Market Context

Over the last twelve months, Coca-Cola stock (NYSE: KO) has delivered a notable total return of +15.87%, comfortably outpacing many consumer staples peers and rebounding from the cyclical lows of the prior fiscal year. The current share price as of 30 May 2025 stands at $71.49 USD, marking an 11.56% rally over six months, with intraday momentum (+0.48%) reflecting a resilient bid in the face of short-term volatility. While the week-on-week return registered a modest pullback (-0.49%), this remains within the context of sector-wide consolidation.

Recent events have provided tangible, positive drivers. The Q1 2025 results were robust, with revenue on an organic basis growing 6%, operational profit soaring 71%, and margins reaching an impressive 32.9%. Strategic capital deployment, such as the $6.1 billion fairlife payment, further strengthens the company’s competitive positioning. Product innovation remains central, with the launch of Simply Pop, a prebiotic soda targeting health-conscious consumers—a segment exhibiting strong growth globally. Geographically, the activation in India (notably at the Maha Kumbh Mela, with 180 million servings) demonstrates Coca-Cola's ongoing commitment to expansion in high-growth emerging markets.

The macroeconomic backdrop is especially constructive for defensive consumer names. Amid persistent geopolitical uncertainty and cyclical slowdowns in certain developed regions, investors worldwide—and specifically in NZ—have renewed their appreciation for low-beta, dividend-resilient profiles. Dollar strength and currency translation effects remain tactical headwinds, but Coca-Cola’s broad international footprint and pricing power mitigate risk while underlining its portfolio’s defensive qualities.

Technical Analysis

From a technical perspective, Coca-Cola is currently exhibiting a transitionary pattern, with several medium- and long-term signals supporting a bullish case. The 14-day RSI stands at 49.0, positioning KO in a neutral zone—suggesting the stock is neither overbought nor oversold and may be ready to pivot higher, should a near-term catalyst arise.

• MACD (12,26): At 0.07, the MACD is gently negative but lacks strong downward momentum, aligning well with a “wait-and-see” phase that often precedes renewed buying interest.
• Stochastic Oscillator: Reading 77.30 also indicates a neutral-to-positive bias, remaining just south of overbought territory.

Significantly, KO is trading just above key long-term moving averages:

• 50-day MA: $71.12 (bullish signal—with recent close above)
• 100-day MA: $68.42 (bullish signal)
• 200-day MA: $67.35 (bullish signal)

Such positioning reflects structural support, with the $70.46–$71.12 range emerging as a solid technical floor. The 52-week high of $74.38, meanwhile, constitutes the principal resistance. A clean break above this threshold could usher in a new leg higher, particularly given the supportive technical consensus for longer timeframes. For NZ investors attentive to momentum and support levels, this set-up seems to reflect an interesting inflection point—especially relative to the more volatile local equities.

Fundamental Analysis

Coca-Cola’s underlying fundamentals continue to justify institutional attention and strategic accumulation:

• Revenue Growth: Q1 2025 figures reveal $11.1 billion in turnover, with organic growth of +6% even as reported figures were modestly constrained (-2%) by currency effects. Global unit case volume advanced by 2%, underlining robust demand.
• Profitability and Margin Expansion: Operating profit accelerated by 71% year-on-year, with margins widening to 32.9%—a testament to successful pricing actions, cost control, and favourable product mix.
• Earnings Metrics: GAAP EPS increased by 5% to $0.77, with adjusted (non-GAAP) EPS at $0.73 (+1%), meeting the consensus and reinforcing earnings visibility for the upcoming quarters.

Valuation remains attractive in light of growth forecasts and dividend history:

• Trailing P/E: 28.71; Forward P/E: 24.15—showing a moderation as forward earnings expand, while sitting at a premium supported by sector leadership and cashflow dependability.
• Dividend Yield: 2.85% (quarterly $0.51 per share), consistently above sector averages, paired with a remarkable record of over 60 consecutive annual increases—solidifying KO’s “Dividend King” status.

Structurally, Coca-Cola exhibits formidable moats:

• Iconic Brand Reach: Present in 200+ countries; wide distribution leads industry.
• Franchise Model: Asset-light, resilient to cyclical shocks.
• Portfolio Breadth: 30 billionaire brands—ranging from classic sodas to innovative functional beverages.
• Market Leadership: #1 globally in non-alcoholic ready-to-drink beverages, with ongoing share gains in fast-growing categories (RTD tea, prebiotic sodas, hydrating drinks).

These elements come together to establish Coca-Cola as a core holding for conservative, growth- and income-oriented investors—particularly those in New Zealand looking for global exposure with relative capital stability.

Volume and Liquidity

Coca-Cola’s liquidity profile continues to signal institutional conviction and active market participation:

• Average Daily Volume: 17.88 million shares traded over the last three months reflects deep liquidity and low execution risk, making KO suitable for both retail and professional portfolios.
• Public Float: 4.27 billion shares, underscoring the stock’s dynamic pricing environment and suitability for both tactical and long-view strategies.

Sustained volume around technical bases typically points to market confidence in support levels and potential accumulation phases—factors that often precede upwards price moves, especially in blue-chip defensive equities.

Catalysts and Positive Outlook

Looking ahead, multiple catalysts bolster the optimistic trajectory for KO shares:

• Emerging Market Expansion: 80% of the world’s population resides in developing markets—areas where Coca-Cola is actively scaling distribution, with India and China top of mind. Initiatives to deepen local engagement (e.g., Maha Kumbh Mela in India) and broaden accessibility align with rising middle-class consumption trends.
• Product Innovation: The successful US launch of Simply Pop (prebiotic soda) exemplifies Coca-Cola’s agility in synergy with global wellness trends. The company’s portfolio of 30 brands each generating over $1 billion in sales opens the door for continued innovation and cross-category growth.
• ESG and Sustainability: Evolving recycling and sustainable packaging initiatives anchor Coca-Cola’s reputation as a responsible global corporate citizen—an increasingly important criterion among institutional and NZ-based ESG-focused investors.
• M&A Optionality: Recent consolidation and the timely fairlife acquisition demonstrate a disciplined approach to capital allocation—positions the company for accretive growth.

Consensus among global sell-side analysts remains “Strong Buy”, with a 12-month price target at $75.63 (+5.79% upside potential from current levels). Expected organic revenue growth of 5-6%, EPS growth of 2-3%, and robust free cash flow generation (~$9.5 billion forecast, excluding one-time items) all converge to underpin solid prospects for 2025.

Investment Strategies

Coca-Cola presents a variety of entry strategies adaptable to multiple investment horizons:

• Short-term:
• Technical Entry Points: KO is trading close to its 20- and 50-day moving average support ($71.12–$71.28), potentially offering an attractive entry ahead of resistance retests at $74.38.
• Catalyst Event: The upcoming dividend (ex-date 13 June, pay date 1 July) may contribute to near-term defensive positioning.
• Medium-term:
• Earnings Momentum: Q2 and Q3 2025 earnings could validate ongoing organic growth and margin expansion initiatives—timing positions before quarterly updates may be advantageous.
• Emerging Market Announcements: Monitoring partnerships and rollout success (particularly in India and China) could provide upside newsflow.
• Long-term:
• Dividend Growth: The 60+ year dividend increase streak supports a compounding, yield-focused thesis, attractive to NZ superannuation and retirement savings vehicles.
• Secular Demographics: The expansion of middle-class consumers in targeted regions aligns with KO’s distribution muscle—and the stock’s beta (0.47) signals relative resilience through the cycle.

In all cases, positioning upon technical pullbacks or ahead of known catalysts (e.g., product launches, earnings releases) presents rational risk/reward profiles.

Is It the Right Time to Buy Coca-Cola?

Synthesizing the above, Coca-Cola’s rare combination of operational scale, global brand power, relentless portfolio innovation, and reliable cash flow generation forms a robust thesis for renewed interest and potential outperformance. As the company effectively manages short-term currency pressures while capitalising on emerging market dynamics and health-oriented product development, its fundamentals signal durable growth ahead. Technically, the current level—anchored above major moving averages—invites attention, suggesting the stock may be entering a new bullish phase, especially given the supportive market backdrop and defensive rotation underway in global portfolios.

For NZ-based investors seeking a globally diversified, defensive core holding—one that is both income-generative and growth-oriented—Coca-Cola seems to represent an excellent opportunity at current levels. With upcoming dividend dates, clear catalysts, and a history of delivering through cycles, the stock’s structural strengths and positive momentum justify serious consideration for new or incremental positioning.

In a market that increasingly rewards resilience, innovation, and disciplined execution, Coca-Cola stands out as a compelling avenue for those aiming to capitalise on the next wave of opportunity in the global consumer landscape.

How to buy Coca-Cola stock in New Zealand?

Buying shares in The Coca-Cola Company (KO) online is both simple and secure for New Zealand investors, thanks to the availability of regulated brokers that provide access to international stock markets. There are two primary methods available: spot buying, where you become a real shareholder, and CFD (Contract for Difference) trading, which allows you to speculate on the price of Coca-Cola shares without owning them. Both approaches come with specific features, risks, and costs, which you should consider carefully. To help you find the most suitable platform, a comparison of leading brokers is offered further down the page.

Spot buying

A spot (or cash) purchase means you’re buying real Coca-Cola shares, making you a part-owner and eligible for dividends. New Zealand brokers typically charge a fixed commission per order for US shares, which generally ranges from NZD $3 to $10 per trade.

Example

If the Coca-Cola share price is $71.49 USD (around $116 NZD at current rates), with a $1,000 NZD investment (approximately $616 USD), you could purchase about 8 full shares after allowing for a typical $5 NZD brokerage fee.

• Gain scenario: If the share price rises by 10%, your holdings would be worth $1,100 NZD.
• Result: That’s a +$100 gross gain, or +10% on your initial investment.

Trading via CFD

CFD trading on Coca-Cola lets you speculate on KO’s share price without physically owning shares. Instead, you enter into a contract reflecting the price movement. CFDs require lower upfront capital, and most brokers offer leverage (for example, 5×), meaning you can control a larger position than your cash deposit. Be aware: you’ll pay the spread (the difference between buy and sell prices) as well as overnight financing fees for leveraged positions held over several days.

Example

With a $1,000 NZD stake and 5× leverage, you gain $5,000 NZD exposure to Coca-Cola shares.

• Gain scenario: If KO rises by 8%, your CFD position gains 8% × 5 = 40%.
• Result: +$400 gain on a $1,000 outlay (before fees).

Final advice

Before investing, always compare the fees, conditions, and trading tools offered by different brokers to find what suits your needs best. Your choice between spot buying and CFD trading should reflect your investment goals, time horizon, and risk tolerance. You’ll find a detailed broker comparison further down this page to support your informed decision.

Our 7 tips for buying Coca-Cola stock

The latest news about Coca-Cola

Coca-Cola maintains robust business momentum and positive analysts’ sentiment as it heads into mid-2025. Coca-Cola’s stock price as of 30 May 2025 stands at $71.49, reflecting a year-on-year climb of 15.87% and a 6-month advance of 11.56%, underscoring ongoing investor confidence. Notably, the company’s 12-month dividend yield of 2.85% and its uninterrupted record as a Dividend King are especially valuable for New Zealand investors seeking stable, defensive income streams within global equities, with the next ex-dividend date set for 13 June and payment on 1 July 2025. These features make Coca-Cola attractive for Kiwi investors pursuing international diversification and resilience in portfolios amid variable economic conditions.

Recent Q1 2025 results show strong operational performance with significant margin expansion and profit growth. Coca-Cola reported first-quarter revenues of $11.1 billion, with organic revenue growth at +6% despite a 2% headline drop due to currency pressures. Profits outpaced expectations with operating income surging 71% and a record operating margin of 32.9%, driven by cost discipline and product mix. These results, largely in line with consensus and shaped by prudent management, suggest stable earnings quality—an appealing feature for institutional investors and fund managers in New Zealand, who continue to favour global blue-chip stocks with consistent profitability and high levels of operational execution.

Coca-Cola’s broad international presence and innovation pipeline underpin its relevance in the New Zealand market and Asia-Pacific region. While Coca-Cola does not list significant new local New Zealand partnerships this week, its continued expansion in emerging markets and product innovation—such as the US launch of Simply Pop, a prebiotic soda—signal ongoing brand dynamism and category leadership. With established distribution in New Zealand through Coca-Cola Europacific Partners, the global growth narrative and innovation trajectory directly benefit domestic consumers and retail partners, supporting long-term brand equity and availability in the local FMCG sector.

Technical indicators provide a neutral-to-positive backdrop, with long-term upward signals supporting potential stock appreciation. As of the most recent trading sessions, technical signals for KO are neutral on short-term oscillators but more bullish on long-term moving averages, with the 50, 100, and 200-day lines all flashing buy signals. Consensus analyst target price stands at $75.63, implying about 5.8% upside, while overall market sentiment remains “Strong Buy.” This technical strength, combined with stable fundamentals, is relevant to New Zealand advisors and investors seeking reliable, low-volatility global equity positions, especially in uncertain macro environments.

Coca-Cola continues to deliver on sustainability and ESG commitments, important for Kiwi institutions and local regulatory expectations. The company maintains robust ESG programs—especially in recycling and sustainable packaging—which are increasingly demanded by New Zealand financial institutions and retail investors due to the country’s strong regulatory and societal focus on responsible investment. Coca-Cola’s alignment with these themes not only strengthens corporate reputation, but also fits well with growing allocations toward ESG-compliant holdings in KiwiSaver schemes and institutional mandates, reinforcing its strategic placement in locally managed global portfolios.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.