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Time-Tested Axiom: No One Ever Went Broke Holding Coke

Coca-Cola (KO) truck"Old reliable" Coca-Cola (KO), first discussed here on February 20, 2009, at a price of $42.68, has retested the $65 level. If you haven't already, now may be a good time to consider taking some profits off the table with KO, if you're in near $43.

However, investors who can tolerate the risk can maintain their full position in KO, but keep in mind the journey to $80 may not be completed in 2011.

Continue reading Time-Tested Axiom: No One Ever Went Broke Holding Coke

The Timely Ten: Blue Chip Dividends

Procter and Gamble (PG) logo"Our goal is helping investors grow their capital and income base from which to derive cash for their current and future needs," notes dividend expert Kelley Wright.

The editor of Investment Quality Trends explains, "To that end we believe that high-quality stocks purchased at historically low-price-to-high-yield offers the best potential for downside protection and upside appreciation. Our Timely Ten list represents our current top ideas.

Continue reading The Timely Ten: Blue Chip Dividends

Coca-Cola Trading Higher Today: More Gains Ahead?

Coca-Cola (KO) is having one of those great days when its stock is up over a buck. At the time of this writing, shares were higher by $1.08 to $65. I don't know how statistically common or uncommon such a move is, but I know I'm always surprised and delighted when I see strength like that (obviously, I hold the beverage giant in my portfolio).

So, what's moving the stock? According to TheStreet.com, the company decided to purchase all of Honest Tea; Coke previously retained a minority position in the entity.

Continue reading Coca-Cola Trading Higher Today: More Gains Ahead?

Buffett Talks About His Investment Secret Sauce

There is no shortage of analysis on the investment techniques of Warren Buffett. It seems that the books about him could fill a library!

However, when looking at his principles, it is not always easy to figure out how he prioritizes things. Of course, few companies have all the criteria.

Well, according to an interview with the Financial Crisis Inquiry Commission recently, Buffett gave some interesting insight on this.

Continue reading Buffett Talks About His Investment Secret Sauce

Should You Sell PepsiCo Based on the Q4 Report?

PepsicCo (PEP) is in the red at the time of this writing. Investors weren't dazzled by the beverage entity's latest earnings report, I guess. I see a quote of $63.16 on my screen; this means that the shares are off by about 2%. Volume is heavy.

According to the Associated Press, fourth-quarter profit on a reported basis went down five pennies to 85 cents per share. Not good to hear, but here's something that will put shareholders in a happier mood: on an adjusted basis, profit calculated out to $1.05 per share, a figure that was one penny ahead of the overall projection.

Continue reading Should You Sell PepsiCo Based on the Q4 Report?

Coca-Cola's Earnings Surge

Coca-Cola (KO)Last year, Coca-Cola (KO) acquired Coca-Cola Enterprises' North American bottling operations. In addition, volume in North America rose 3%, excluding acquisitions and the currency impacts. These two factors gave the company an outstanding quarter. The company has taken market share from its rival PepsiCo (PEP).

Coca-Cola reported Wednesday earnings of $5.77 billion, or $2.46 a share, up from $1.54, or 66 cents per share, a year ago, according to The Wall Street Journal. Excluding benefits from bottling acquisition, earnings were 72 cents a share. Revenues increased 40% to $10.5 billion, and were up 45% excluding currency impacts. Gross margins fell to 59.2% from 64.7%.

Continue reading Coca-Cola's Earnings Surge

Week in Preview: Coca-Cola, Disney and Hasbro Earnings

earnings expectationsThings look to be pretty quiet on the economic calendar this week. Here are the highlights:

  • Tuesday: Weekly chain-store sales
  • Wednesday: Federal budget balance for January
  • Thursday: Wholesale trade data in December
  • Friday: Trade balance in December and the weekly inflation survey

However, three iconic companies -- Walt Disney (DIS), Coca-Cola (KO) and Hasbro (HAS) -- highlight this week's quarterly results. Here's a look at what analysts surveyed by Thomson Reuters are anticipating from these and others.

Continue reading Week in Preview: Coca-Cola, Disney and Hasbro Earnings

Who Will Win the Super Bowl Ad Game This Year?

BudweiserTeams have been preparing their game plans and it's time to see which of the 60 teams will win. No, not the Packers or Steelers -- Go Pack! -- but PepsiCo (PEP), Anheuser-Busch (BUD), General Motors (GM) and all the other companies competing for the best spots in one of TV's most expensive marketing moments, costing an estimated $3 million dollars per 30 second spot.

For those not into football, the ads in the Super Bowl game can be more amusing than the game itself as advertising teams compete for attention, show their best efforts and even get rated by numerous online sites. Last year, Doritos (owned by PepsiCo), and E-Trade (ETFC) did well, and Anheuser-Busch seems to always have a Clydesdale horse in the running.

Continue reading Who Will Win the Super Bowl Ad Game This Year?

Comfort Zone Investing: Did You Know ... ?

Comfort Zone Investing: Wall StreetCoca-Cola (KO) has more than $13 billion in cash.

The top five companies (according to market cap) are:

  • Exxon Mobil (XOM): $398.3 billion
  • Apple (AAPL): $309.0 billion
  • Microsoft (MSFT): $237.5 billion
  • General Electric (GE): $215.0 billion
  • Berkshire Hathaway (BRK.A): $202.5 billion

Continue reading Comfort Zone Investing: Did You Know ... ?

Coca-Cola: Time to Take Some Profits?

Coca-Cola (KO) logoThe shares of Coca-Cola (KO), first discussed here on February 20, 2009, at a price of $42.68, have powered through psychological resistance at $60, and it you're in near $43, now may be a good time to consider taking some profits with KO.

However, other investors who can tolerate the risk can maintain their full position in KO, but keep in mind the journey to $80 may not be completed in 2011.

Continue reading Coca-Cola: Time to Take Some Profits?

The Timely 10: Best Blue Chip Dividend Buys

AT&T logo"High-quality stocks bought at historically low-price-to-high-yield offer the best potential for downside protection and upside appreciation," says dividend specialist Kelley Wright.

The editor of IQ Trends explains, "Our 'Timely Ten' list is our reasoned expectation based on our methodology and experience for what we believe will perform best over the next five years.

"Our 'Timely Ten' list is our reasoned expectation based on our methodology and experience for what we believe will perform best over the next five years. Do we believe that all 10 will go up simultaneously or immediately? Of course not.

Continue reading The Timely 10: Best Blue Chip Dividend Buys

Constellation Brands Down on Q3 News

Constellation Brands (STZ) is off this afternoon. With roughly two hours to go before the close of regular trading activities, the stock is down 5.6% to $20.38. Volume is heavy.

The seller of alcoholic beverages issued its fiscal third-quarter results today. According to the Associated Press, on an adjusted basis, the business delivered 66 cents per share, a number that was five pennies ahead of the overall estimate. In addition to that good news, earnings guidance for the full year saw an increase.

Continue reading Constellation Brands Down on Q3 News

Coca-Cola: Sell Before It Drops -- or Not?

I own Coca-Cola (KO) for the long term. It could very well be my favorite stock. Great brand, excellent dividend history, and so forth . . . you know the drill on Coke. Even so, I enjoy trying to figure out its technical future. For those who have been following the stock's price action this week, I'm sure you're wondering the same thing: Is the equity a sell at this point?

Full disclosure: Back in September, I tried to predict the short-term future of the beverage giant, and I got it wrong. I thought it might be too high around the $59 mark. Looks like the market disagreed, judging by the chart.

Continue reading Coca-Cola: Sell Before It Drops -- or Not?

Comfort Zone Investing: What Lies Ahead For 2011 ... Maybe

Crystal ball Comfort Zone InvestingNobody knows what the future holds. But there are a few things shaping up that suggest certain things will most likely happen. Here are some of the major ones.

Interest Rates: Low at the beginning of the year, then headed higher for a long time. If you have an adjustable rate mortgage and you're still paying it, it's the perfect time to get it refinanced, if you can qualify. Interest rates are definitely going up; it's just a matter of when. As long as the Fed is pumping money in (QE2 is targeted with $800 billion .... with the possibility of more behind it), rates will stay low, unless investors think inflation will get way out of hand. Then rates will go higher no matter what the Fed does as investors sell longer term bonds to beat the coming inflation. Initially, rising interest rates will be bullish as they are a precursor to a healthy economy. But that bull will morph and become a bear when rates start jumping as the Fed tries to get ahead of inflation. Tricky business. Investors will do well to have floating rate assets and fixed rate liabilities.

Continue reading Comfort Zone Investing: What Lies Ahead For 2011 ... Maybe

Coca-Cola Recalls 88,000 Drinking Glasses

Coca Cola Drinking Glass RecallSoft drink giant The Coca-Cola Company (KO) announced today that it had recalled 22,000 sets of themed glasses that were painted to look like cans of the company's soft drinks.

The 16-ounce glasses have been sold since March both online and in retail stores, but have been detected to contain low levels of cadmium on the outside of the glass which has been painted to look like a can of Coke.

Continue reading Coca-Cola Recalls 88,000 Drinking Glasses

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