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Coca-Cola (KO) vs. PepsiCo (PEP)

This page compares Coca-Cola (KO) with PepsiCo (PEP) using performance and risk, profitability, financial strength, growth, dividends, and valuation metrics.

Company Profile

Coca-Cola (KO) and PepsiCo (PEP) are both classified in the Soft Drinks & Non-alcoholic Beverages sub-industry within the broader Beverages industry, placing them in the closest GICS peer bucket.

SymbolKOPEP
NameThe Coca-Cola CompanyPepsiCo, Inc.
Country/RegionUnited StatesUnited States
GICS SectorConsumer StaplesConsumer Staples
GICS Industry GroupFood, Beverage & TobaccoFood, Beverage & Tobacco
GICS IndustryBeveragesBeverages
GICS Sub-IndustrySoft Drinks & Non-alcoholic BeveragesSoft Drinks & Non-alcoholic Beverages
Market Capitalization349.96 billion USD195.17 billion USD
CurrencyUSDUSD
ExchangeNYSENasdaq
Listing DateJanuary 2, 1962June 1, 1972
Security TypeCommon StockCommon Stock

Valuation

Price-to-Earnings Ratio (TTM)

Both Coca-Cola (KO) at 25.58 and PepsiCo (PEP) at 22.41 post Price-to-Earnings Ratio (TTM) near the typical industry midpoint — neither company stands out strongly from peers on trailing earnings multiple.

KO

Food, Beverage & Tobacco industry group

25.58

Max
53.78
Q3
28.42
Median
18.58
Q1
11.41
Min
5.41

PEP

Food, Beverage & Tobacco industry group

22.41

Max
53.78
Q3
28.42
Median
18.58
Q1
11.41
Min
5.41
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Price-to-Earnings Ratio (TTM) against the Food, Beverage & Tobacco industry group benchmark.

Price-to-Sales Ratio (TTM)

PepsiCo (PEP) at 2.04 prices around its industry’s typical Price-to-Sales Ratio (TTM), while Coca-Cola (KO) at 7.10 clears its benchmark range — KO looks notably rich on sales.

KO

Food, Beverage & Tobacco industry group

7.10

Max
3.95
Q3
2.26
Median
0.98
Q1
0.55
Min
0.00

PEP

Food, Beverage & Tobacco industry group

2.04

Max
3.95
Q3
2.26
Median
0.98
Q1
0.55
Min
0.00
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Price-to-Sales Ratio (TTM) against the Food, Beverage & Tobacco industry group benchmark.

Price-to-Book Ratio (MRQ)

Measured against book value, both Coca-Cola (KO) at 10.41 and PepsiCo (PEP) at 9.13 look expensive — each Price-to-Book Ratio (MRQ) sits above its industry’s benchmark range.

KO

Food, Beverage & Tobacco industry group

10.41

Max
5.84
Q3
3.17
Median
1.68
Q1
0.91
Min
0.00

PEP

Food, Beverage & Tobacco industry group

9.13

Max
5.84
Q3
3.17
Median
1.68
Q1
0.91
Min
0.00
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Price-to-Book Ratio (MRQ) against the Food, Beverage & Tobacco industry group benchmark.

Valuation at a Glance

SymbolKOPEP
Price-to-Earnings Ratio (TTM)25.5822.41
Price-to-Sales Ratio (TTM)7.102.04
Price-to-Book Ratio (MRQ)10.419.13
Free Cash Flow Yield0.89%4.48%

Profitability

Return on Equity (TTM)

Both Coca-Cola (KO) at 43.37% and PepsiCo (PEP) at 43.88% post Return on Equity (TTM) above their industry benchmark ranges, pointing to unusually strong headline returns on shareholders’ equity.

KO

Food, Beverage & Tobacco industry group

43.37%

Max
37.95%
Q3
18.99%
Median
13.57%
Q1
3.88%
Min
-18.08%

PEP

Food, Beverage & Tobacco industry group

43.88%

Max
37.95%
Q3
18.99%
Median
13.57%
Q1
3.88%
Min
-18.08%
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Return on Equity (TTM) against the Food, Beverage & Tobacco industry group benchmark.

Net Profit Margin (TTM)

Coca-Cola (KO) at 27.80% retains a top-quartile share of revenue as profit, ahead of PepsiCo (PEP) at 9.15%, which keeps about the industry-typical share.

KO

Food, Beverage & Tobacco industry group

27.80%

Max
27.80%
Q3
12.29%
Median
5.89%
Q1
1.28%
Min
-14.07%

PEP

Food, Beverage & Tobacco industry group

9.15%

Max
27.80%
Q3
12.29%
Median
5.89%
Q1
1.28%
Min
-14.07%
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Net Profit Margin (TTM) against the Food, Beverage & Tobacco industry group benchmark.

Operating Profit Margin (TTM)

Coca-Cola (KO) at 35.06% operates in the top Operating Profit Margin (TTM) quartile, ahead of PepsiCo (PEP) at 16.96%, which runs around its industry’s norm.

KO

Food, Beverage & Tobacco industry group

35.06%

Max
36.04%
Q3
17.39%
Median
10.72%
Q1
3.65%
Min
-7.33%

PEP

Food, Beverage & Tobacco industry group

16.96%

Max
36.04%
Q3
17.39%
Median
10.72%
Q1
3.65%
Min
-7.33%
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Operating Profit Margin (TTM) against the Food, Beverage & Tobacco industry group benchmark.

Profitability at a Glance

SymbolKOPEP
Return on Equity (TTM)43.37%43.88%
Return on Assets (TTM)9.51%9.09%
Net Profit Margin (TTM)27.80%9.15%
Operating Profit Margin (TTM)35.06%16.96%
Gross Profit Margin (TTM)61.74%54.38%

Growth

Revenue Growth

Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Revenue Growth across different time periods.

Revenue Growth at a Glance

SymbolKOPEP
1-Year Revenue Growth1.87%2.25%
3-Year Revenue CAGR3.69%2.83%

EPS Growth

Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their EPS Growth across different time periods.

EPS Growth at a Glance

SymbolKOPEP
1-Year EPS Growth23.58%-13.67%
3-Year EPS CAGR11.55%-2.23%

Financial Strength

Current Ratio (MRQ)

Coca-Cola (KO) at 1.36 keeps Current Ratio (MRQ) within its industry mid-range, while PepsiCo (PEP) at 0.90 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for PEP.

KO

Food, Beverage & Tobacco industry group

1.36

Max
5.06
Q3
2.66
Median
1.60
Q1
1.05
Min
0.54

PEP

Food, Beverage & Tobacco industry group

0.90

Max
5.06
Q3
2.66
Median
1.60
Q1
1.05
Min
0.54
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Current Ratio (MRQ) against the Food, Beverage & Tobacco industry group benchmark.

Debt-to-Equity Ratio (MRQ)

Coca-Cola (KO) at 1.25 sits in the higher-leverage quartile relative to peers, but PepsiCo (PEP) at 2.45 is higher still, above its industry benchmark range.

KO

Food, Beverage & Tobacco industry group

1.25

Max
2.20
Q3
1.12
Median
0.70
Q1
0.35
Min
0.00

PEP

Food, Beverage & Tobacco industry group

2.45

Max
2.20
Q3
1.12
Median
0.70
Q1
0.35
Min
0.00
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Debt-to-Equity Ratio (MRQ) against the Food, Beverage & Tobacco industry group benchmark.

Financial Strength at a Glance

SymbolKOPEP
Current Ratio (MRQ)1.360.90
Debt-to-Equity Ratio (MRQ)1.252.45
Net Debt / EBITDA1.842.24

Dividends

Dividend Yield (TTM)

Both Coca-Cola (KO) at 2.61% and PepsiCo (PEP) at 4.15% report Dividend Yield (TTM) near their industry mid-ranges, so neither company stands out strongly from peers on cash yield relative to share price.

KO

Food, Beverage & Tobacco industry group

2.61%

Max
11.33%
Q3
4.70%
Median
3.21%
Q1
0.00%
Min
0.00%

PEP

Food, Beverage & Tobacco industry group

4.15%

Max
11.33%
Q3
4.70%
Median
3.21%
Q1
0.00%
Min
0.00%
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Dividend Yield (TTM) against the Food, Beverage & Tobacco industry group benchmark.

Dividend Payout Ratio (TTM)

Coca-Cola (KO) at 64.78% maintains Dividend Payout Ratio (TTM) around its industry median — a balanced dividend policy. PepsiCo (PEP) at 89.32% sits outside the typical mid-range, leaning toward more retention or more distribution than the industry median.

KO

Food, Beverage & Tobacco industry group

64.78%

Max
159.06%
Q3
86.47%
Median
45.18%
Q1
0.00%
Min
0.00%

PEP

Food, Beverage & Tobacco industry group

89.32%

Max
159.06%
Q3
86.47%
Median
45.18%
Q1
0.00%
Min
0.00%
Coca-Cola (KO) vs. PepsiCo (PEP): A comparison of their Dividend Payout Ratio (TTM) against the Food, Beverage & Tobacco industry group benchmark.

Dividends at a Glance

SymbolKOPEP
Dividend Yield (TTM)2.61%4.15%
Dividend Payout Ratio (TTM)64.78%89.32%

Performance & Risk

KO
PEP
Loading price history…
Coca-Cola (KO) vs. PepsiCo (PEP): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Performance & Risk at a Glance

SymbolKOPEP
1-Year Return14.71%12.47%
1-Year Volatility16.40%21.82%
Beta0.350.35
3-Month Avg. Volume14.97M6.63M