Is Coca-Cola's Brand Empire Running Out of Steam?

KO just posted 16.6% YTD gains (beating the industry’s 7.1%), but here’s the kicker—it’s trading at 22.7X forward P/E vs. the industry average of 18X. That premium pricing is sus.

The bull case: 30 billion-dollar brands accounting for 1/4 of all billion-dollar beverage brands globally. That’s wild market dominance. They’re pushing hard on premiumization (Sprite + Tea, BACARDÍ mixes), plus a Universal/Blumhouse Halloween campaign for Fanta across 50 markets. Digital-first marketing, personalized experiences—sounds solid on paper.

But the earnings growth? Consensus estimates show just 3.5% EPS growth for 2025 and 8% for 2026. That’s not exactly explosive for a stock already up 16% in a few months.

Meanwhile, PepsiCo’s snacking empire (Lay’s, Doritos) gives it more diversification, and Monster Energy is eating lunch in the energy drink category with edgier branding.

Zacks has KO at Rank #3 (Hold). The question: Is the premium valuation already pricing in all the brand strength? Or is there still juice left? The data’s stable, but the runway looks shorter than the hype suggests.

What’s your take—KO a hold or are you rotating into something with higher growth velocity?