Barclays Finds Coca-Cola Refreshing As Consumer Staples Industry Suffers
Amid upheaval in the consumer staples industry, The Coca-Cola Co (NYSE: KO) is expected to emerge a leader. Barclays analyst Lauren Lieberman upgraded the stock to Overweight and increased her price target from $45 to $48. Barclays attributes the company’s year-to-date outperformance of the Consumer Staples Select Sect. SPDR (ETF) (NYSE: XLP) more to insulation from sector-wide issues than to broad conviction in the firm’s potential. As such, Coca-Cola is expected see improved valuation as it evolves through a stable diversification plan, more local-focused operating model and supply chain capabilities better aligned with its bottlers.