Head to Head Comparison: Embotelladora Andina (NYSE:AKO.A) vs. CocaCola (NYSE:KO)

CocaCola (NYSE:KO) and Embotelladora Andina (NYSE:AKO.A) are both consumer staples companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Institutional and Insider Ownership

70.3% of CocaCola shares are held by institutional investors. Comparatively, 0.1% of Embotelladora Andina shares are held by institutional investors. 0.9% of CocaCola shares are held by insiders. Comparatively, 0.0% of Embotelladora Andina shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Earnings & Valuation

This table compares CocaCola and Embotelladora Andina”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CocaCola	$47.94 billion	7.40	$13.11 billion	$3.18	25.94
Embotelladora Andina	$3,380.92 billion	0.00	$295.57 million	$2.04	11.14

CocaCola has higher earnings, but lower revenue than Embotelladora Andina. Embotelladora Andina is trading at a lower price-to-earnings ratio than CocaCola, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

CocaCola has a beta of 0.34, indicating that its stock price is 66% less volatile than the S&P 500. Comparatively, Embotelladora Andina has a beta of 0.46, indicating that its stock price is 54% less volatile than the S&P 500.

Dividends

CocaCola pays an annual dividend of $2.12 per share and has a dividend yield of 2.6%. Embotelladora Andina pays an annual dividend of $0.67 per share and has a dividend yield of 2.9%. CocaCola pays out 66.7% of its earnings in the form of a dividend. Embotelladora Andina pays out 32.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. CocaCola has increased its dividend for 64 consecutive years. Embotelladora Andina is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares CocaCola and Embotelladora Andina’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CocaCola	27.80%	40.55%	12.90%
Embotelladora Andina	8.70%	24.47%	8.89%

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for CocaCola and Embotelladora Andina, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CocaCola	0	1	15	0	2.94
Embotelladora Andina	0	0	0	0	0.00

CocaCola currently has a consensus price target of $86.81, suggesting a potential upside of 5.23%. Given CocaCola’s stronger consensus rating and higher probable upside, analysts plainly believe CocaCola is more favorable than Embotelladora Andina.

Summary

CocaCola beats Embotelladora Andina on 13 of the 17 factors compared between the two stocks.

About CocaCola

The Coca-Cola Company, a beverage company, manufactures, markets, and sells various nonalcoholic beverages worldwide. The company provides sparkling soft drinks, sparkling flavors; water, sports, coffee, and tea; juice, value-added dairy, and plant-based beverages; and other beverages. It also offers beverage concentrates and syrups, as well as fountain syrups to fountain retailers, such as restaurants and convenience stores. The company sells its products under the Coca-Cola, Diet Coke/Coca-Cola Light, Coca-Cola Zero Sugar, caffeine free Diet Coke, Cherry Coke, Fanta Orange, Fanta Zero Orange, Fanta Zero Sugar, Fanta Apple, Sprite, Sprite Zero Sugar, Simply Orange, Simply Apple, Simply Grapefruit, Fresca, Schweppes, Thums Up, Aquarius, Ayataka, BODYARMOR, Ciel, Costa, Dasani, dogadan, FUZE TEA, Georgia, glacéau smartwater, glacéau vitaminwater, Gold Peak, Ice Dew, I LOHAS, Powerade, Topo Chico, AdeS, Del Valle, fairlife, innocent, Minute Maid, and Minute Maid Pulpy brands. It operates through a network of independent bottling partners, distributors, wholesalers, and retailers, as well as through bottling and distribution operators. The company was founded in 1886 and is headquartered in Atlanta, Georgia.

About Embotelladora Andina

Embotelladora Andina S.A., together with its subsidiaries, produces, markets, and distributes Coca-Cola soft drinks in Chile, Brazil, Argentina, and Paraguay. It also offers fruit-flavored beverages, juices, sports and energy drinks, ice tea, and bottled water. Embotelladora Andina S.A. was founded in 1946 and is headquartered in Santiago, Chile.