Coca-Cola Europacific Partners (CCEP) AI Stock Analysis

• Market Cap: $42.93B
• Dividend Yield: 1.89%
• Average Volume (3M): 1.80M
• Price to Earnings (P/E): 27.9
• Beta (1Y): 0.37
• Revenue Growth: 11.73%
• EPS Growth: -15.34%
• Country: US
• Employees: 41,000
• Sector: Consumer Defensive
• Sector Strength: 56
• Industry: Beverages - Non-Alcoholic
• EPS (TTM): 2.33
• Shares Outstanding: 460,780,980
• 10 Day Avg. Volume: 1,834,572
• 30 Day Avg. Volume: 1,796,740
• PEG Ratio: 0.29
• Price to Book (P/B): 3.17
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.14
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $92.04
• Price Target Upside: -1.65% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9

• Rating: 79 Outperform
• Price Target: $107.00 ▲(14.34%Upside)

Coca-Cola Europacific Partners' strong financial performance, optimistic earnings guidance, and positive technical indicators drive a solid overall stock score. Despite a high valuation, the company's strategic market expansions and effective cash flow management position it well for future growth.

Positive Factors

Shareholder Returns

A newly announced €1Bn share repurchase program provides an additional buffer for the company.

Strategic Acquisition

The strategic acquisition in the Philippines is expected to drive faster top- and bottom-line growth for CCEP.

Technology and Growth Management

The company is increasingly leveraging technology and shifting its focus to revenue and profit growth management.

Negative Factors

Market Challenges

Performance in Indonesia has so far been below expectations due to external headwinds and some international issues.

Stock Valuation

CCEP is already trading above historical average, slightly higher than the believed deserved value.

Volume Pressure

Consolidated volumes were under pressure due to timing impacts and weather-related headwinds.

Coca-Cola Europacific Partners Business Overview & Revenue Model

Company Description

Coca-Cola Europacific Partners PLC, together with its subsidiaries, produces, distributes, and sells a range of non-alcoholic ready to drink beverages. The company offers flavours, mixers, and energy drinks; soft drinks, waters, enhanced water, and isotonic drinks; and ready-to-drink tea and coffee, juices, and other drinks. It provides its products under the Coca-Cola, Diet Coke, Coca-Cola Zero Sugar, Fanta, Sprite, Monster Energy, Coca-Cola Energy, Relentless, nalu, URGE, BURN, Kuli, REIGN, POWERADE, Appletiser, Schweppes, FINLEY, mezzo mix, Royal Bliss, Lift, Vio SCHORLE, Coca-Cola Signature Mixers, NORDIC MIST, smartwater, Chaudfontaine, AQUARIUS, VILAS del Turbon, BONAQUA, Apollinaris, Krystal, Honest, Costa Coffee, Fuzetea, CHAQWA, NESTEA, Capri-Sun, Oasis, Minute Maid, MER, and Tropico brands. In addition, the company engages in the bottling and other operations. As of March 15, 2022, it served approximately 600 million consumers. The company was formerly known as Coca-Cola European Partners plc and changed its name to Coca-Cola Europacific Partners PLC in May 2021. Coca-Cola Europacific Partners PLC was founded in 1986 and is based in Uxbridge, the United Kingdom.

How the Company Makes Money

Coca-Cola Europacific Partners generates revenue primarily through the sale of its beverage products to retailers, wholesalers, and other distributors. The company operates under a franchise model where it has agreements with The Coca-Cola Company to bottle and sell its products within specific territories. CCEP buys concentrates and syrups from The Coca-Cola Company, which are then mixed, bottled, and sold under the Coca-Cola brand. Revenue streams are heavily dependent on the volume of beverages sold, and CCEP leverages its extensive distribution network to maximize market penetration. Additionally, CCEP benefits from strategic partnerships with retailers and promotional activities that enhance brand visibility and drive sales. The company also invests in marketing and innovation to adapt to changing consumer preferences, including a focus on low- and no-sugar options to meet health-conscious consumer trends.

Coca-Cola Europacific Partners Financial Statement Overview

Summary

Coca-Cola Europacific Partners demonstrates strong financial health with consistent revenue growth, efficient operational management, and solid cash flow generation. However, opportunities exist to optimize the capital structure by reducing leverage.

Income Statement

Coca-Cola Europacific Partners has demonstrated a consistent increase in revenue over the years, with a notable revenue growth rate of 11.66% from 2023 to 2024. Gross profit margin remains strong at 35.64% in 2024, although net profit margin declined slightly to 6.94% due to reduced net income. The EBIT and EBITDA margins are solid, reflecting efficient operational management.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 1.35, indicating moderate leverage. Return on equity is robust at 16.70%, showcasing effective use of equity. The equity ratio of 27.29% suggests a reliable level of financial stability, though there is room for improvement in reducing debt levels.

Cash Flow

Cash flow statements show a strong free cash flow growth rate of 6.36% from 2023 to 2024. The operating cash flow to net income ratio of 2.16 signifies good cash conversion, while the free cash flow to net income ratio of 1.60 indicates solid cash generation capabilities relative to profit, supporting continued investment and debt repayment.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.44B	18.30B	17.32B	13.76B	10.61B
Gross Profit	7.28B	6.73B	6.22B	5.16B	3.73B
EBITDA	3.27B	2.88B	2.94B	2.32B	1.54B
Net Income	1.42B	1.67B	1.51B	982.00M	498.00M
Balance Sheet
Total Assets	31.10B	29.25B	29.31B	29.09B	19.24B
Cash, Cash Equivalents and Short-Term Investments	1.71B	1.99B	1.64B	1.47B	1.52B
Total Debt	11.33B	11.40B	11.91B	13.14B	7.19B
Total Liabilities	22.11B	21.28B	21.87B	21.88B	13.21B
Stockholders Equity	8.49B	7.98B	7.45B	7.03B	6.03B
Cash Flow
Free Cash Flow	2.27B	2.13B	2.33B	1.77B	1.08B
Operating Cash Flow	3.06B	2.81B	2.93B	2.12B	1.49B
Investing Cash Flow	-1.96B	-937.00M	-645.00M	-5.61B	-370.00M
Financing Cash Flow	-973.00M	-1.82B	-2.28B	3.29B	100.00M

Coca-Cola Europacific Partners Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 93.58
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CCEP, the sentiment is Positive. The current price of 93.58 is above the 20-day moving average (MA) of 92.49, above the 50-day MA of 90.23, and above the 200-day MA of 81.72, indicating a bullish trend. The MACD of 0.73 indicates Positive momentum. The RSI at 61.68 is Neutral, neither overbought nor oversold. The STOCH value of 61.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CCEP.

Coca-Cola Europacific Partners Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCEP	79 Outperform	$42.93B	27.94	17.43%	1.89%	11.73%	-15.34%
PEP	77 Outperform	$185.45B	19.89	50.06%	4.17%	-0.38%	2.23%
MNST	76 Outperform	$61.97B	41.62	20.00%	―	1.47%	-4.87%
KO	75 Outperform	$308.49B	28.70	40.98%	2.88%	1.15%	0.28%
KDP	72 Outperform	$45.59B	30.41	6.13%	2.74%	3.95%	-28.73%
COKE	69 Neutral	$10.08B	20.11	36.83%	0.86%	3.21%	31.84%
Sector *	65 Neutral	$27.28B	15.30	-4.01%	3.16%	1.00%	1.98%