Coca-Cola Company

Analyst Listing

The following analysts provide coverage for the subject firm as of May 2016:

Broker	Analyst	Analyst Email
William Blair	Bhavan Suri	bsuri@williamblair.com
Stifel Nicolaus	Brad R. Reback	rebackb@stifel.com
Pacific Crest Securities-KBCM	Brent Bracelin	bbracelin@pacific-crest.com
Drexel Hamilton	Brian J. White	bwhite@drexelhamilton.com
JMP Securities	Greg Mcdowell	gmcdowell@jmpsecurities.com
Cowen & Company	Gregg Moskowitz	gregg.moskowitz@cowen.com
DA Davidson	Jack Andrews	jandrews@dadco.com
Jefferies	John DiFucci	jdifucci@jefferies.com
SunTrust Robinson Humphrey	John Rizzuto	john.rizzuto@suntrust.com
Stephens Inc	Jonathan B. Ruykhaver	jonathan.ruykhaver@stephens.com
Atlantic Equities	Josep Bori	j.bori@atlantic-equities.com
Deutsche Bank Research	Karl Keirstead	karl.keirstead@db.com
BMO Capital Markets	Keith Bachman	keith.bachman@bmo.com
Evercore ISI	Kirk Materne	kirk.materne@evercoreisi.com
RBC Capital Markets	Matthew Hedberg	matthew.hedberg@rbccm.com
Raymond James	Michael Turits	michael.turits@raymondjames.com
Maxim Group	Nehal Chokshi	nehalchokshi@techinsightsresearch.com
Credit Suisse	Philip Winslow	philip.winslow@credit-suisse.com
Canaccord Genuity	Richard Davis Jr.	rdavis@canaccordgenuity.com
Guggenheim Securities	Ryan Hutchinson	ryan.hutchinson@guggenheimpartners.com
Needham	Scott Zeller	szeller@needhamco.com
Oppenheimer	Shaul Eyal	shaul.eyal@opco.com
FBN Securities	Shebly Seyrafi	sseyrafi@fbnsecurities.com
Mitsubishi UFJ Securities (USA)	Stephen D. Bersey	sbersey@us.sc.mufg.jp
Wedbush Securities	Steve Koenig	steve.koenig@wedbush.com
Northland Securities	Tim Klasell	tklasell@northlandcapitalmarkets.com
Bernstein Research	Ali Dibadj	ali.dibadj@bernstein.com
BMO Capital Markets	Amit Sharma	amit.sharma@bmo.com
Deutsche Bank Research	Bill Schmitz Jr.	william.schmitz@db.com
Wells Fargo Securities	Bonnie Herzog	bonnie.herzog@wellsfargo.com
Consumer Edge Research	Brett Cooper	bcooper@consumeredgeresearch.com
Jefferies	Kevin Grundy	kgrundy@jefferies.com
Stifel Nicolaus	Mark D. Swartzberg	mswartzberg@stifel.com
RBC Capital Markets	Nik Modi	nik.modi@rbccm.com
Susquehanna Financial Group	Pablo Zuanic	pablo.zuanic@sig.com
Evercore ISI	Robert Ottenstein	robert.ottenstein@evercoreisi.com
Cowen & Company	Vivien Azer	vivien.azer@cowen.com
SunTrust Robinson Humphrey	William B. Chappell Jr.	bill.chappell@suntrust.com

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Primary Input Data

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Derived Input Data

Derived Input	Label	2015 Value	2016 Value	Equational Form
Net Operating Profit Less Adjusted Taxes	NOPLAT	6,313	2,226	$NOPLAT\, =\, EBIT\, x\, (1 \,-\, Avg \,\,Tax\,\, Rate\,\, on\,\, EBIT)$
Free Cash Flow	FCF	7,975	6,534	$FCF\,=NOPLAT\,+\,Non-Cash\,Expenses-\Delta NWC\,-\,NCS$
Tax Shield	TS	196	154	$TS\,=\,Interest\,\,Paid\,\,x\,\, Avg \,\,Tax\,\,Rate\,\, on\,\, Pre-Tax\,\, Income$
Invested Capital	IC	63,163	60,738	$IC\,=\,Fixed\,\,Operating\,\,Assets\,\,+\,\,Net\,\, Working\,\, Capital$
Return on Invested Capital	ROIC	9.99%	3.66%	$ROIC\,=\,\frac { NOPLAT }{ IC }$
Net Investment	NetInv	5,484	(1,690)	$NetInv\,=\,{ {IC}_{1}}-{{IC}_{0}}+Depreciation$
Investment Rate	IR	86.87%	-75.93%	$IR\,=\,\frac {NetInv}{NOPLAT}$
Weighted Average Cost of Capital	WACC_Market	13.42%	10.59%	$WACC\,=\,\frac { E }{ V } { R }_{ E }\,+\,\frac { P }{ V } { R }_{ P }\,+\,\frac { D }{ V } { R }_{ D }\left( 1- Avg\,\, Tax\,\,Rate\,\,on\,\,Pre-Tax\,\,Income \right)$
Weighted Average Cost of Capital	WACC_Book	6.60%	6.31%
Enterprise value	EV_Market	193,295	185,455	$EV\,=\,Market\,\,Cap\,\,Equity\,+\,\,Long\,\,Term\,\,Debt\,-\,Cash$
Enterprise value	EV_Book	191,965	185,263
Long-Run Growth	g = IR x ROIC	8.68%	-2.78%	Long-run growth rates of the income variable are used in the Continuing Value portion of the valuation models.
Long-Run Growth	g = % $\Delta$ GDP	2.50%	2.50%
Margin from Operations	M	22.25%	24.28%	$M\,\,=\,\,\frac{EBIT}{SALES}$
Depreciation/Amortization Rate	D	16.86%	17.67%	$D\,\,=\,\,\frac{D+A}{EBITDA}$

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Valuation Multiple Outcomes

The outcomes presented in this study are the result of original input data, derived data, and synthesized inputs.

Equational Form	Observed Value		Single-stage multiple g solution		Two-stage valuation model g solution
Equational Form	12/31/2015	12/31/2016	12/31/2015	12/31/2016	12/31/2015	12/31/2016
EV/SALES $\frac {EV}{Sales} \,= \,\frac{ROIC\, -\, g}{ROIC\,(WACC\,-\,g)}\,(1\,-\,T)\,(M)$	4.43	13.15	15.08%	13.96%	14.56%	12.80%
EV/EBITDA $\frac {EV}{EBITDA} \,= \,\frac{ROIC\, -\, g}{ROIC\,(WACC\,-\,g)}\,(1\,-\,T)\,(1\,-\,D)$	16.55	44.59	15.08%	13.96%	14.56%	12.80%
EV/NOPLAT $\frac {EV}{NOPLAT} \,= \,\frac{ROIC\, -\, g}{ROIC\,(WACC\,-\,g)}$	30.62	83.33	15.08%	13.96%	14.56%	12.80%
EV/FCF_OPS $\frac {EV}{FCF_{OPS}} \,= \,\frac{ROIC\, -\, g}{ROIC\,(WACC\,-\,g)}\,(1\,-\,T)$	24.24	28.38	15.08%	13.96%	14.56%	12.80%
EV/EBIT $\frac {EV}{EBIT} \,= \,\frac{ROIC\, -\, g}{ROIC\,(WACC\,-\,g)}\,(1\,-\,T)$	19.90	54.16	15.08%	13.96%	14.56%	12.80%
EV/IC $\frac {EV}{IC} \,= \,\frac{ROIC\, -\, g}{WACC\,-\,g}$	3.06	3.05	15.08%	13.96%	14.56%	12.80%