When tariffs start shaking up the global economy, investors want something safe to hold onto, and that’s where Dividend Kings like Coca-Cola (KO) come in. With President Donald Trump’s 2025 tariffs raising costs on inputs like aluminum (ALN25), companies in manufacturing and consumer goods are feeling the pressure. 

The U.S. economy is already showing signs of stress, with first-quarter GDP shrinking and inflation going up. Still, Dividend Kings, companies that have raised their dividends for over 50 years, are showing their strength, beating the S&P 500 Index ($SPX) by almost 9% in 2025 as investors look for safety. 

Coca-Cola stands out even more after its latest earnings, not just beating profit expectations but also reassuring investors it can handle new tariffs by changing suppliers and using its worldwide reach. 

Analysts called KO a “standout” consumer staples stock after its earnings, showing that in uncertain times, being steady and flexible matters. Will Coca-Cola’s steady hand keep it ahead of the rest? Let’s dive in.

A Look at KO’s Latest Financials

Coca-Cola (KO) is the world’s biggest beverage company. It keeps leading the way in the consumer staples space by reaching customers everywhere, coming up with new ideas, and always paying out steady dividends. 

The company pays an annual dividend of $2.04 with a yield of 2.85%. This makes KO stock a steady choice for investors who want regular income.

As of May 1, the stock is up 15% in the year to date and up nearly 16% over the past 52 weeks, showing that Wall Street trusts Coca-Cola even when the broader market is shaky. 

Coca-Cola is valued at $311 billion, with a trailing P/E of 24.5x and a price-sales ratio of 6.6x, positioning it as a premium pick among blue-chip stocks.

When the company shared its first-quarter results on April 29, 2025, it showed how well its “all-weather strategy” is working. Revenue dropped 2% to $11.1 billion, primarily because of currency issues and changes in how it handles its bottling business. 

Earnings per share climbed 5% to $0.77, with comparable EPS up 1% to $0.73, beating analyst expectations. Coca-Cola’s wide reach helps it stay strong and adapt to what customers want.

On the cash flow side, the company used $5.2 billion for its operations, and free cash flow dropped by about $5.7 billion from the year before, mainly because of a big $6.1 billion payment related to the Fairlife acquisition. Without that one-time payment, free cash flow was $558 million, which still shows Coca-Cola’s ability to bring in cash. 

Strategic Moves Powering Coca-Cola’s Future

Coca-Cola is growing around the world by making sure its drinks and marketing fit local tastes. This helped the company boost its sales by 6% last quarter, mostly from higher prices and a small increase in concentrate sales. People are also buying more Coke products, with global sales volume up 2%, and the company expects this to keep going up.

Coca-Cola is finding new ways to reach customers, like using Studio X to make better ads and track what works. This helped add $40 billion in retail sales for Coke over the last three years.

The company is also focusing on popular drinks like zero-sugar sodas and energy drinks. For example, Coca-Cola Zero Sugar sales jumped 13% in late 2024. 

By paying attention to what people want, trying new things, and running its business carefully, Coca-Cola is set up for a strong year in 2025.

Analyst Confidence in Coca-Cola’s Resilience

Analysts’ confidence in Coca-Cola’s resilience has only grown stronger after its latest earnings report, and the numbers tell a compelling story. The company reaffirmed its full-year 2025 guidance, projecting organic revenue growth of 5% to 6%, even as it faces a 2% to 3% currency headwind and minor impacts from acquisitions and structural changes. 

For earnings, Coca-Cola expects comparable currency-neutral EPS growth of 7% to 9%, and comparable EPS growth of 2% to 3% versus $2.88 in 2024, translating to a range of $2.94 to $2.97 per share. 

Despite the anticipated 5% to 6% currency drag, these targets highlight Coca-Cola’s ability to deliver steady results in a tough macro environment. 

The optimism isn’t just internal. Wall Street is decidedly bullish. the 23 analysts surveyed currently rate KO as a consensus “Strong Buy,” with a consensus price target of $78.22. This points to upside potential of about 10% from current levels, an attractive proposition for a blue-chip stock with Coca-Cola’s track record. 

Conclusion

At the end of the day, Coca-Cola keeps proving why it’s a go-to pick for steady growth and reliable income, even when the market gets uncertain. With solid financials, strong analyst backing, and a track record of delivering for shareholders, KO still stands out as a top buy in the consumer staples space. 

Unless something drastically changes, the momentum and stability here suggest shares are more likely to keep trending up than not.