Could Coca-Cola (KO Stock) shares gain in a recession? [Video]

Giles Coghlan LLB, Lth, MA Financial Source

Coca-Cola has a reputation for a stock that is a ‘recession buster’. Why is that? It is because it is thought that even when the wider US economy is shrinking then many US consumers will still be able to purchase a can of Coke. Note that the seasonals are also pretty strong for Coca-Cola right now.

Over the last 37 years between July 18 and December 28, Coca-Cola shares have gained a total of 25 times and lost value 12 times The largest gain was +36.8% and the largest fall was -18.18%. The average return has been an impressive 5.18%.

Will Coke shares gain again during this period?

Major trade risks: Watch out for any very bad news on Coca-Cola to negate this outlook as well as any other major news that harms global sentiment towards US stocks.

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Author

Giles Coghlan LLB, Lth, MA

Financial Source

Giles is the chief market analyst for Financial Source. His goal is to help you find simple, high-conviction fundamental trade opportunities. He has regular media presentations being featured in National and International Press.

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