Farmer Bros. Co (FARM)vsThe Coca-Cola Company (KO)
FARM
Farmer Bros. Co
$1.28
0.00%
CONSUMER DEFENSIVE · Cap: $28.09M
KO
The Coca-Cola Company
$97.42
-0.13%
CONSUMER DEFENSIVE · Cap: $404.72B
Smart Verdict
WallStSmart Research — data-driven comparison
The Coca-Cola Company generates 15017% more annual revenue ($51.05B vs $337.72M). KO leads profitability with a 28.6% profit margin vs -5.5%. KO appears more attractively valued with a PEG of 3.96. KO earns a higher WallStSmart Score of 61/100 (C+).
FARM
Avoid34
out of 100
Grade: F
KO
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+87.6%
Fair Value
$13.19
Current Price
$1.28
$11.91 discount
Margin of Safety
-48.3%
Fair Value
$64.51
Current Price
$97.42
$32.91 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 39 in profit
Strong operational efficiency at 33.4%
Keeps 29 of every $100 in revenue as profit
Generating 4.5B in free cash flow
Areas to Watch
Smaller company, higher risk/reward
Expensive relative to growth rate
ROE of -48.3% — below average capital efficiency
Revenue declined 1.2%
Moderate valuation
Trading at 11.2x book value
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : FARM
The strongest argument for FARM centers on Price/Book.
Bull Case : KO
The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.6% and operating margin at 33.4%.
Bear Case : FARM
The primary concerns for FARM are Market Cap, PEG Ratio, Return on Equity.
Bear Case : KO
The primary concerns for KO are P/E Ratio, Price/Book, Debt/Equity.
Key Dynamics to Monitor
FARM profiles as a turnaround stock while KO is a mature play — different risk/reward profiles.
FARM carries more volatility with a beta of 1.13 — expect wider price swings.
KO is growing revenue faster at 7.4% — sustainability is the question.
KO generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
KO scores higher overall (61/100 vs 34/100), backed by strong 28.6% margins. FARM offers better value entry with a 87.6% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Farmer Bros. Co
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
Farmer Bros. The company is headquartered in Northlake, Texas.
The Coca-Cola Company
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.
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